Key provisions of L. 5053/2023 regarding transparent and predictable working conditions and reforms to ERGANI II
- Indefinite term contracts may include a reduced probationary period of up to 6 months instead of 12 months as per previous provisions. In fixed-term contracts the probationary period may be set in proportion to the total duration of the contract and in any case it may not exceed ¼ of the total duration of the fixed-term contract up to a maximum of 6 months. The reduction of the probationary period does not have an impact on the termination of indefinite time employment without severance pay within 12 months from the starting point of the contract.
- Employees must be notified in writing on the terms and conditions of their employment either in paper or by electronic form (by keeping the sent/receipt confirmation) within one week from the day of the employment start, while for other data determined in the Law, they must be notified at the latest within one month. Failure to notify or failure to respond to the employee’s request for such information justifies the filing of a complaint before the Labour Inspectorate by the employee. Moreover, the employer must notify the employee about the provisions of the labor legislation, which are applicable, and determine the minimum conditions of pay and work. Such notification must be free of charge and in a clear, transparent, detailed and easily accessible way from a distance, in printed or electronic form, including through existing online portals.
- Prior to the posting or provision of services with the EU or a third country, the employer must also inform the employee in writing on specific information about his/her new working conditions. In particular:
- If the employe is asked to provide his services within EU or in a third country, the employer must inform him/her prior to his/her departure regarding: a) the country or countries where he/she will provide his/her work and its expected duration, b) the currency of wages to be paid, c) allowances or benefits, in cash or in kind to be paid associated with the assignment of work and d) information on whether repatriation is foreseen and its conditions, if applicable.
- If the employee is posted to an EU country, the employer must inform him/her, in addition to the above, regarding: a) the entitled remuneration according to applicable legislation of the member state where he/she will provide the work, b) the allowances related to the posting and the arrangements for the reimbursement of travel, food and accommodation expenses (if provisioned) and (c) the official national website of the host Member State, in which the employee is to provide his/her work, through which he/she can be informed of the terms and conditions of employment applicable to posted employees. The Law provides for the possibility of employees to provide work to another employer beyond the eight-hour period. Specifically, within a 24-hour period, it is possible to work full-time (8 hours) and part-time to a second employer, limited to a maximum of 5 hours (i.e. a total of 13 hours of work). This is because the legislator requires a minimum of 11 hours of continuous rest for the employee, which is binding. Therefore, clauses prohibiting the provision of work to another employer outside working hours cannot be imposed and are invalid unless justified by objective reasons (e.g. competitive work, a risk for the safety and health of the employee, etc.).
- In case the employee’s work schedule can entirely or mostly not be predicted, the employee must provide work if two conditions are cumulatively met: a) the work is provided within predetermined time limits about which the employer is obliged to inform the employee, b) the employee has been notified at least 24 hours in advance by the employer about the assignment of the work through any appropriate means (sms, email, etc. ) unless there are circumstances that justify a shorter notice. If the employer cancels the assignment, then the employee is entitled to compensation equal to the hourly rate that would have been paid if employed.
- Provision is made for the possibility of concluding on demand employment contracts, in which case the contract must specify a minimum number of paid hours of work that cannot be less than ¼ of the agreed total number of hours, otherwise the contract is invalid. Unilateral modification of a full-time or part-time employment into a on demand contract by the employer constitutes a unilateral detrimental change.
- In case there is an obligation under applicable labour regulations for the employer to provide training, then this is recognized as working time, is carried out, if possible, during the contractual working hours and is provided on a complimentary basis to the employee.
- The employee’s unjustified absence from work for a period of more than five consecutive working days may be regarded as termination of the employment contract on the initiative of the employee, provided that an additional period of five consecutive working days has previously lapsed since the employer had notified the employee pursuant to the Law.
- Changes in the working hours or modification of the working hours or of the organization of the working time or overtime may not be registered a priori in the ERGANI II system for those employers who make use of the digital working card. If such a change or modification or overtime is not identified with the data in the digital working card, then an administrative fine of EUR 10,500 per employee is imposed on the employer.
- Employees who consider that their dismissal is made for one of the reasons referred to in Article 66 par. 1 of Law No. 4808/2021 may request in writing from their employer to disclose the reasons for their dismissal and the employer is obliged to respond in a documented manner.
- A minimum of 6 months’ imprisonment and a fine is prescribed for anyone obstructing or threatening or using physical violence against employees who want to work or do not intend to participate in a strike. The same criminal sanction is provisioned for those who participate in occupying workplaces or entrances of workplaces either during a strike or independently of a strike.
- As of 01.01.2024, the suspension of validity of the maturity/three-year/five-year allowances etc. is abolished. In particular: a) previous service of an employee hired before 14.02.2012 continues to accumulate after 01.01.2024, b) previous service of an employee hired after 14.02.2012 begins to accumulate after 01.01.2024. For employees who are remunerated with the minimum statutory salary, the time worked before 14.02.2012 and after 01.01.2024 at any employer and in any kind of specialty is counted in. If the salary paid is higher than the legal minimum, the increases due to seniority/multiple years are offset against the wages exceeding the legal minimum salary. If from 01.01.2027 the unemployment rate exceeds 10% and until it falls below 10%, the increase due to seniority will automatically be suspended.
- Employers are obliged to comply with the emergency measures taken by the competent bodies in cases of natural or technological disasters or extraordinary weather conditions, otherwise administrative and criminal sanctions pursuant to articles 24 and 28 of Law 3996/2011 are imposed.
- Working time arrangements can now be implemented by a simple agreement between the employer, whereas previously such arrangements could have been made upon employee’s request (provided there is no trade union, or an agreement is not reached between the trade union and the employer).
- In businesses with non-continuous operation, which may operate from Monday to Saturday with a system of alternating shifts, and in which employees are employed for 5-days/week, employment on the 6th day may be allowed in exceptional cases. These exceptional cases must be notified by the employer to the Labor Inspectorate before the start of any work and are subject to inspection. This employment is registered in the ERGANI II system, the employee’s remuneration for the work on the 6th day is set at the daily wage increased by 40% and such employment can be up to 8 hours while overtime or overwork is not allowed.
Author,
Lawyer, LL.M.