EMPLOYER OF RECORD IN GREECE

Greece has remained the global leader in maritime transport and shipping, according to the 2021 annual report by the Union of Greek Shipowners. With a fleet of nearly 5,000 vessels, Greece remains the backbone of shipping for the European Union (EU). Behind Greece are Japan, China, Singapore, and Hong Kong, which altogether represent more than half of the world’s overseas shipping capacity.

Greece receives significant financial support from the EU. In the most recent EU economic adjustment program, Greece received €61.9 billion of financial assistance from the European Stability Mechanism, out of a total program amount of up to €86 billion.

Greece’s international reputation took a hit after the European debt crisis, which plagued the first half of the last decade. The COVID-19 pandemic has cast Greece in a new light. As reported by the European Commission’s 2022 Greece Enhanced Surveillance Report, it battled the pandemic far more effectively than the rest of the EU with fewer cases, fewer deaths, and a lower negative impact on its economy.

As reported by BNP PARIBAS, Greece has a rapidly improving business climate. Foreign direct investment in the country has firmly risen since 2016 and strongly rebounded after the 2020 pandemic. Although fragile, the banking sector is improving with the government’s asset protection plan, which was due to expire in early 2021 but was extended to the end of 2022 on account of its success.

Foreign direct investment in the country has firmly risen since 2016 and strongly rebounded after the 2020 pandemic.

In accordance with Greek Decree No. 156/1994, transposing Council Directive 91/533/EEC, employees are required to be informed in writing of the key terms and conditions of employment, specifically:

• Employer and employee identification information
• The place of work and the employer’s registered address
• The job position, grade, and work objective
• Start date and the duration of the employment contract, if fixed-term
• Annual leave duration and the manner in which it will be granted
• Applicable notice period and severance pay in the event of termination
• Salary and payment date
• Daily and weekly working time
• If applicable, reference to the collective labor agreement, which determines employment terms

As of 2022, the Greek income tax code provides for the following categories:

• €0 – €20,000: 22%
• €20,001 – €30,000: 29%
• €30,001 – €40,000: 37%
• €40,001 and above: 45%

The corporate income tax rate in Greece is 22%.

The contribution rate on an employee’s income is a total of 40.06%. The employee’s contribution is 15.5% and the employer’s contribution is 24.56%, where the employer withholds and pays the contributions to the Greek Social Security system.

For each calendar year, employees on a five-day working week receive a statutory allowance of 20 to 26 days of leave, whereas employees on a six-day working week are entitled to 24 to 31 days, depending on their years of service. Increased annual leave may be authorized by legislation, such as due to employees with disabilities or collective labor agreements.

An employer of record (EOR) in Greece is a third-party organization that becomes the full legal employer of your in-country workforce. The EOR compliantly handles employer-related responsibilities like onboarding, pay, and benefits while enabling you to continue managing the day-to-day operations of your team.