Employment Law

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Employment and Labour Law in Cyprus

Cyprus Employment Law regulates the relationship between an employer and employee by combining common law and statutory provisions. All employment agreements in Cyprus were based on the general principles of contract law because employment is thought of as a type of contract. It follows that the contract's terms and conditions were freely and voluntarily accepted by both parties. To guarantee that employee rights are safeguarded, a number of statutory requirements and rules, such as the 1967 Termination of Employment Law and collective bargaining agreements, supplement common law.
Employment Contracts

Any agreement, whether in writing or not, is legally enforceable in Cyprus. Within a month of the start date, however, employers must offer information on the terms of employment. A written employment contract is not required either. Any written statement of the terms of employment that is signed by the employer, including a contract or letter of appointment, is acceptable.

The rights and obligations under all employment contracts are governed by both statutory and common law. Whether or whether they are specified in the contract is irrelevant in this regard. These are a few employee rights:

  • A working week cannot be longer than 48 hours, overtime included or not
  • Maternity and parental leave are rights for parents
  • Maternity leave should be granted for a minimum of 20 weeks
  • Equal pay for similarly performed work is a right that all employees are entitled to.

    Some industries guarantee their workers the minimum pay.

Termination of Employment in Cyprus

The Termination of Employment Law is the most significant statute in Cyprus that relates to employment law. It controls how employment ends, and its main goal is to safeguard workers from being fired. The personnel of both the public and private sectors are covered by this statute.

Employers are required to provide proper notice of termination in accordance with the Termination of Employment Law of 1967. However, the length of service affects the notice period:

  • 26 to 52 weeks of service requires a notice period of one week,
  • 52 to 104 weeks of service requires a notice period of two weeks,
  • 104 to 156 weeks of service requires a notice period of four weeks,
  • 156 to 208 weeks of service requires a notice period of five weeks,
  • 208 to 260 weeks of service requires a notice period of six weeks,
  • 206 to 312 weeks of service requires a notice period of seven weeks, and
  • 52 to 104 weeks of service requires a notice period of eight weeks

Employers are obligated to provide a reason for dismissal. If they cannot give a reason or the reason is unjustified, the employee has the right to file a claim of unlawful dismissal.

There are certain circumstances where employers are not lawfully entitled to terminate an employment contract. For instance, your employer legally can’t fire you for being a member of a trade union or a safety committee. Similarly, you can’t be dismissed for filing a complaint in good faith.

Employers are entitled to terminate an employment agreement and dismiss the employee in the following scenarios lawfully

  • An employee’s work performance is not up to standard;
  • A role has become redundant;
  • Force majeure, war, civil unrest, natural disasters, or an act of God;
  • Non-renewal at the end of a fixed period;
  • An employee is subject to summary dismissal based on their conduct;
  • The relationship between the employee and employer cannot be expected to continue due to the employee’s conduct;
  • An employee commits a disciplinary or criminal offense or behaved indecently;
  • An employee repeatedly violates or ignores the terms of employment.

There are further requirements for redundancy-based terminations. As long as employees are given sufficient notice, an employer may legally terminate an employment agreement if a business closes or moves to a different location. Redundancy may also be brought on by changes in technology or other aspects of the production process. A corporation may also terminate workers on the grounds of redundancy in the following situations:

If a product is no longer profitable on the market, companies that downsize will see a decline in profits.

Maternity and Family Leave Rights

The 1997 Protection of Maternity Law in Cyprus ensures that both male and female employees get time off following the birth of a child. Workers are allowed up to two weeks of paternity leave and 18 weeks of uninterrupted maternity leave.

Employers are not required by this statute to provide wages or other benefits to workers who are on maternity leave. It does, however, prevent pregnant workers from being fired because of their pregnancy. Employees who are pregnant are also entitled to paid time off.


Employees in Cyprus are safeguarded by employment and labor legislation against all forms of discrimination (age, gender, language, race, ethnicity, nationality, religion, sexual orientation, or political beliefs). In Cyprus, while employees are entitled to equal pay for equal labor, unequal remuneration based on sex is expressly forbidden.

Employees who report of sexual harassment are likewise protected by the law. Gender Equality Inspectors or the Ombudsman should investigate sexual harassment accusations.

Employees have two alternatives in the event of unfairness. Depending on the type of discrimination, they may submit a complaint to the appropriate authorities or a legal suit. Employees have the right to sue for damages, reinstatement, and legal costs if their discrimination claim is upheld.

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Ioannis Michalaki

Ioannis Michalaki

CEO, Partner
Elena Pitsillidou

Elena Pitsillidou

Managing Director, Partner