Greece has launched one of its most sweeping labour reforms in decades, modifying how time, flexibility, and digital oversight define the modern workplace. Law 5239/2025, “Fair Work for Everyone: Simplification of Legislation – Support for Workers – Protection in Practice – Pension Adjustments” was passed by the Hellenic Parliament in October 2025. It introduces major changes in working hours, annual leave, family benefits, and digital reporting.
For employers, the law marks both a compliance challenge and a chance to modernise workforce planning, simplify administration, and align with Greece’s digital-first employment model.
The law removes previous limits on short-term contracts, allowing employers and employees to agree freely on duration without notifying the Labour Inspectorate. Rotational workers may now perform overtime, giving companies in sectors such as tourism and manufacturing greater flexibility to meet fluctuating workloads.
The most debated measure concerns overtime. Daily limits increase from three to four hours, allowing employees to work up to 13 hours a day – eight regular and five overtime hours – provided they give written consent. Overtime pay rises by 20% for the first extra hour and 40% for the rest. Extended days must be offset by shorter hours elsewhere in the week and cannot exceed 37.5 days per year. Employees who decline overtime remain fully protected from dismissal.
For the first time, Greece introduces a permanent four-day workweek option. Employers and employees can agree to a 10-hour day over four working days, without a reduction in pay. The model supports better work–life balance, especially for parents and caregivers, while allowing businesses to optimise scheduling and reduce costs on non-working days. The measure mirrors a wider European shift towards flexible working that prioritises productivity over physical presence.
Annual leave rules now allow employees to split their time off into more than two periods a year, provided both sides agree. Employers report leave electronically via the ERGANI II system, eliminating paper records.
Family and maternity protections are also expanded. Parental allowances are now tax-free, non-transferable, and shielded from seizure. Maternity protection extends to foster and adoptive mothers of children up to eight years of age (previously six), and benefits carry over between employers and insurance funds, ensuring continuity for working parents.
A new “Fast Track” hiring mechanism helps employers manage seasonal or urgent labour demands. Fixed-term contracts can now be issued for as little as two days through the ERGANI II digital platform. Workers receive and accept terms electronically via the MyErgani app before starting work. Any contract changes must also be approved digitally, creating full transparency and traceability.
At the core of the reform is the expansion of the Digital Work Card, a tool for recording attendance and working time. The new system allows a 120-minute flexibility window for clocking in or out and recognises preparation time: 30 minutes in industry and 10 minutes elsewhere. Employees can have up to three unrecorded entries per month without penalty, and any wage reduction linked to the card is deemed invalid. Traditional paper records such as rosters, leave books, and payroll slips are now replaced by fully digital records in ERGANI II.
Health and safety rules are strengthened. Companies with more than 20 employees must appoint a safety technician (previously 50). Reports by occupational doctors and safety officers must now be filed electronically, while the new national system, HIRIDANOS, will monitor compliance in real time. Greece also ratifies three International Labour Organization conventions, reaffirming that occupational safety is a fundamental right.
For working pensioners, the law freezes the Solidarity Contribution (EAS), ensuring that employment income does not trigger higher deductions or reduce overall pension benefits.
Law 5239/2025 offers flexibility and simplification but also demands stronger compliance. Employers should review employment contracts, overtime policies, and internal procedures to align with the new framework. HR teams need targeted training on digital reporting, overtime limits, and employee rights. Strengthening workplace safety protocols and maintaining clear documentation through ERGANI II will be essential.
Greece’s new labour framework signals a shift towards flexibility, digitalisation, and shared accountability. For employers ready to adapt, it offers an opportunity to modernise workforce management while building fairer, more resilient workplaces.