Direct Request (CEACR) - adopted 2024, published 113rd ILC session (2025)

Employment Policy Convention, 1964 (No. 122) - Greece (Ratification: 1984)

The Committee notes the observations of the Greek General Confederation of Labour (GSEE), received on 1 September 2023, and the Government’s response thereto, received on 24 November 2023.

Articles 1 and 2 of the Convention. Implementation of an active employment policy. Employment trends. The Committee previously requested the Government to provide updated information on the impact of the COVID-19 pandemic on the labour market, and how the pandemic and related measures adopted have affected the implementation of the Convention’s objectives. The Committee welcomes the detailed information provided in this regard, including details on the targeted pandemic-related employment measures. The Government reports that Greece’s unemployment rate for those aged 15–74 was 12.5 per cent in 2022, a 2.2 percentage point reduction from 2021. Unemployment for men decreased to 9.3 per cent (from 11.4 per cent in 2021) and for women to 16.4 per cent (from 18.9 per cent in 2021). At the ΕU-27 level, the unemployment rate was 6.2 per cent in 2022 (5.9 per cent for men and 6.5 per cent for women), down from 7.1 per cent in 2021. Long-term unemployment in Greece fell from 9.2 per cent in 2021 to 7.7 per cent in 2022 but is still well above the EU-27 average of 2.4 per cent. The Committee notes that, according to ILOSTAT, unemployment was 11 per cent in 2023, while the labour force participation rate was 52.2 per cent in 2023, similar to 2019 levels. The Committee also notes that, according to a 2024 OECD publication on recent trends in Greece’s labour market, despite these marked improvements in the last decade and relative resilience during the COVID-19 pandemic, unemployment remains well above its pre-financial crisis levels. Indeed, the unemployment rate ranks the second highest in the OECD and labour force participation ranks sixth lowest in the OECD. Much unemployment is long-term unemployment, with 63.1 per cent of the unemployed having been unemployed for 12 months or more as of 2022 – the second highest share in the OECD. The Committee requests the Government to provide detailed updated information on the policies and measures taken to promote full, productive and freely chosen employment, and on the impact of employment initiatives adopted, especially regarding the integration of the long-term unemployed.In particular, the Government is requested to indicate whether such measures comprise any of the following: (i) initiatives aimed at reducing unemployment, particularly among the youth, and aligning skills with labour market needs; (ii) the steps taken to strengthen social protection systems that support employment and alleviates poverty; (iii) how the country is aligning macroeconomic and employment goals, and what structural reforms are being pursued to enhance competitiveness and invest in the real economy and quality jobs; (iv) social dialogue initiatives with employers’ and workers’ organizations in the policy-making and implementation process; and (v) measures promoting sustainable development, including enterprise creation and a tax system that supports economic growth and job creation.The Committee also requests the Government to continue to provide detailed updated statistical information, disaggregated by age and sex, on the labour force’s size and distribution, employment and unemployment rates, underemployment, and size of the informal economy.

Employment service. Modernization of labour market institutions. The Committee takes note that the Manpower Employment Organization (OAED) was renamed Public Employment Service (DYPA), pursuant to Law No. 4921/2022, which introduced significant changes to the employment service in response to socio-economic and technological developments and challenges. The modernization of the OAED had, as a strategic objective, its transformation into a modern and flexible public employment service inspired by European best practices, with the aim of a more rapid and effective reintegration of the unemployed into the labour market, the rewarding of those who actively seek employment, and upgrading their skills. The Committee notes from the 2023 OECD Economic Survey of Greece that recent strong employment growth must continue for Greece to achieve the employment rates of other OECD countries. The public employment service can help improve the match between jobseekers and employers. It is gaining capacity to tailor individual employment support programmes, which can particularly help younger jobseekers, but it is burdened by large numbers of registered jobseekers loosely connected to the workforce. While referring to its comments on the application of the Employment Service Convention, 1948 (No. 88), with respect to the contribution of the employment service to employment promotion, the Committee requests the Government to continue to provide information on the impact of the programmes and services delivered by the public employment service to attain the objectives specified in Article 1 of the Convention.

Promotion of small and medium-sized enterprises (SMEs). Entrepreneurships. The Committee notes the information provided by the Government on the measures taken to support the development of SMEs, which employ most of the country’s labour force. The Government indicates that enterprises employing one to ten workers account for 88.21 per cent of all enterprises. During the reporting period, the Government has implemented a programme titled “Acceleration of smart manufacturing” to financially support micro, small, and medium-sized enterprises in the industrial sector, covering expenses that may include worker training in new technologies. Furthermore, as part of the Partnership Pact for Regional Development (NSRF) 2021–27, a series of action aimed at the green transition of SMEs is being implemented. The Committee notes the Government’s indication that tackling undeclared work is the main action point of both the Ministry of Labour and Social Security and the Labour Inspectorate. It notes that the number of enterprises inspected increased from 46,127 in 2020 to 61,438 in 2022, with the rate of delinquent enterprises rising from 3.16 per cent to 4.74 per cent during the same period. The Committee requests the Government to continue to provide information on the measures taken to improve the business environment in support of SME development and the creation of decent employment opportunities for the unemployed. Referring to the Promotion of Cooperatives Recommendation, 2002 (No. 193), the Committee reiterates its request that the Government provide information on the measures taken to promote productive employment through cooperatives.

Workers vulnerable to decent work deficits. The Committee notes the Government’s information on targeted employment measures aimed at helping vulnerable groups, such as young people, older workers, persons with disabilities, and the long-term unemployed acquire professional experience and skills. For those groups of workers more susceptible to non-decent working conditions, both the Ministry of Labour and Social Security and the independent Labour Inspectorate emphasize communication and information campaigns about workers’ rights. The Public Employment Service implements programmes, including a targeted employment initiative for special population groups facing significant employment and labour market (re-)integration barriers. This programme subsidizes the creation of 10,000 new private sector jobs for vulnerable groups. The programme aligns with training opportunities under the National Skills Strategy, although training is not an eligibility criterion. Additionally, the Committee notes from the report a special programme for hiring 2,000 unemployed persons, including persons with disabilities, young people at social risk, and other vulnerable groups, as well as an Ergonomic Workplace Adjustment Programme for 50 persons with disabilities. The Committee requests the Government to continue to provide updated information measures promoting full, productive, freely chosen and sustainable employment for persons vulnerable to decent work deficits. It also requests details on the impact of the implemented measures.

Women’s employment. The Committee notes that the unemployment and long-term unemployment rates for women continue to be higher than that for men. Regarding labour force participation, according to ILOSTAT, women’s labour force participation rate was 44.8 per cent in 2023, and 60 per cent for men. The Committee notes the various initiatives aimed at promoting women’s employment. To further enhance women’s employment, Law 4808/2021 established measures aimed, among other things, at improving parents’ work-life balance and family protection, including special provisions for granting maternity protection benefits. In 2021-2022, the Employment Service implemented programmes that increased subsidies for wage costs of women workers and the proportion of business plans submitted by women that were approved. Examples include the Business Grant Programme for individuals aged 30 and over and the Grant Programme for Entrepreneurial Initiatives for Young Entrepreneurs aged 18 to 29, both with a focus on women. In 2022, an employment programme for 10,000 unemployed people facing barriers to their integration or reintegration into the labour market was launched. While the Committee takes note of the measures taken to promote women’s employment, it notes that the report does not provide results of their implementation.

In addition, the Committee notes that, in its concluding observations on the combined eighth and ninth periodic reports of Greece (CEDAW/C/GRC/CO/8-9, paragraph 33), the Committee on the Elimination of Discrimination against Women noted with concern: (a) the persistent 10 per cent gender wage gap; (b) the concentration of women in lower-paid jobs and in the informal economy, where they are exposed to exploitation and have no access to social security systems; (c) the large number of women engaged in unpaid care work in the State party; (d) the high unemployment rates among rural women, women with disabilities and women belonging to ethnic minorities, including Roma women and women belonging to the Muslim minority in Thrace; and (e) the underreporting of sexual harassment in the workplace owing to limited access to information on newly established reporting mechanisms. The Committee further notes from the 2023 OECD Economic Survey of Greece that the relatively low share of women in paid employment is gradually rising as work arrangements become less inflexible and workers have greater capacity to influence their work arrangements. The new paternal leave scheme can help improve the sharing of household tasks, if it is widely taken up. The Committee requests the Government to provide more specific information on the impact of measures adopted to promote women’s employment, enabling them to access decent and lasting employment at all levels and across all economic sectors. It also requests the Government to include information on flexible working arrangements that lead to increased participation of women in the labour market.

Youth employment. The Committee notes that, while the youth unemployment rate in the country continues to decline, it remains high when comparing across the European Union. According to ILOSTAT, the youth unemployment was measured at 26.6 per cent in 2023 while the labour force participation rate was 24.9. The Government indicates that the Public Employment Service implements multiple programmes aimed at boosting youth employment, including the pre-work programme for unemployed young people aged 18-30. The programme seeks to support unemployed young people still affected by unemployment, preparing them for integration into the labour market. It aims to address unemployment and access difficulties while enhancing young people’s work experience and combating the phenomenon of brain drain. The Government also reports on a work experience programme for unemployed young people aged up to 29 that focuses on digital marketing, enhancing digital skills and addressing the digital gap. Moreover, a business subsidy programme for unemployed graduates of higher education institutions seeks to create new full-time jobs by recruiting unemployed graduates of higher education institutions, aged 22 to 29. The Committee also notes from the 2023 OECD Economic Survey of Greece that employment among youth is low in Greece, despite recent progress as the economy recovers. Structural reforms to the labour market are being implemented. Raising youth employment can offset the effects of the ageing workforce, support the productivity and earnings of today’s youth over their lifetime, and improve the attractiveness of remaining in Greece rather than emigrating. Noting the low levels of youth employment, the Committee requests the Government to continue to provide detailed updated information on active employment policies and measures taken to enhance the employability of young persons and facilitate their integration into the labour market, including policies and measures targeting young university graduates. It further requests the Government to provide detailed updated information on the impact of such measures, including statistical information disaggregated by age and sex.

Older workers. The Committee notes that that Government has implemented a series of measures aimed at promoting the employment of older persons. Firstly, there is a programme for businesses, institutions and public sector organizations that regularly engage in economic activity, aimed at creating 16,500 new jobs for long-term unemployed workers aged 55 to 67. The programme lasts for 12 months, with the possibility of a further 12-month extension, and participating employers are responsible for covering the remaining wage and non-wage contributions above the subsidy level. Secondly, the Government reports on a targeted employment programme designed to hire unemployed individuals aged over 45 in areas with high long-term unemployment. The Committee requests the Government to provide more specific information on the impact of the measures adopted to increase the employability of older workers, particularly regarding their reintegration and retention in the labour market.

Education and training policies and programmes. The Committee welcomes the detailed information provided on education and training policies and programmes carried out from 2020 to 2022, including apprenticeships, internships, and vocational training. The Government indicates that following the adoption of Law 4921/2022 “Jobs Again: Reorganizing the Public Employment Service and Digitizing its Services, Workforce Upskilling and Labour Market Needs Diagnostics and Other Provisions”, the system of continuing vocational training of the labour force has been modernized. This reform aims to improve responsiveness to social and financial needs and to link vocational training with other educational and lifelong learning activities as well as the labour market. In this context, the “Strategy on the Upskilling of the Labour Force and its linkage to the Labour Market” was prepared in June 2022, and the “National Skills Council of the Labour Force” along with a “Scientific Committee” were established to provide technical support and advice on the implementation of the Strategy. The Strategy emphasizes effective matching of skills supply and demand in the labour market, greater involvement of the social partners in designing and implementing continuing vocational training programmes, and mechanisms to monitor and identify current trends in the Greek economy and society, particularly in terms of required skills, with a focus on digital and green growth. Furthermore, DYPA plans to inaugurate a new era in vocational training with targeted programmes that address emerging market trends and challenges, specifically highlighting digital and green skills. This reform is linked to significant investment aimed at developing the skills of the country’s entire labour force, concentrating on digital, green, and technical skills required in the labour market. Under the National Recovery and Resilience Plan “Greece 2.0”, DYPA implements the project on “Upskilling and Retraining Programmes in Sectors with High Demand,” focusing on digital and green skills and targeting the vocational training of 120,000 unemployed persons. The goal of this action is to qualitatively upgrade the knowledge and skills of unemployed individuals to enhance their employability and facilitate their rapid reintegration into the labour market. Additionally, an upskilling programme titled “Go Forward” is being implemented for 150,000 workers, aiming to help them adapt to modern workplace requirements and improve their prospects, thus contributing to the modernization of the Greek economy. The Committee notes from the 2023 OECD Economic Survey of Greece that, even prior to the COVID recovery, Greece has had one of the highest mismatches between workers’ skills and employers’ needs. The recent growth in employment is likely to have amplified skills shortages. The Committee requests the Government to continue to provide updated information on the educational and training programmes and their impact on productive and lasting employment opportunities for young people. It also requests the Government to provide more specific information on the initiatives adopted to help address skills mismatches in the labour market.

Article 3. Participation of social partners. The Government indicates that, in addition to their institutional and substantial participation in the Supreme Labour Council and the Administrative Board of the Public Employment Service, provisions are made for their involvement in Committees and Special Committees. The social partners actively participate in both DYPA’s Board of Directors and the National Workforce Skills Council. They also co-decide on the Workforce Skills Strategy through the Social Partners Council, which supports their overall policies. Following the reform of the Single Account for the Implementation of Social Policies (formerly LAEK), a significant amount was allocated to the social partners to design and implement suitable training programmes. Furthermore, the transformation of the “ΕRGΑΝI” information system into “ΕRGΑΝI ΙΙ”, as it is expressed in the digital organization of working time and the digital labour card, aims to eliminate undeclared and under-declared work while safeguarding labour rights. The design and implementation of the digital labour card involved the participation of the social partners to ensure its effective implementation. The Committee notes the observations of the GSEE indicating that bipartite meetings with the political leadership of the Ministry of Labour cannot replace the tripartite institutional process. The GSEE adds that social dialogue should be frank and effective, align to the State’s commitments, and be conducted with the sincere intention to take into account the views and the experience of workers’ representatives into the finalization of policies and measures. The Committee requests the Government to continue to provide detailed updated information on the content and outcome of the consultations with the social partners concerning the formulation and implementation of employment policy measures.