Greece
Employer of Record & PEO in Greece
Hire & manage teams remotely in Greece without a local entity. We handle HR compliance, payroll & taxes so you can focus on your business.
Native Language
Greek
GDP
$211.64 billion
Payroll Frequency
Monthly
Capital city
Athens
GDP per capita
$19,827
Internet
Medium
Currency
Euro (EUR)
Timezone
UTC +2
English Speaking
>50%
Population
10.33 Million
Employment Cost
Low
Cost of Living
Medium
How NNRoad Employment & PEO Services Work?
NNRoad provides professional employment organization (PEO) & employer of record (EOR) services for companies looking to hire and manage teams in Greece. Registering a legal entity in Greece as a means for employment is an outdated practice that takes both time (months) and money (thousands of USD). NNRoad’s employer of record and PEO services enables companies to hire and manage employees in Greece in full accordance with local labor laws in under a week.
Employer of Record in Greece
Employer of Record (EOR) services are for companies who do not have a legal entity in Greece, but who want to hire in Greece. Employment and full liability are outsourced to NNRoad.
➊ You interviews & select the candidates you want to hire in Greece.
➋ NNRoad arranges a local labor contract with your new employee.
➌ NNRoad arranges a service contract between your organization & NNRoad.
➍ NNRoad organizes, manages & processes payroll in Greece in full compliance with local employment laws.
➎ You maintain a normal working relationship and manage your team in Greece while NNRoad manages payroll & HR liabilities.
- Engaging employees through local labor contracts including contract administration, engagement, extension termination and conversion to permanent hire and is working for and managed by the client.
- On-boarding and off-boarding employees following local labor law practice.
- Registration of employees with social security board and with tax office.
- Complete payroll solution and mandatory benefit administration.
- Payments of local taxes and local social contributions to the relevant authorities.
- Payment management, including invoicing customers/clients and salary payments.
- Support to manage the relationship with the employees.
- Handling of Expense Reimbursements.
- Legal support in case of a labor dispute.
Payroll & PEO in Greece
Professional Employment Organization (PEO) services are for companies who have a legal entity in Greece, and want to outsource their payroll. Employment liabilities are shared between your organization and NNRoad.
➊ You interviews & select the candidates you want to hire in Greece.
➋ NNRoad organizes, manages and processes payroll for your local employees in full compliance with local employment laws.
➌ You maintain a normal working relationship and manage your team in Greece while NNRoad manages payroll & HR compliance.
- Registering and de-registering the necessary company and personnel information for payroll calculation in compliance with local rules.
- Registering and deregistering all local employees with the social insurance, if required.
- Calculation of gross salary, salary deductions, such as withholding taxes, social insurances, unpaid leaves, etc., and net salary based on information provided by the Company including irregular payments such as overtimes hours, incentive/bonus, expense claims, etc. if applicable.
- Pro-rata calculation for people who join/resign.
- Minimum wage policy updates.
- Monthly issue of electronic pay-slips.
- Employee payroll data maintenance.
Advantages of NNRoad's Greece Employment Services
- With EOR/PEO solutions you can manage client meetings, sales, quality control, marketing, R&D and customer support without a local company in Greece.
- Pay as you go
- Dedicated account manager – One point of contact for multiple locations
- Employment & termination processing
- Complete payroll solution and statutory benefit according to local laws
- With EOR/PEO solutions you can hire staff while waiting for the registration of your company in Greece.
- NNRoad only works with professional locally licensed partners
- GDPR compliant
- NNRoad manages employee record timekeeping, bonus and allowance, expenses claims and personal leaves according to local law.
- NNRoad provides foreigner VISA application services, if needed
Employment Compliance in Greece
Taxes & Payroll in Greece
Employee Income Taxes:
Income tax depends on the source of the income (e.g. employment, rental) and is calculated as below.
Tax Brackets
9%: 0 – 10,000 EUR
22%: 10,000 – 20,000 EUR
28%: 20,000 – 30,000 EUR
36%: 30,000 – 40,000 EUR
44%: Over 40,000 EUR
Sample Calculation
Yearly income = 35,000 EUR
9% * 10,000 = 900
22% * 10,000 = 2,200
28% * 10,000 = 2,800
36% * 5,000 = 1,800
900+2200+2800+1800 = 7700
Yearly income tax = 7,700 EUR
Employer Costs in Greece
Employer Contributions:
13.33% – Pension fund
4.3% – Health care
0.25% – Health in benefit
3.25% – Supplementary insurance
1.41% – Additional contributions
Total employment cost: 22.54%
Employee Contributions:
6.67% – Pension fund
2.15% – Health care
0.40% – Health in benefit
3.25% – Supplementary insurance
1.65% – Additional contributions
Total employment cost: 14.12%
Working Hours and Overtime in Greece
An employee can work up to 40 hours per weekday which can be allocated to 5 days (i.e. 8 hours per day) or 6 days per week (i.e. 6 hours and 40 minutes per day), in accordance with the applicable law. The maximum daily working time is 12 hours (inclusive OT).
Overtime
Employment exceeding 45 hours per week for five business days or 48 hours a week for businesses with a six-day work system is considered overtime. Employees are permitted to work up to 3 hours daily beyond the normal working hours.
Employees who work overtime are entitled to a 40% increased rate of pay for each hour of the work performed during overtime.
Mandatory Contributions in Greece
Pension Fund
- Earnings-related primary pension;
- Earnings-related supplementary pension;
- Minimum pension benefits
From 1 Jan 2022, Greek companies must enroll new hires in a mandatory individual defined contribution (DC) pension fund — the Hellenic Auxiliary Pensions Defined Contributions Fund (TEKA) — under measures aimed at improving pension sustainability and benefits.
Termination Laws and Severance Pay in Greece
For termination of a fixed-term contract, the employer is obliged to pay for the rest of the term.
For terminating the indefinite contract, the employer needs to issue notice to the employee as per employees’ service years as follows:
- up to 12 months of employment – no notice;
- from one year to two years of employment – one month’s notice;
- from two full years to five years of employment – two months’ notice;
- from five full years to 10 years of employment – three months’ notice;
- more than 10 full years – four months’ notice.
Severance pay
In the case of an open-ended employment agreement terminated by the employer, the severance pay is calculated accordingly:
| Employment period (years) | Severance pay | Severance Pay if employer does not comply with the period of notice |
1-4 | 1 month | 2 months |
4-6 | 1.5 months | 3 months |
6-8 | 2 months | 4 months |
8-10 | 2.5 months | 5 months |
10-11 | 3 months | 6 months |
11-12 | 3.5 months | 7 months |
12-13 | 4 months | 8 months |
13-14 | 4.5 months | 9 months |
14-15 | 5 months | 10 months |
15-16 | 5.5 months | 11 months |
16 and above | 6 months | 12 months |
Holidays in Greece
Public Holidays in Greece
- New Year’s Day – January 1
- Epiphany – January 6
- Greek Independence Day – March 25
- Orthodox Good Friday – April 22
- Orthodox Easter – April 24-25
- Protomagia – May 1
- Orthodox Pentecost – June 12
- Holy Spirit Monday – June 13
- Dormition of the Virgin Mary – August 15
- National Anniversary Day – October 28
- Christmas Day – December 25
- Synaxis of the Mother of God – December 26
Paid Leave in Greece
Employees on a five-day workweek are entitled to 20 days of leave, while employees working for six days a week receive 24 days. The leaves increase by one for each year that follows in addition to the first up to 22 days if the employee works a five-day week, 26 days for employees who work six days a week.
Employment Contract in Greece
Employment Contract
Labor contracts may be divided into two categories:
- Fixed-term contract: the total duration of a single fixed-term contract is 3 years and the number of renewals allowed within a 3-year period is 3 successive contracts;
- Full time employment contract: This contract is drawn for an indefinite period.
Probation Period
Employment with an open-ended employment agreement is considered to be employed for a probationary period for the first 12 months from the date that it comes into force, which may be terminated without notice and without severance pay unless otherwise agreed by the parties.
Types of Leaves in Greece
Sick Leave
The length of sick leave can vary and generally depends upon service and industry. Employees are generally paid 50% of their wages during the first three days of sick leave. However, from the 4th day of leave, employees are eligible to be paid for sick pay by the local social insurance.
Maternity and Paternity Leave
Female employees are allowed 17 weeks of paid leave. Fathers are allowed 14 days of leave.
Unpaid Childcare Leave
4 months of child care leave is allowed which can be taken consecutively or intermittently until a child reaches 8 years of age.
Immigration Laws in Greece
Non-EU employees must acquire a Type D visa before arriving in Greece, allowing employees to stay in Greece for over 90 days to work. Once an employee has arrived in Greece, they must apply for a residence/work permit within 30 days at the local municipal office or police station.
