Employment & Pension Lawyer Athens, Greece

We assist national and international companies with all labor law issues in Greece.

What is Labor Law in Greece?

Labor law in Greece is a branch of law that governs the relationship between employers and employees, as well as trade unions and employers’ associations. It covers various aspects of employment, including individual employment contracts, working conditions, collective agreements, social security and dispute resolution.

Greek labor law is based on both national legislation and EU directives that define employment practices to protect workers and ensure fair treatment in the workplace.

Greek labor law protects against unfair dismissal, guarantees equal treatment regardless of gender or other protected characteristics, and supports collective bargaining and trade union rights.

It aims to protect the rights of workers while balancing the interests of employers.

Greek Labor Law: Employment Regulations

Employment law in Greece, shaped by both domestic legislation and European Union directives, governs the employer-employee relationship, ensuring fair treatment, workplace rights and collective bargaining. Understanding the complexities of Greek labor law is critical for businesses and employees alike, as it directly impacts employment contracts, working conditions, and dispute resolution.

Greek labor law is comprehensive and covers various aspects of the employment relationship. Employment contracts are a cornerstone, detailing terms, working hours, wages and benefits. Collective bargaining agreements negotiated between employers and unions often supplement the legal provisions and influence terms such as pay scales and working conditions.

Employee Rights

Greek labor law protects basic employee rights, including the right to organize and participate in trade unions. Workers have the right to a safe and healthy working environment, with regulations governing workplace safety and hygiene. Protection against discrimination on the basis of gender, age, disability and other factors is enshrined in both national and EU law.

Termination and Redundancy

Termination of employment in Greece is subject to strict regulations. Employers must provide valid reasons for termination, and termination procedures must follow due process. Employees with more than one year of service are generally entitled to severance pay. In cases of dismissal, employers must follow established procedures, including consultation with employee representatives.

Critical Issues in Greek Labour Law

Greek labor law plays a pivotal role in shaping the country’s employment landscape, with ongoing efforts to address critical issues and align regulations with today’s economic realities. Stakeholders, including employers, employees, and policymakers, must navigate this dynamic legal framework to foster a fair and sustainable work environment that reflects the evolving nature of work and employment in Greece.

Labor law in Greece is of great importance, especially when it comes to addressing some important social issues in the country:

• Unemployment rates: Greece faces persistent challenges with high unemployment rates, especially among youth. Labor law reforms aim to address this issue by promoting flexibility while preserving workers’ rights. However, finding the right balance remains a focus of ongoing discussions.
• Informal labor market: The prevalence of informal employment, characterized by undeclared work and lack of employment contracts, poses challenges for effective regulation. The authorities are working to combat undeclared work and emphasize the importance of formalizing employment relationships for the benefit of both workers and the economy as a whole.
• Dynamics of collective bargaining: Recent labor law reforms have sought to modernize collective bargaining structures to increase flexibility and responsiveness to economic changes. However, balancing the interests of employers and unions in these negotiations is an ongoing challenge.
• Digitalization and remote work: The rise of digitization and remote work, accelerated by global events, has led to a reassessment of traditional labor norms. Adapting legislation to accommodate these changes, while ensuring fair treatment and protecting workers’ rights in the digital age, is a critical concern.
• Pension system challenges: Greece has implemented reforms to address sustainability issues in its pension system. Balancing the need for fiscal responsibility with the protection of pensioners’ rights is a delicate challenge that requires ongoing evaluation and adjustment.

Greek Labor Law: Changes in 2024

In 2024, Greek labor law has undergone significant changes, reflecting both domestic policy shifts and the implementation of European Union directives.

One major reform allows for a six-day workweek under certain conditions. Employers in certain sectors, such as 24/7 manufacturing and services, can require employees to work six days a week, with the extra day paid at 40% above the regular rate. The move, which comes into effect on July 1, 2024, is intended to address productivity issues – but has sparked considerable controversy. Critics argue that it could lead to the normalization of extended working hours without sufficient oversight, potentially undermining workers’ rights.

The new laws also revise employment conditions regarding probationary periods and dismissals. The probationary period is limited to six months, and within the first year of employment, an employee can be dismissed without notice or compensation, unless otherwise specified. This change is intended to give employers more flexibility, but it also raises concerns about job security.

In addition, Greece has also transposed EU Directive 2019/1152 into national law, which focuses on ensuring transparent and predictable working conditions. This includes mandatory written or electronic notification of employment conditions to employees within one week of starting work, and stricter requirements for declaring working hours and overtime on digital platforms such as Ergani II. Employers face significant fines for discrepancies between declared and actual working hours.

* The information on this site is provided for the sole purpose of illustrating the subject matter. It in no way constitutes legal advice nor a substitute for individual legal advice provided by counsel. Each case is unique, presents unique circumstances, and should be evaluated in detail by an attorney who will verify its specific circumstances.

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