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Dismissal in Cyprus: notice, compensation, redundancy pay and unemployment benefit

Notice of 1 to 8 weeks by length of service, compensation up to 2 years' pay, redundancy pay from the fund after 104 weeks — form ΥΚΑ 600 within 3 months.

Working in Cyprus Checked: no change to the rule has been established since the check

In short

Who it applies to
Private-sector employees who have been dismissed or made redundant, or who are leaving: what the law gives you and where to turn. Rights grow with service: in the first 26 weeks with one employer the law requires neither notice nor compensation.
What it costs
A complaint to the Department of Labour Relations and a claim to the redundancy fund carry no fee — no department page mentions one. The labour disputes court does not publish its filing procedure or fees.
How long it takes
A redundancy claim must be filed within 3 months of dismissal. A claim to the labour disputes court must be filed within 12 months, or within 9 months of the fund's reply. The departments do not publish payment or processing times.
Where to apply
Unpaid money and breaches on dismissal go to the district office of the Department of Labour Relations, in writing, online or in person. Redundancy pay: form ΥΚΑ 600 at a district Social Insurance office or a Citizen Service Centre. Compensation for unlawful dismissal comes only through the labour disputes court.
If your case differs
While an employee is off sick (up to 12 months), notice of dismissal may not be given — for the whole absence plus a quarter of it. Pregnant employees and parents on leave are protected separately. For an employee on a work permit, dismissal also puts the permit at risk unless a new job is found within the set time.

Your case

If your employer dismissed you

Notice must be in writing and no shorter than the legal period — from 1 week after six months' service to 8 weeks after six years; the employer may pay you instead. The lawful grounds are few: poor performance (illness and childbirth do not count), redundancy, force majeure, the end of a fixed-term contract or serious misconduct. Until proved otherwise, the court presumes there was no lawful ground — the burden is on the employer. If there was none and you worked over 26 weeks, the labour disputes court awards compensation: no less than redundancy pay and no more than 2 years' wages. File within 12 months.

If you were made redundant

Redundancy is a lawful ground, so there is no compensation from the employer, but after 104 weeks of continuous work you are owed a payment from the state redundancy fund: 2 weeks' wages for each of the first four years, more after that, up to 4 weeks per year. The money does not arrive by itself: form ΥΚΑ 600, with the employer's letter giving the reasons, goes to a district Social Insurance office or a Citizen Service Centre no later than 3 months after dismissal. If the fund refuses, you can challenge it in court within 9 months of its reply. A fund payment does not cost you unemployment benefit.

If you are leaving of your own accord

Give notice in writing: 1–2 weeks with six months to five years of service, 3 weeks after five years; your contract may set a longer period. The employer must pay you for time worked and for unused leave. Leaving of your own accord brings neither compensation nor redundancy pay. Unemployment benefit may be withheld for up to 6 weeks if you left without good reason.

Deadlines and conditions

  • in the first 26 weeks with one employer the law requires neither notice nor compensationLaw 24/1967, s. 3(1): compensation is due to an employee «ο οποίος έχει απασχοληθή συνεχώς υπ' αυτού επί είκοσι εξ τουλάχιστον εβδομάδας»; s. 9(1)(α) — notice starts at 26 weeks.
  • after six months to a year of service the employer gives 1 week's noticeLaw 24/1967, s. 9(1)(α): 26 to 52 weeks of service — «περίοδος μιας εβδομάδος».
  • after one to two years — 2 weeksLaw 24/1967, s. 9(1)(β): 52 to 104 weeks — «περίοδος δύο εβδομάδων».
  • two to three years — 4 weeksLaw 24/1967, s. 9(1)(γ): 104 to 156 weeks — «περίοδος τεσσάρων εβδομάδων».
  • three to four years — 5 weeksLaw 24/1967, s. 9(1)(δ): 156 to 208 weeks — «περίοδος πέντε εβδομάδων».
  • four to five years — 6 weeksLaw 24/1967, s. 9(1)(ε): 208 to 259 weeks — «περίοδος έξι εβδομάδων».
  • five to six years — 7 weeksLaw 24/1967, s. 9(1)(στ): 260 to 311 weeks — «περίοδος επτά εβδομάδων».
  • six years or more — 8 weeks, always in writingLaw 24/1967, s. 9(1)(ζ): «για τριακόσιες δώδεκα ή περισσότερες εβδομάδες, περίοδος οκτώ εβδομάδων»; s. 9(5) — notice «πρέπει να είναι έγγραφη».
Show all conditions (24)
  • during notice you may take up to 8 paid hours a week to look for a jobLaw 24/1967, s. 12: an employee under notice may be absent without loss of pay for up to «τις οκτώ ώρες την εβδομάδα», no more than «40 ώρες» in total.
  • but no more than 40 hours in totalThe same section: «το σύνολο των ωρών απουσίας … δε θα υπερβαίνει τις 40 ώρες».
  • leaving of your own accord, you give 1–2 weeks' notice, and after five years 3 weeksLaw 24/1967, s. 10: the employee gives one week at 26–51 weeks of service, two weeks at 52–259, and «περίοδος τριών εβδομάδων» from 260 weeks.
  • compensation for unlawful dismissal is no less than redundancy pay and no more than 2 years' wagesLaw 24/1967, First Schedule, para. 3: «Εν ουδεμιά περιπτώσει η αποζημίωσις θα υπερβαίνη τα ημερομίσθια δύο ετών»; para. 2 — no less than the redundancy payment.
  • the employer pays up to 1 year's wages, the redundancy fund pays the restLaw 24/1967, s. 3(2): the employer pays «καθ' ον ποσόν αύτη δεν υπερβαίνει τα ημερομίσθια … δι' εν έτος», the fund pays the rest.
  • if the company has more than 19 employees, the court may order reinstatementLaw 24/1967, s. 3(1), proviso: for employers «οι οποίοι απασχολούν πέραν των δεκαεννέα εργοδοτουμένων» the court may order reinstatement after a «έκδηλα παράνομος» dismissal, with damages up to «τα ημερομίσθια δώδεκα μηνών».
  • redundancy pay is due after 104 weeks — two years — with one employerLaw 24/1967, s. 16(1): an employee «απασχοληθέντος συνεχώς επί εκατόν τέσσαρας τουλάχιστον εβδομάδας» who is made redundant «δικαιούται εις πληρωμήν λόγω πλεονασμού εκ του Ταμείου».
  • for each of the first four years — 2 weeks' wagesLaw 24/1967, Fourth Schedule, para. 1(α): «Διά τα πρώτα τέσσαρα έτη … δύο εβδομάδων ημερομίσθια» for each 52 weeks; the rate then rises to 4 weeks (para. 1(ε), years 21–25).
  • by years 21–25 the rate reaches 4 weeks per yearThe same, para. 1(ε): «από του εικοστού πρώτου μέχρι και του εικοστού πέμπτου έτους … τεσσάρων εβδομάδων ημερομίσθια».
  • you file form ΥΚΑ 600 yourself, no later than 3 months after dismissalThe gov.cy page on redundancy payment: «ειδικό έντυπο (ΥΚΑ 600)», to be filed «το αργότερο μέσα σε τρεις μήνες από την ημέρα της απόλυσης»; the form itself says «σε διάστημα τριών μηνών από την ημερομηνία του τερματισμού».
  • a claim to the labour disputes court must be filed within 12 monthsLaw 8/1967 (annual leave law), s. 12(10Α): «Αίτηση στο Δικαστήριο Εργατικών Διαφορών υποβάλλεται εντός δώδεκα μηνών … ή εντός εννέα μηνών από την απάντηση του Ταμείου για πλεονάζον προσωπικό».
  • if you dispute the redundancy fund's refusal — 9 months from its replyThe same — «εντός εννέα μηνών από την απάντηση του Ταμείου».
  • an employee on sick leave of up to 12 months may not be given noticeLaw 24/1967, s. 9(6)(α): notice to an employee absent «λόγω ανικανότητας για εργασία για περίοδο μέχρι δώδεκα (12) μήνες» is banned for the whole absence plus «το ένα τέταρτο (¼) αυτής».
  • unemployment benefit is paid from day 4Law 59(I)/2010, s. 31(1): «κανένας δεν δικαιούται επίδομα για τις πρώτες τρεις (3) ημέρες»; Social Insurance FAQ: «αρχίζει να πληρώνεται από την τέταρτη ημέρα της ανεργίας».
  • for no more than 156 working days — about six monthsLaw 59(I)/2010, s. 31(3): at most «εκατόν πενήντα έξι (156) ημέρες» per period; Sundays do not count (s. 31(4)(δ)).
  • if you left without good reason or were dismissed through your own fault, you may lose the benefit for up to 6 weeksLaw 59(I)/2010, s. 34(2): loss of benefit «για περίοδο μέχρι έξι (6) εβδομάδων» if the job was lost «λόγω υπαιτιότητάς του» or left «εκούσια, χωρίς εύλογη αιτία», or a suitable job was refused.

Unemployment benefit for third-country nationals

The social insurance law does not distinguish by nationality, and the aliens law expressly gives a worker with a work permit equal treatment with citizens — if they worked in Cyprus for at least 6 months and are registered as unemployed. The labour office registers third-country nationals who have the right to work in Cyprus, but does not name work-permit holders after dismissal separately. Ask the district labour office (Γραφείο Εργασίας) whether they will register you — the benefit depends on it.

How to file a claim with the labour disputes court

The court publishes no form, no fee and nothing on whether a lawyer is needed. Ask the court registry or an employment lawyer how to file — before the 12 months run out.

Sources

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