Newsletter Payroll July 2024

Beginning of April 1st, 2024, the Ministerial Decision No 25058/29.3.2024 raised the daily minimum wage for skilled workers to EUR 35.07 and the statutory minimum wage for employees to EUR 830.

As such, parents and spouses of the same sex are now entitled to benefits and protections under labor laws upon the enforcement of Law 5089/2024. This includes protecting same-sex parents from termination and expanding the scope of maternity and paternity leave laws.

The law lays out the principles of equal treatment and prohibits discrimination in both the public and private sectors. This law is amended by Law 5089/2024, prohibits discrimination in the workplace on the grounds of race, color, national or ethnic origin, genealogical background, religious or other beliefs, disability or chronic illness, marital or social status, sexual orientation, identity, characteristics, or gender expression.

Upon the birth of their child, a working father is entitled to 14 working days of paid leave. This leave may be taken in full after the day of birth or two days before the anticipated date of birth (as well as 12 days after the birth and within 30 days of the birth). According to recent changes to Law 5089/2024, parental leave for child adoptions involving spouses of the same gender is started when a statement identifying the parent who will be taking the leave is submitted to the employer or employers. Employers hold the responsibility to provide the necessary certificates to the employees in such cases.

All mothers employed in a fixed-term or indefinite employment relationship are entitled to special maternity leave of nine months after the end of their maternity leave and the equivalent of reduced hours. This leave shall also be granted to presumed mothers who have a child through surrogacy and to employees who adopt a child. The Greek Public Employment Service (DYPA) provides and pays for this benefit.
According to the recent amendments of Law 5089/2024, in case of adopting a common child by spouses of the same gender, the provided leave is granted following a relevant declaration to the employer or employers regarding which parent will use the leave. Employers are obligated to provide relevant certificates to employees.

Ministerial Decision 113169/2023 sets out July 1st, 2024, as the final date for the mandatory adoption of the digital work card system to businesses primarily engaged in retail and industry. Initially introduced in 2022, the scheme aims to ensure legal transparency for the protection of employees and reduce undeclared work. The key feature of the system includes real-time recording of working hours. The digital workcard system has been implemented in various sectors of the economy so far. The Tourism and Hospitality Industry is the next to follow. Businesses involved in mining, petroleum, and energy are not required to fulfill this responsibility. Administrative fines as specified in the Ministerial Decision number. 80016/31-08-2022 shall be imposed for failure to adopt the digital work card system.

There will be further modifications to the way managerial personnel is classified and to the wage thresholds that apply as of March 1, 2024. In particular, those designated as managerial employees under Part B of Ministerial Decision No. 90972/15-11-2021 now include those with the authority to make independent decisions. Furthermore, the maximum monthly compensation for executives classified as Category B has been changed from six times to four times the minimum statutory pay, which is presently EUR 3,120.00. The monthly compensation cap for executives in Category C has been changed from eight times to six times the minimum statutory pay (EUR 4,680.00). A declaration of fundamental employment Conditions is submitted during the recruitment process in ERGANI II to determine managerial status.

According to Article 25 of 5053/2023, companies that operate continuously by nature, working twenty-four hours a day, seven days a week, with a rotating shift structure, and that offer their employees a five-day workweek are eligible to start allowing six-day work on July 1st, 2024. In non-continuous operation businesses that operate five or six days a week for 24 hours a day, it is also allowed to implement a five-day workweek system for their employees in the event of an increase in workload, provided that the employee makes the necessary declaration in the “ERGANI” system.