Labor Reform Bill Explained in 17 Questions and Answers

What changes in leave, hiring practices, and the 4-day workweek

The Ministry of Labor has published a detailed Q&A with 17+1 questions to explain the main changes brought by the new labor reform bill, “Fair Work for All: Simplification of Legislation – Employee Support – Protection in Practice”, which enters public consultation today.

The bill aims to modernize Greece’s labor framework, simplify procedures, reduce bureaucracy, strengthen employees’ rights and job security, facilitate business operations, and create a transparent and contemporary work environment.

Key Highlights

1. What does the new labor bill provide in a nutshell?

• Simplifies procedures by removing paperwork and accelerating recruitment
• Strengthens employee rights and protections
• Enhances Labor Inspectorate controls to ensure compliance

2. How does it support employees in daily life?

• Enables flexible work schedules, including the possibility for a parent to work 4 days per week and spend the fifth day with their child year-round
• Greater freedom in requesting annual leave allocation
• Expands eligibility for maternity and parental benefits, now tax-free, non-transferable, and protected from seizure
• Enhances health and safety measures, e.g., mandatory safety coordinators on technical projects
• Allows employees in part-time/flexible arrangements to work overtime with a 40% pay increase if desired
• Employees can work up to 13 hours per day (exceptionally) with a 40% overtime premium
• Training for first aid (CPR, Heimlich) included
• Extends maternity leave to foster mothers
• Explicitly prohibits wage reductions after implementation of the Digital Work Card

3. How does it facilitate businesses?

• Streamlined hiring procedures
• Fast-track contracts for urgent needs in 2 days
• Reduction of redundant forms already submitted via the ERGANI II system
• Exemptions from contributions for overtime, night work, and holidays
• Special employer app (e.g., myErgani)
• Consolidation of anti-harassment policies

4. Does it abolish the 8-hour workday and introduce 13-hour daily work?

• No. The 8-hour workday remains in force
• Exceptional 13-hour work is allowed only with employee consent, with mandatory rest and overtime pay

5. Can an employer force a worker to work 13 hours daily?

• No. Employee consent is required, and refusal cannot justify dismissal

6. Can an employer refuse to pay overtime?

• No. Overtime is paid at the base wage + 40%, and unreported overtime via the Digital Work Card counts as illegal, requiring a 120% premium

7. Can a worker work 13 hours daily all year?

• No. Maximum weekly hours: 48 hours over a 4-month reference period, and annual overtime: 150 hours

8. Is Greece the only EU country allowing 13-hour daily work?

• No. Over 10 EU countries allow similar arrangements under strict compliance with EU labor rules

9. Can an employer fire an employee via SMS?

• No. Current dismissal laws remain unchanged

10. What changes in annual leave?

• Employees can now split annual leave into multiple periods (e.g., 4 periods per year), with employer agreement

11. Can part-time employees work overtime?

• Yes, with a 40% pay increase if desired

12. Can an employer reduce wages due to the Digital Work Card?

• No. Any reduction is prohibited

13. Can a 4-day workweek be applied all year?

• Yes. Employees, e.g., parents, can choose 4-day work for the full year

14. Maternity benefits for employees with multiple employers or insurance funds?

• Resolved. Benefits now apply after 200 contributions, regardless of multiple employers or funds

15. Retired employees earning additional income—impact on solidarity contributions?

• No increase. The extra income does not affect pension solidarity contributions

16. Do exemptions from contributions risk the social security system?

• No. Data show increased contributions and employee earnings from overtime, night, and holiday work

17. Do individual labor law changes undermine collective bargaining?

• No. Collective labor negotiations continue, with many new agreements offering better terms than individual law

Source: pagenews.gr