Greek Labor Law: Essential Guide

Published on and written by Cyril Jarnias

Greece, the cradle of democracy, has undergone significant transformations in its labor law in recent years. In 2025, the country continues to adapt its legislation to address economic challenges while protecting workers’ rights. This article provides a comprehensive overview of Greek labor law, essential for anyone considering working or establishing a business in this Mediterranean country.

Employment Contracts: The Foundation of the Employer-Employee Relationship

In Greece, employment contracts are governed by the Greek Civil Code and labor legislation. There are two main types of contracts: fixed-term and indefinite-term. Fixed-term contracts are limited to a maximum duration of 36 months, after which they automatically convert to indefinite-term contracts if work continues.

  • Identity of the parties
  • Workplace location
  • Job description
  • Start date and contract duration
  • Working hours
  • Salary and payment terms

A particular feature of Greek law is the statutory probation period of 12 months for indefinite-term contracts. During this period, the employer can terminate the contract without notice or severance pay.

Good to know:

In Greece, a verbal contract is legally valid, but a written contract is highly recommended to avoid future disputes.

Social Obligations: An Evolving System

The Greek social security system, known as EFKA (Unified Social Security Fund), covers health insurance, pensions, and unemployment benefits. Employers and employees jointly contribute to this system, with rates that vary depending on the type of employment and industry sector.

  • For employees: approximately 15.75% of their gross salary
  • For employers: approximately 24.81% of the employee’s gross salary

It’s important to note that Greece has implemented measures to reduce social security contributions to stimulate employment and business competitiveness. These measures include contribution reductions for young workers and companies hiring long-term staff.

Good to know:

Self-employed workers in Greece must register with EFKA and pay their own social security contributions, which are calculated based on their declared annual income.

Minimum Wage: Protection for Workers

The minimum wage in Greece is set by the government after consultation with social partners. In 2025, the monthly minimum wage stands at 780 euros gross for 14 months, equivalent to an annual salary of 10,920 euros. This amount represents a significant increase compared to previous years, reflecting the government’s efforts to improve workers’ living standards.

It’s important to note that this minimum wage applies to all workers, regardless of age or experience. Sectoral collective agreements may provide for higher minimum wages for certain professions or industries.

  • 12 regular months
  • 1 additional month for summer vacation
  • 0.5 months for Christmas
  • 0.5 months for Easter

Good to know:

Employers who fail to comply with the minimum wage face heavy fines and may be sued by their employees.

Average Salaries: An Overview of the Greek Labor Market

While the minimum wage provides a base, average salaries in Greece vary considerably across sectors and skill levels. In 2025, the average monthly salary in Greece is approximately 1,000 euros net, reflecting a gradual improvement in the country’s economic situation.

  • In the public sector, salaries are generally higher, averaging around 1,200 euros net per month
  • In the private sector, salaries vary more widely, ranging from 800 euros for unskilled jobs to over 2,000 euros for management positions

It’s important to note that these averages mask significant regional disparities. Salaries in Athens and major cities are generally higher than in rural areas or less developed islands.

Good to know:

Despite the improvement in average salaries, Greece remains below the European Union average in terms of compensation, which can be an advantage for companies looking to establish operations in the country.

Salary Skills: A Changing Market

The Greek labor market is undergoing rapid transformation, with growing demand for specific skills. The technology, tourism, and renewable energy sectors are particularly dynamic and offer opportunities for higher salaries.

  • Software development and artificial intelligence
  • Project management in green energy
  • Digital marketing and e-commerce
  • Hotel management and luxury tourism
  • Finance and data analysis

Workers with these skills can expect salaries significantly above the national average, often in the range of 1,500 to 3,000 euros net per month, or even more for management positions.

English proficiency remains a major asset in the Greek labor market, particularly in internationally oriented sectors. Bilingual or multilingual employees often receive a salary premium compared to their Greek-only speaking colleagues.

Good to know:

Greece actively encourages training and digital skills development through various government and European programs, offering opportunities for professional retraining.

Unions and Workers’ Rights: A Strong Legacy

Greece has a long tradition of unionism and protection of workers’ rights. The right to strike is constitutionally protected, and unions play an important role in collective bargaining and defending workers’ interests.

  • A maximum of 40 working hours per week
  • A minimum of 20 paid vacation days per year, increasing with seniority
  • Protection against unfair dismissal
  • The right to collective bargaining
  • Equal treatment and non-discrimination

Sectoral collective agreements remain an important tool for defining working conditions and wages in many sectors, although their scope has been reduced following economic reforms in recent years.

In 2025, there is a trend toward more flexible forms of social dialogue adapted to modern economic realities. Greek unions seek to balance protecting workers’ rights with the need to maintain business competitiveness.

Good to know:

Although unionization rates have declined in recent years, Greek unions remain influential, particularly in the public sector and in traditional industries like construction and maritime transport.

Conclusion: An Evolving Legal Framework

Greek labor law in 2025 reflects a delicate balance between worker protection and the need for economic flexibility. Although the country has undergone significant reforms following the economic crisis, fundamental workers’ rights remain firmly embedded in legislation.

For companies considering establishing operations in Greece, understanding these nuances of local labor law is crucial. The country offers an increasingly dynamic labor market, with interesting opportunities in growing sectors, while maintaining competitive labor costs compared to other EU countries.

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About the author
Cyril Jarnias

Cyril Jarnias is an independent expert in international wealth management with over 20 years of experience. As an expatriate himself, he is dedicated to helping individuals and business leaders build, protect, and pass on their wealth with complete peace of mind.

On his website, cyriljarnias.com, he shares his expertise on international real estate, offshore company formation, and expatriation.

Thanks to his expertise, he offers sound advice to optimize his clients' wealth management. Cyril Jarnias is also recognized for his appearances in many prestigious media outlets such as BFM Business, les Français de l’étranger, Le Figaro, Les Echos, and Mieux vivre votre argent, where he shares his knowledge and know-how in wealth management.

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