Do you want to hire an employee in Greece without a permanent establishment but need a Greek payroll? IPS can help you hire and pay employees in Greece in compliance with the law, even without a Greek branch or permanent establishment.
There are 2 ways you can hire someone in Greece without a permanent establishment:
- Employer of Record (Greece) – this is where your employee is employed directly by us and deployed to you full time. This is also known as employee leasing in Greece.
- Direct employment in your company but with payroll accounting according to Greek law by registering your company as a foreign employer (This is only possible in specific regions in Greece – contact us to see if this option is possible in the area in which your employee lives).
Both employment options offer their advantages and disadvantages. Contact us to find out which one suits your project better. We will be happy to advise you and find the best solution for your company.
IPS is your global payroll solution for a successful and fast international expansion without a permanent establishment.
Remote Work Full Time from Greece – Information for Hiring Employees in Greece
To ensure that you succeed in your first go abroad, IPS as your international payroll partner is here to assist you with the correct employment of your employees in Greece and the preparation of Greek payroll in accordance with the laws of the country. Following is some information to help you understand the Greek payroll system.
Employer costs in Greece vary according to the personal situation of the employee and lie at between 22 and 25% on top of the gross salary.
If you do not have an office in Greece, you will need a service like IPS to calculate and pay these additional employer costs correctly according to Greek law. With international payroll in Greece from IPS, you can ensure that your employee is paid compliantly according to Greek law.
International payroll services in Greece require compliance with polish employment law.
As your international payroll service in Greece, we make sure you are equipped with the information you need.
An employee must notify their employer by any means and verify the sickness by providing a note from the doctor confirming the condition and an indication of the number of days the employee will be on sick leave.
The amount of sick leave an employee builds up depends on how long he has been working:
- 10 days – 4 years: 1 month of sick leave
- 4 years but less than 10 years: up to 3 months of sick leave
- 10 years but less than 15 years: up to 4 months sick leave
- More than 15 years: up to 6 months sick leave
Nevertheless, the employer is allowed to fire the employee during his sick leave if the employer will pay to the employee the appropriate severance pay.
If the employee has not completed at least 10 days at his work, he is not entitled to any sick leave payment.
Vacation and public holidays
The employee is entitled to two days of holiday for each month of employment (20 days for the year for a five-day working week, 24 for a 6-day week) in the 1st year. Following completion of one year of employment, the holiday entitlement increases by one day for the second and third years of service to a maximum of 22 days for a 5-day working week and 26 days for a 6-day working week.
Workers who have completed 10 years of service with the same employer or 12 years of employment with any employer will be entitled to leave of 30 working days if a 6-day working week system is in place and 25 working days if a 5-day working week system is in place.
Greece has the following public holidays:
- New Year’s:
- Monday of Lent:
- Independence Day:
- Good Friday:
Friday before Easter
- Easter Monday:
the Monday after Easter
- Labour Day:
- Whit Monday:
50 days after Easter
- Assumption Day:
- Ochi Day: 28 October
- Christmas Day:
- Boxing Day:
In Greece, with an indefinite contract, the first 12 months are considered the probation period. During this time, no notice period or severance payment is needed if the employer wishes to terminate the employee.
After the probation period, the notice period is as follows:
- 1 years but less than 2 years of employment: 1 months’ notice
- 2 years to 5 years of employment: 2 months’ notice
- 5 years to 10 years employment: 3 months’ notice
- More than 10 years: 4 months’ notice
A redundancy service based on the length of employment with the same employment is regulated by law.
If prior notice of termination was given, the payments look as follows:
Length of service
1 – 4 years
1 months’ earnings
4 – 6 years
1.5 months’ earnings
6 – 8 years
2 months’ earnings
8 – 10 years
2.5 months’ earnings
10 years completed
3 months’ earnings
11 years completed
3.5 months’ earnings
12 years completed
4 months’ earnings
The redundancy payment doubles if notice was not given in a timely manner.
As your international payroll company in Greece, we will ensure that you comply with the legal framework when giving notice.