Greece – Employer of Record
Globalization Partners provides employer of record services for clients that want to hire employees and run payroll without first establishing a branch office or subsidiary in Greece. Your candidate is hired via Globalization Partners’ Greece PEO in accordance with local labor laws and can be onboarded in days instead of the months it typically takes. The individual is assigned to work on your team, working on your company’s behalf exactly as if he or she were your employee to fulfill your in-country requirements.
Table of Contents
- Greece Holidays
- Bonus in Greece
- Greece Working Hours
- Vacation in Greece
- Sick Leave in Greece
- Maternity/Paternity Leave in Greece
- Termination/Severance in Greece
- Greece Tax
- Health Insurance in Greece
- Additional Benefits in Greece
- Employment Contracts in Greece
- Why Globalization Partners
Our Global Employer of Record Platform™ and Global PEO service enables clients to run payroll in Greece while HR services, tax, and compliance management matters are lifted from their shoulders onto ours. As a Global PEO expert, we manage employment contract best practices, statutory and market norm benefits, and employee expenses, as well as severance and termination if required. We also keep you apprised of changes to local employment laws in Greece.
Your new employee is productive sooner, has a better hiring experience and is 100% dedicated to your team. You’ll have peace of mind knowing you have a team of dedicated employment experts assisting with every hire. Globalization Partners allows you to harness the talent of the brightest people in 150 countries around the world, quickly and painlessly.
Greece is located in southeastern Europe on the Balkan Peninsula, which juts into the Mediterranean Sea. The country includes 227 inhabited islands, and is 80% covered by mountains and hills. Of the population of 11 million, 3 million live in Athens.
When negotiating terms of an employment contract and offer letter with an employee in Greece, it may be useful to keep the following in mind:
Greece celebrates 12 national holidays.
- New Year’s Day
- Clean Monday
- Good Friday
- Independence Day
- Easter Monday
- Pentecost Monday
- Assumption of the Holy Virgin
- Ochi Day
- Christmas Day
- Day After Christmas (Glorifying Mother of God)
Bonus in Greece
Employees are generally entitled to the following bonuses:
- Christmas bonus of 1 month’s wages
- Easter bonus of 1/2 month’s wages
- Holiday bonus of 1/2 month’s wages
Greece Working Hours
The Greek work week is 40 hours with 5, 8-hour days.
Vacation in Greece
During the first year of employment, the employee accrues prorated vacation of 24 days for a 6-day work week or 20 days for a 5-day work week.
After one year of employment the employee is entitled on January 1st to 24 days of annual leave for a 6-day work week or 20 days for a 5-day work week.
In years two and three the employee gets an additional day of vacation for each year.
After 10 years of service, an employee working a 6-day week is eligible for 30 days of leave, and the 5-day week employee is eligible for 25 days of leave.
Sick Leave in Greece
For the first three days of sick leave, employees are generally entitled to 50% of wages owed.
Employees are eligible for sick leave pay from social insurance beginning on the 4th day of the illness.
Maternity/Paternity Leave in Greece
Female employees are generally entitled to 17 weeks of paid leave, 8 to be taken before the birth and 9 after.
Fathers are entitled to 2 days of paternity leave.
For 30 months after maternity leave, parents are generally entitled to either arrive one-hour late or leave one-hour early from work.
Termination/Severance in Greece
If an employer terminates a fixed-term contract early, it must pay the employee for the remainder of the term.
Employers must notify employees in writing before terminating an indefinite term contract. White collar notice periods are as follows:
- between 2 months and 1 year of service: 1 month notice
- 1-4 years’ service: 2 months’ notice
- 4-6 years’ service: 3 months’ notice
- 6-8 years’ service: 4 months’ notice
- 8-10 years’ service: 5 months’ notice
- 10+ years’ service: 6 months’ notice plus one month for each additional year up to 24 months’ notice
The employee is generally entitled to severance pay equal to half the amount of notice.
Employers contribute 28.56% of payroll to social security; employees pay 16.5% of their wages.
Health Insurance in Greece
Employees who have worked at least 50 days within the past 15 months are generally eligible for free health and dental care through social security.
Additional Benefits in Greece
Some companies provide cars, health insurance, and/or housing allowances.
Employment Contracts in Greece
Fixed term contracts are allowed.
It is best practice, although not legally required, to put a written employment contract in place in Greece, in the local language, which spells out the terms of the employee’s compensation, benefits, and termination requirements. An offer letter and employment contract in Greece should always state the salary and any compensation amounts in Euro rather than a foreign currency.
This information is provided as general accepted information and is not intended as advisory services.
Why Globalization Partners
Establishing a branch office or subsidiary in Greece to engage a small team is time-consuming, expensive and complex. Greek labor law has strong worker protections, requiring great attention to detail and an understanding of local best practices. Globalization Partners makes it painless and easy to expand into Greece. We can help you hire your candidate of choice, handle HR matters and payroll, and ensure that you’re in compliance with local laws, without the burden of setting up a foreign branch office or subsidiary. Our Greece PEO and Global Employer of Record Platform provides you peace of mind so that you can focus on running your business.
If you would like to discuss how Globalization Partners can provide a seamless employee leasing or PEO solution for hiring employees in Greece, please contact us.