Up to €404 Extra per Year! – What the New Labour Bill Brings for Employees & Pensioners

The new labour bill, currently under public consultation until September 19, brings key changes aiming to adapt to modern market needs and boost the income of both employees and pensioners.

Financial Benefit of Up to €404 for Employees

The most tangible change involves full exemption from social security contributions on bonuses paid for:

• Overtime

• Night shifts

• Work on Sundays and public holidays

 According to estimates, employees could see an annual benefit ranging from €49 to €404, depending on their level of additional work.

Example: An employee earning €1,342/month with an additional €7,862 annually from overtime and night work could see a benefit of €403 per year. Meanwhile, the employer saves €645 in contributions.

Pensioners: End of Solidarity Contribution

Another key provision targets working pensioners:

Those receiving pension increases after recalculation will be exempt from the solidarity contribution.

This means the increased pension amount will not be subject to extra tax, allowing pensioners to keep the full added benefit in their pocket.

4-Day Workweek – Personalized Working Hours

The bill introduces the option of:

• A 4-day workweek, with 10-hour or even 13-hour days, based on mutual agreement between employer and employee.

Example: An employee could work from Monday to Thursday and have Fridays off.

This option is especially beneficial for families with children, helping balance work and personal life.

Fast-Track Hiring & New Short-Term Contracts

For the first time, the law will allow:

• Hiring workers for up to 2 days to cover urgent needs.

• Digital contracts via mobile apps, streamlining bureaucracy and saving time.

Additional Protections & Individual Rights

• Maternity and pregnancy leave extended to cover cases of multiple jobs.

• Parental allowance will be non-seizable, tax-free and non-transferable.

• Right to split annual leave into more than one period.

• Clear provision that any wage reduction after the implementation of the Digital Work Card is considered unlawful and harmful to the employee.

Special Provision for Long-Term Unemployed

The Public Employment Service (DYPA) will fully cover the pension contributions of long-term unemployed individuals (12+ years), provided they maintain an active unemployment card.

 This ensures they don’t lose their right to a future pension.

The Big Picture

The new labour bill attempts to combine workplace flexibility with social protection:

• More take-home pay for employees.

• Income safeguards for pensioners.

• New forms of employment tailored to modern needs.

 However, it also sparks debate, as it paves the way for a more flexible, yet also more individualized labour landscape.

Source: pagenews.gr