Human Capital Greek Market Insights

Human Capital is one of the major factors for successful business investments. Is the Greek Market attractive in terms of workforce characteristics and local labor law? Study conducted by The Adecco Group Greece, October 2020

2 3 4 Contents EXECUTIVE SUMMARY 6 Employment Contracts Duration 38 THE ADECCO GROUP 8 Fixed-Term Contracts Termination 38 Global Overview 9 Employee’s Salary 39 The Adecco Group Greece 10 Indicative Salaries for Different Profiles 40 Making Greece More Global, More Attractive, More Competitive 10 Working Schedule 43 MARKET OVERVIEW GREECE 12 Overwork 44 General Information 13 Overtime 44 LABOR MARKET OVERVIEW GREECE 14 Types of Leaves 45 Short Overview of Major Geographic Regions 14 Annual Leave 45 Attica 15 Sick Leave 45 Central Macedonia 15 Parental Leave 45 Central Greece 16 Maternity Leave 46 South Aegean 16 Childcare Leave 46 Unemployment Rates in Greece 17 Special Leave for the Protection of Maternity 46 Population, Labor Force, Unemployment Rates per Region 17 Education and Study Leave 46 Population, Labor Force, Unemployment Rates per Age Groups and Genders 18 Labor Cost Examples (As per the Current Labor Law October 2020) 47 POPULATION, LABOR FORCE & TALENT POOL CHARACTERISTICS GREECE 20 Minimum Base Salary Thresholds for Employees 51 Literacy Rates per Age & Gender Criteria 21 Non-Mandatory Benefits % of the Base Gross Salary 51 Academic Education Rates 22 Private Insurance 51 Distribution of Greek Tertiary Students by Field of Study 22 Travel Allowance 51 Number of Undergraduate / Postgraduate / PHD Graduates from Greek Universities 24 Night Shift Allowance 51 Distribution of Greek Tertiary Students by Region 25 Foreign Language 51 Languages Proficiency Levels 28 Employee Benefits Prescribed by Law 51 Overview 28 Obligatory Content of Employment Contract 52 Key Figures per Age Group 28 Social Security Costs 52 WORLD TALENT RANKING 30 Social Security Contribution Rates 52 Global Talent in the Age of Artificial Intelligence 34 Type of Social Insurance (rates paid by the employer and employee) 53 Global Talent Competitiveness Index (GTCI) 2020 || Greece - Country Profile 35 THE CURRENT TREND OF SHARED SERVICES CENTERS & BUSINESS PROCESS OUTSOURCING IN GREECE 54 GENERAL CONCEPTS IN PERSONNEL ADMINISTRATION GREECE 38 CONCLUSION 56 4 5 6

EXECUTIVE SUMMARY The unemployment rate (Q1 2020) stands at 16,2%. A key finding from breaking down this number to different age groups is that the largest unemployment rate is between 15 - 30 years old. This contradicts with the literacy rate of Greece (97,64%) and especially in the ages of 15 to 24 where it reaches 99,16%. In 2017, most of the graduates were studying in the fields of Business, Administration and Law (20,25%) as well as Engineering, Manufacturing and Construction (16,91%). Social Sciences, Journalism and Information accounts for the 13,41%. Greece has an extremely talented and skilled labor force especially in the fields of Economic, Engineering, Sciences etc. In the past couple of years, the Greek students have become more aware of the trends of the market and started following fields that are promising for the future. IT professionals, for example, increase steadily filling the gap between “supply and demand” of IT profiles in the country. Furthermore, 40% of Greek population can speak and understand The following study was conducted by The Adecco Group Greece, in order to identify how ap- English fluently with a steady rise of this number within the past few years. French and Ger- pealing is the pillar of Human Capital for new investments in Greece and is targeted to be used man are among the top 3 languages spoken in Greece. as a reference both by government and business. Population and workforce characteristics, In Global Talent Competitiveness Index 2020, Greece is ranked 47th out of a sample of 132 geographical & labor law overview are combined with The Adecco Group Greece expertise in countries. The country’s main strength relates to the pillar Retain, especially the sub-pillar Human Recourses industry in order to conclude to the key findings. Lifestyle. The greatest scope for improvement, meanwhile, is in the pillar Attract, where Ex- Greece is increasingly attracting new investments, and this is due to a variety of reasons. ternal Openness is the weakest sub-pillar. Segmenting Greece in four main regions we can point out that Attica is the region where the In terms of general personnel administration, the study includes detailed information regard- most investments take place and where most of the available employees are located, Central ing contracts’ durations, working schedule, types of leaves, along with labor cost elements Macedonia gets the second largest amount of investments. Investors are interested also in (salaries, benefits and social security). Indicative examples are included as well. Central Greece and South Aegean where there are many opportunities for the agricultural and Last part of the study refers to the trend of shared services centers, and business process 6 tourism sectors. outsourcing with geographical and business sector’s split. 7 8 Global Overview The Adecco Group offers a wide variety of services that fall into the broad categories of temporary staffing, permanent placement, career transition and talent development, as well as outsourcing and consulting. THE ADECCO The company is based in Zurich and has over 35,000 internal employees in more than 60 countries. At Adecco Group we transform the world of work one job at a time. We provide more than 1,000,000 people with permanent and GROUP flexible employment every day, while our colleagues are serving more than 100,000 organizations with the talent, HR services and cutting-edge technology they need to succeed in an ever-changing global economy. The Adecco Group is powered by nine global lead brands: Adecco, Adia, Badenoch & Clark, General Assembly, LHH, Modis, Pontoon, Spring Professional and Vettery. As a Fortune Global 500 company, we lead by example, creating shared value that fuels economies and builds better societies. These values resonate with our employees, who voted us number 7 on the Great Place to Work® - World’s Best Workplaces 2020 list and number 6 on the Great Place to Work® - Europe’s Best Workplaces 2020. Our vision is to ensure that people across the globe are inspired, motivated, trained and developed to embrace the future of work. To be in environments where they are empowered to thrive, stimulated to succeed and given every chance to make their individual futures better and brighter than ever before. At The Adecco Group we don’t just understand the changing employment landscape – we work with our clients to ensure they can embrace it. Because we understand that businesses across the globe must become more fluid, more flexible and more open to new ways of working.

35,000 60 360o 9 €23.4 47 experts in the countries service leading global billion in young talents have world of work offering brands revenues 2019 the opportunity to be a CEO for 1 month

Ranked 7th in A Fortune 26.000 1 million + 11,000 colleagues, clients & 7,000 people work with apprenticeships “World’s Best associates doing athletes work with us every day within the Group 500 Win4Youth sports us on ensuring their Workplaces” success in sports & or with our clients Global company together to give 8 2020 something back in work 9 10 The Adecco Group Greece The Adecco Group launched its activity in Greece in 2000, with a portfolio of 3 brands: Adecco, Atlas and LHH. Since the beginning of our operations in the local market we have expanded our network of branches to cover the needs of businesses in Attica, Thessaloniki and the whole Greek region. Adecco’s structure has our branches at the core of our operations. Our branches offer integrated services to companies and candidates that visit us or contact us. The Adecco Group Greece was ranked 5th in Great Place to Work’s ‘Best Workplaces Hellas’ list 2020.

Making Greece More Global, More Attractive, More Competitive Enterprise Greece is the state agency, under the auspices of the Ministry of Foreign Affairs, designed to assist foreign investors and enterprises to do business in Greece, to contribute to the outward looking orientation of the Greek economy, to attract foreign investment and to provide key investment and business information. Enterprise Greece showcases a wide range of investment sectors in which Greece excels. In addition, it promotes Greek products and services to the global marketplace and helps Greek businesses reach new markets, find new business partners, and become more competitive and attractive.

10 11 12 General Information Greece is located in south-eastern Europe, at the meeting point of three seas: the Ionian Sea to the west, the Mediter- MARKET ranean Sea to the south and the Aegean Sea to the east. Traditionally, Greece was an agricultural country, but today OVERVIEW the importance of agriculture is declining, and tourism is Greece’s biggest industry, with shipping second, accounting for 4.5 percent of GDP. The Greek-owned maritime fleet is the largest in the world, with 3,079 vessels accounting for GREECE 18 percent of the world’s fleet capacity. Before the pandemic hit, the Greek economy had been expanding for over three years at just below 2% average annual growth. Structural reforms, high primary budget surpluses and debt measures by European partners had sustained Greece’s recovery and rebuilt confidence. Rising goods and tourism exports had supported growth and jobs, reducing unemployment and buttressing private consumption. According to the World Bank, Greece’s GDP per capita (2019) was $19,582 at nominal value and $31,399 at purchasing power parity. Greece is a developed country with an economy based on the service (80%) and industrial sectors (16%), with the agricultural sector contributing an estimated 4% of national economic output in 2017. Important Greek industries include tourism and shipping. According to the provisional results of the survey on arrivals and nights spent in hotels, similar establishments and tourist campsites, conducted by the Hellenic Statistical Authority (ELSTAT) for the period of January – September 2019, the arrivals of guests, for all types of establishments, amounted to 19,324,078, while the nights spent amounted to 80,966,575.

12 13 14 Attica The Region of Attica, with Athens as its main city, comprises eight regional units: Central, Southern, Northern and Western Athens, Eastern and Western Attica, Piraeus and Islands. It is the most populous region of the country, containing about one third of Greece’s total population (around 36%). The region ranks first in terms of working-age population, numbers of unemployed people (which accounts for 36.51% of the total country) and job vacancies. According to the European Commission, the unemployment rate in Q4 of 2019 stood at 15.7%, down from 16.5% in the previous quarter and down from 18.9% in the Q4 of 2018. Unemployment is higher among women and new entrants to the labor market. The branches with the highest numbers of businesses are wholesale and retail trade, repair of motor vehicles, logistics, rental and other business activities, and processing industries. According to registered vacancies data, in the Region of Attica there are vacancies available for office workers (persons with tertiary and secondary education), as well as for service workers and customer service employees, followed by sales staff, qualified technicians and other related technicians. Finally, there is an increase in the number of salaried employment positions for travelling salespersons and unskilled workers. Central Macedonia The Region of Central Macedonia consists of the Regional Units of Imathia, Thessaloniki, Kilkis, Pella, Pieria, Serres and Chalkidiki. According to the figures, in December 2019 the Region of Central Macedonia accounted for 19.05 % of the total number of unemployed in Greece, mainly concentrated in the Regional Unit of Thessaloniki with a share of 64.68 % (percentage of the resident population registered as unemployed). In Q4 2019, unemployment in the region stood at 19.4%, which is lower than in the same quarter of the previous year. As regards the labor market in LABOR MARKET the region, there has been an increase in flexible forms of temporary and part-time employment among women, self-employment among men has declined and the number of people working full time has fallen as compared to OVERVIEW those working part time. The Regional Unit of Chalkidiki has a developed hotels and restaurants sector and the Regional Units of Kilkis and GREECE Thessaloniki have relatively large processing sectors (larger than the national average). The Regional Unit of Serres Short Overview of Major has a long-standing, strong presence in the processing of industrial products, and both Serres and the Regional Unit of Pella have comparatively large agriculture sectors. Geographic Regions The Region of Central Macedonia is the fifth wealthiest region in the country. Most of the enterprises are in the Regional Unit of Thessaloniki. Commercial enterprises make up the largest percentage, followed by processing

14 industries. 15 16 Central Greece Unemployment Rates in Greece The Region of Continental Greece is the second largest administrative region of Central Greece. According to the last census in 2011, it has 547,390 inhabitants. The region is divided into five regional units: Viotia, Evia, Evrytania, Fthiotida and Population, Labor Force, Unemployment Rates per Region Table 1 Fokida. The region’s capital is Lamia, a dynamic and burgeoning urban centre with a population of some 100,000, which makes it Greece’s 19th largest city. The other main urban centers in the Region are Chalkida, Thiva, Livadia, Amfissa and 2020 1st quarter Karpenisi. Population Labor Force Employed Unemployed Inactive Unemployment Rate According to OAED (Hellenic Manpower Organisation) statistics, as recorded in the mechanism for examining labor mar- GREECE TOTAL 9.083,8 4.597,7 3.852,6 745,1 4.486,1 16,2 ket requirements for 2019 and based on December 2018 reference point, the region has 43,294 unemployed people. At the same time, the number of new jobs created in the region approach 5,044, of which 1,085 concerning men between 25-34. East Macedonia and 506,2 247,8 206,5 41,3 258,4 16,7 According to the mechanism for examining labor market requirements, growers rank first in terms of occupation, who Thrace are geared towards the market, with 26,678 workers in a total of 191,250, followed by sales staff for shops with 23,173 Central Macedonia 1.589,1 782,6 631,9 150,7 806,5 19,3 employees. The sector with the highest number of employed is that related to the growing of non-perennial crops with 28,540 employed, which has recorded fluctuations over the years, followed by beverage serving activities, employing West Macedonia 232,0 106,4 85,8 20,6 125,6 19,4 9,699 workers, while the retail sale in specialized stores ranks third with 7,394 employed in the sector. Epirus A substantial number of workers commute to the region every day, mostly from the neighboring Region of Attica. 288,9 132,5 109,3 23,2 156,5 17,5

Thessaly 615,5 300,4 251,7 48,7 315,0 16,2 South Aegean The South Aegean Region consists of the Regional Units of the Cyclades and the Dodecanese. In this region the tour- Ionian Islands 170,3 77,6 67,1 10,5 92,7 13,6 ism industry is the basic source of income, employment and development. Unemployment in the South Aegean Region stood at 13% in Q4 2019, i.e. a considerable decrease compared to the West Greece 566,4 275,0 218,9 56,1 291,4 20,4 same quarter in 2018 (18.9%). The percentage distribution of unemployment in the South Aegean for the same period Central Greece 470,1 232,1 187,2 44,9 238,0 19,3 is 4.65%, according to the OAED’s summary report published in November 2020. This is the most developed tourism Region in Greece and therefore it derives a large income from the service sector. Attica 3.222,1 1.712,3 1.468,3 244,0 1.509,8 14,3 Clearly because of the seasonal nature of the tourism sector, the winter months bring increased unemployment. The fact that it is seasonal also means that there is a high proportion of temporary work, which is twice that of the Peloponnese 464,6 214,9 25,9 223,8 10,8 country as a whole. Temporary employment is particularly prevalent among the female working population. Accommodation provision (hotels and rental accommodation), food services (restaurants and cafeterias), trade (retail North Aegean 165,8 88,9 74,5 14,5 76,8 16,3 and wholesale), as well as transport, are the most dynamic sectors of activity. A substantial number of real estate South Aegean 273,4 126,0 108,3 17,7 147,4 14,0 transactions involve citizens from various countries of the European Union. The construction industry has been in decline in recent years but is picking up steadily. Crete 519,5 275,2 228,3 46,9 244,3 17,0

16 17 Source: https://www.statistics.gr/en/home/ 18 Unemployment Rates in Greece Population, Labor Force, Unemployment Rates per Age Groups and Genders Table 2

Age groups 2020 1st quarter and gender Population Labor Force Employed Unemployed Inactive Unemployment Rate % TOTAL 9.083,8 4.597,7 3.852,6 745,1 4.486,1 16,2 15-19 538,6 20,6 13,6 7,1 517,9 34,2 20-24 500,2 197,4 129,3 68,0 302,8 34,5 25-29 563,8 453,5 335,4 118,1 110,3 26,0 30-44 2.133,4 1.830,1 1.546,7 283,4 303,3 15,5 45-64 2.998,8 1.997,7 1.737,2 260,5 1.001,1 13,0 65 + 2.349,1 98,4 90,4 8,0 2.250,6 8,2 MALES 4.376,8 2.573,3 2.220,0 353,4 1.803,5 13,7 15-19 265,1 14,0 9,3 4,7 251,1 33,6 20-24 254,3 104,4 71,5 32,8 150,0 31,5 25-29 300,2 245,8 180,5 65,3 54,4 26,6 30-44 1.069,6 1.001,6 881,6 119,9 68,0 12,0 45-64 1.445,7 1.141,5 1.016,0 125,5 304,2 11,0 65 + 1.041,9 66,1 61,1 5,0 975,9 7,6 FEMALES 4.707,0 2.024,4 1.632,7 391,7 2.682,7 19,3 15-19 273,5 6,6 4,3 2,4 266,9 35,6 20-24 245,9 93,0 57,8 35,2 152,9 37,8 25-29 263,6 207,7 154,9 52,8 55,9 25,4 30-44 1.063,8 828,5 665,1 163,4 235,3 19,7 45-64 1.553,1 856,1 721,2 134,9 696,9 15,8 65 + 1.307,1 32,4 29,4 3,0 1.274,7 9,4 18 19 Source: https://www.statistics.gr/en/home/ 20 Literacy Rates per Age & Gender Criteria Figure 1 // Literacy percentage rate % among the population aged 15 years and older per gender

100 80 60 40 20 0 1975 1980 1985 1990 1995 2000 2005 2010 2015 Male Female Total

Figure 2 // Literacy percentage rate % among the population aged 15-24 years

100 80 60 40 20 0 1975 1980 1985 1990 1995 2000 2005 2010 2015 POPULATION, Male Female Total LABOR FORCE & Figure 3 // Literacy rate among the population aged 65 years and older per gender 100 TALENT POOL 80 60 CHARACTERISTICS 40 20 GREECE 0 1975 1980 1985 1990 1995 2000 2005 2010 2015 Male Female Total

20 21 Source: http://uis.unesco.org/en/country/gr 22 Literacy rate overview per age and gender Figure 4 // Distribution of Greek tertiary graduates on different fields summary Table 3 80 71.84% TOTAL MALE FEMALE 68.72% 70.08% 70.60% 70 Literacy rate (%) 60 15-24 years 99.16 99.26 99.07 (2018) 50 15 years and older 97.94 98.51 97.39 (2018) 40 65 years and older 95.19 97.72 93.17 (2018) 30 18.15% 16.57% 19.91% After careful examination of our data and the percentages of literacy rates in Greece amongst different ages, we conducted a 18.96% research on the data of tertiary students in different fields of studies. 20 4.89% 4.37% Source: http://uis.unesco.org/en/country/gr 3.16% 2.89% 10 Academic Education Rates 0 Distribution of Greek Tertiary Students by Field of Study 2013 2014 2016 2017 In the following table, we present the distribution of Greek tertiary graduates, by field of study, for our reference period. Information & Communication Technologies Table 4 Engineering, Manufacturing & Construction Study Fields 2013 2014 2016 2017 Source: http://data.uis.unesco.org/index.aspx?queryid=163 Programmes other than Science, Technology, Engineering & Mathematics Education 10,35% 9,85% 7,40% 7,30% Figure 5 // Distribution of Greek tertiary graduates on different fields summary Arts & Humanities 11,59% 11,35% 12,95% 12,16% 35 12,92% 12,72% 12,22% 13,41% 8.43% 9.60% Social Sciences, Journalism & Information 7.28% 7.40% 30 Health & Welfare 8,47% 10,90% 12,18% 11,74% 25 21.23% Business, Administration & Law 18,03% 19,72% 21,23% 20,25% 19.72% 20.25% 20 18.03% Natural Sciences, Mathematics & Statistics 7,28% 7,40% 8,43% 9,60% Information & Communication Technologies 4,89% 4,37% 3,16% 2,89% 15 Engineering, Manufacturing & Construction 18,96% 18,15% 16,57% 16,91% 10 Agriculture, Forestry, Fisheries & Veterinary 5,17% 4,02% 2,34% 2,46% 5 Services 2,19% 1,53% 3,53% 3,28% 0 Additionally, apart from the detailed distribution by field of study, we present the portion of Greek tertiary students who graduated from 2013 2014 2016 2017 the field of science, technology, engineering and mathematics. The most frequently awarded degree in 2017 - based on detailed fields of education - was for Business, Administration and Law. Business, Administration & Law 22 23 Source: http://data.uis.unesco.org/index.aspx?queryid=163 Source: http://data.uis.unesco.org/index.aspx?queryid=163 Natural Sciences, Mathematics & Statistics 24 Distribution of Greek tertiary graduates on different fields evolution Figure 7 // Students per Field of Studies (2020 Data)

Table 5 200,000 190,461 Study Fields 2013 2014 2016 2017 160,000

125,989 120,000 108,122 Science, Technology, Engineering & Mathematics 31,14% 29,92% 28,16% 29,40% 100,147 80,000 72,152 75,345 70,961 61,448 39,954 17,955 Courses other than Science, Technology, 40,000 16,784 26,746 22,959 68,72% 70,08% 71,84% 70,60% 5,995 7,065 8,067 16,899 8,973 2,098 2,957 5,926 2,670 6,116 270 Engineering & Mathematics 2,070 1,693 1,146 3,283 5,076 2,658 874 747 2,486 1,541 1,985 29 0 Source: http://data.uis.unesco.org/index.aspx?queryid=163 Science Economics, Education Engineering Health Sciences IT (Information Law Mathematics Philosophy Science, Social & Technology Business & Technology) Technology, Political Accounting Engineering Sciences Number of Undergraduate / Postgraduate / PHD Graduates from Greek Universities and Mathematics Table 6 (STEM) 2013 2014 2016 2017 Undergraduates Postgraduates PhDs Number of graduated undergraduate students 53.394 53.979 53.123 50.133 Source: Ministry of Education Taking into consideration the data provided by the Ministry of Education, we can point out that the biggest number of Greek students Number of graduated postgraduate students 11.299 11.730 14.803 17.124 chooses to study in fields like Economics, Engineering, Sciences e.t.c. This is what makes the Greek workforce a very skilled and highly Number of graduated PhD students 1.527 1.601 2.003 1.877 talented pool to pick from, when someone is investing in Greece. Total 66.220 67.310 69.929 69.134 In the past couple of years, the Greek students have become more aware of the trends of the market and have started following fields Source: http://data.uis.unesco.org/index.aspx?queryid=163 of studies with promising future. For example, IT professionals increase steadily, which makes it easier to create a new talent pool of Figure 6 // Number of undergraduate / postgraduate / PHD graduates from Greek universities volumes Greek IT workforce available to fill positions in new investments and companies, that started or thinking to start their operation in Greece. 1,527 1,601 2,003 1.877 Distribution of Greek Tertiary Students by Region 60,000 11,299 11,730 14,803 17,124 Figure 8 // Students per region (2020 Data) 350,000 45,000 295,529 300,000 Undergraduates 250,000 Postgraduates 30,000 53,394 53,979 53,123 50,133 200,000 PhDs 146,773 150,000 132,957 15,000 108,903 78,772 100,000 71,943 71,187 44,611 0 50,000 5,556 6,494 11,260 8,640 4,646 12,121 7,927 2013 2014 2016 2017 0 1,076 2,454 6 2,805 3,610 2,377 Number of graduated undergraduate students Number of graduated postgraduate students Number of graduated PhD students Attica Central Greece Islands North Greece Rest North Salonica Western Greece Greece http://data.uis.unesco.org/index.aspx?queryid=163 Source: Ministry of Education Key insights are that in 2013, graduates with a master’s degree constituted ~17% of the total bachelor’s and master’s degrees awarded, while Following the data from above table, someone can understand where the biggest number of available employees is located, which makes in 2017, the respective number has risen to ~25%, despite the ~6% decrease in the number of graduates with a bachelor’s degrees. There is Attica, Salonica and the Rest North Greece the most attractive places for new investments. Furthermore, the number of Greek Students that 24 also a rise in number of postgraduate students which is probably a result of the gradually increased competitiveness in the labor market. acquire a master’s degree in Attica seems to be the lure for the investors who are looking for a more specialized workforce. 25 26 Figure 9 // Students in Attica per Field of Studies (Data 2020) Figure 11 // Students in Western Greece per Field of Studies (Data 2020)

90,000

80,000 40,000

70,000 35,000

60,000 30,000

50,000 25,000

40,000 20,000

30,000 15,000

20,000 10,000

10,000 5,000

0 0 Science Economics, Education Engineering Health Sciences IT Law Mathematics Philosophy Science, Social & Technology Science Economics, Education Engineering Health Sciences IT Mathematics Philosophy Science, Social & Technology Business & (Information Technology, Political Business & (Information Technology, Political Accounting Technology) Engineering Sciences Accounting Technology) Engineering Sciences and and Mathematics Mathematics (STEM) (STEM)

Figure 10 // Students in Salonica per Field of Studies (Data 2020)

18,000

16,000

14,000

12,000

10,000

8,000

6,000

4,000

2,000

0 Science Economics, Education Engineering Health Sciences IT Law Mathematics Philosophy Science, Social & Business & (Information Technology, Political Accounting Technology) Engineering Sciences and 26 Mathematics 27 (STEM) 28 Languages Proficiency Levels Figure 11 // Percentage of people in Greece between ages 35 and 54 who speak languages as a mother tongue or foreign language Overview Bulgarian The research gave us significant data on the most common languages across different ages in Greece, mainly the number of Russian All Speakers populations who speaks English, German, French, Italian, Spanish etc. and the top languages spoken (%). Italian Mother Tongue Foreign Language Figure 9 // Percentage of people in Greece who speak languages as a mother tongue or foreign language French Bulgarian German

Russian All Speakers English Italian Mother Tongue Greek

German Foreign Language 0.00% 20.00% 40.00% 60.00% 80.00% 100.00% 120.00% French Source: https://languageknowledge.eu/countries/greece (*Percentages for other languages are below 1% and are not provided in the chart) English

Greek

0.00% 20.00% 40.00% 60.00% 80.00% 100.00% 120.00% Figure 12 // Percentage of people in Greece above the age of 55 who speak languages as a mother tongue or foreign language Source: https://languageknowledge.eu/countries/greece (*Percentages for other languages are below 1% and are not provided in the chart) German

All Speakers Italian Mother Tongue Key Figures per Age Group Foreign Language French Figure 10 // Percentage of people in Greece between ages 15 and 34 who speak languages as a mother tongue or foreign language English Romanian Bulgarian Greek Italian 0.00% 20.00% 40.00% 60.00% 80.00% 100.00% 120.00% Spanish All Speakers Russian Mother Tongue Source: https://languageknowledge.eu/countries/greece (*Percentages for other languages are below 1% and are not provided in the chart) Foreign Language German French English Greek Key insights are that English, French & German are the top 3 Languages Spoken (%) in Greece, mostly as foreign languages. 0.00% 20.00% 40.00% 60.00% 80.00% 100.00% 120.00% Moreover, English, Russian & Bulgarian are the top 3 mother tongues in Greece, however the percentages remain low: English 28 29 Source: https://languageknowledge.eu/countries/greece (*Percentages for other languages are below 1% and are not provided in the chart) – 0.96%, Russian – 0.79%, Bulgarian – 0.52%. 30 It is interesting to point out that Greek Human Workforce is skilled. This means that potential investors will be able to fulfil their need regarding the workforce. Not only that, but also the language skills of the Greeks (especially in WORLD younger ages) make them attractive for multinational companies or companies with international presence. In the table below the appeal and readiness of Greek labor force is presented in numbers and the international ranking TALENT from a research conducted in 2019. RANKING Percentage of people in Greece above the age of 55 who speak languages as a mother tongue or foreign language Table 7 Appeal Value 2019 Rank Cost-of-living index Index of a basket of goods & services in the main city, including housing (New York City = 100) 72.80 index 22 Attracting and retaining talents is a priority in companies 5.56 Survey [0..10] 58 Worker motivation in companies is high 4.60 Survey [0..10] 55 Brain drain (well-educated and skilled people) does not hinder competitiveness in your economy 2.22 Survey [0..10] 60 Quality of life is high 5.75 Survey [0..10] 42 Foreign highly-skilled personnel are attracted to your country’s business environment 2.25 Survey [0..10] 61 Remuneration in services professions Gross annual income including supplements such as bonuses, US$ 20,159 US$ 33 Remuneration of management Total base salary plus bonuses and long-term incentives, US$ 187,398 US$ 23 Effective personal income tax rate Percentage of an income equal to GDP per capital 22.15 % 44 Justice is fairly administered 4.03 Survey [0..10] 46 Exposure to particle pollution Mean population exposure to PM2.5, Micrograms per cubic metre 16.36 micrograms 35

Readiness Value 2019 Rank Labor force growth Percentage change -0.61 % 59 Skilled labor is readily available 6.38 Survey [0..10] 14 Finance skills are readily available 6.16 Survey [0..10] 37 International experience of senior managers is generally significant 5.19 Survey [0..10] 37 Competent senior managers are readily available 5.41 Survey [0..10] 37 Primary and secondary education meets the needs of a competitive economy 4.50 Survey [0..10] 48 Graduates in Sciences % of graduates in ICT, Engineering, Math & Natural Sciences 28.16 % 14 University education meets the needs of a competitive economy 4.78 Survey [0..10] 52 Management education meets the needs of the business community 5.03 Survey [0..10] 52 Language skills are meeting the needs of enterprises 7.75 Survey [0..10] 17 Student mobility inbound Foreign tertiary-level students per 1000 inhabitants 2.33 number 31 Educational assessment - PISA PISA survey of 15-year olds 454 Average 40

30 31 Source: https://www.imd.org/wcc/world-competitiveness-center-rankings/world-talent-ranking-2019/ 32 Greece has an impressive pool of employee talent from which eration’s intelligence body (INSETE), it is not surprising that many of Percentage of people in Greece above the age of 55 who speak languages as a mother to draw. The country’s workforce is one of the most educated in Greece’s post-secondary educational institutions offer 360-degree tongue or foreign language the world as Greeks place a high priority on education and learn- courses in hospitality studies, emphasizing languages skills as well Table 8 Generic Education Arts & Social sciences, Business, Natural Information & Engineering, Agriculture, Health & Services Unknown ing foreign languages. Efforts to keep education levels high were as IT training. programmes & humanities journalism & administration sciences, communication manufacturing forestry, welfare qualifications information & law mathematics technologies & construction fisheries & maintained during the crisis, providing potential employers with a On a per-capita basis, more students from Greece travel abroad & statistics veterinary large number of quality choices from which to staff their positions. to study in foreign higher education institutions than in most other EU-28 5.1 439.0 515.1 449.7 1161.1 361.1 170.9 698.7 81.8 660.5 177.0 54.8 Belgium 0.0 9.7 11.3 11.1 24.7 4.2 2.1 13.0 2.5 31.4 1.5 4.3 Improvements have also begun with one of the labor market’s countries. Popular university destinations include the United King- Bulgaria 0.0 5.1 3.8 7.5 18.7 1.9 2.1 7.7 1.0 4.8 4.3 0.0 biggest problems: the mismatch between graduates coming out dom, Germany, the Netherlands, Italy, France, Cyprus, and the Unit- Czechia 0.0 8.3 6.7 8.4 16.3 4.3 4.0 12.6 2.6 9.7 6.0 8.2 of university and market needs. Greeks are now more in tune with Denmark 0.0 5.0 10.1 8.4 20.4 4.3 3.9 9.0 1.0 17.2 3.0 0.1 ed States. Germany (*) 0.0 65.1 64.3 42.3 128.4 52.6 26.7 123.0 10.5 41.2 13.6 1.4 what employers want, as companies also embark on initiatives to 1.2 0.6 In fact, the proportion of 25-64 year old in Greece today who hold Estonia 0.0 0.7 1.2 0.7 2.2 0.6 0.7 1.4 0.2 0.0 close this gap. Ireland 0.2 7.4 9.4 4.7 19.4 5.7 5.7 7.2 1.1 13.1 4.1 0.1 a general degree is one of the highest in the OECD. According to Greece 0.0 5.0 8.4 9.3 14.0 6.6 2.0 11.7 1.7 8.1 2.3 0.0 Greece has one of the highest numbers of degree-educated adults data ranking 37 OECD and partner countries, based on secondary Spain 0.0 72.9 40.4 31.5 84.2 23.5 17.7 63.3 5.7 72.9 32.7 0.8 according to the Organization for Economic Co-operation and Devel- or post-secondary education levels, Greece comes in at 7th place. France 0.0 32.6 73.0 53.3 269.2 61.8 23.2 115.5 10.7 110.8 27.0 3.6 Croatia 0.0 1.9 3.1 2.4 10.1 1.7 1.9 5.6 1.4 3.5 2.3 0.0 opment (OECD). Meanwhile, initiatives aim at reversing brain drain. The fields of science, technology and engineering are particularly Italy 0.0 15.8 63.4 47.0 74.8 28.3 3.8 58.6 9.6 51.8 0.8 34.8 Greece’s human capital is arguably the country’s biggest asset. favored. This comes despite low performances on OECD PISA tests Cyprus 0.0 2.2 0.7 0.7 3.3 0.2 0.3 0.9 0.1 0.5 0.4 0.0 Latvia 0.0 0.6 1.1 1.3 4.5 0.5 0.7 1.9 0.2 2.5 1.3 0.0 Greek families place enormous value on their children attending in primary-level education benchmarks. Still, as things stand to- Lithuania 0.0 1.7 2.4 2.8 7.6 1.1 0.8 5.2 0.7 4.7 0.7 0.0 university, resulting in some of the highest educational outcomes day, Greece has the largest rate of over- skilled workers across the Luxembourg 0.0 0.1 0.2 0.2 0.8 0.1 0.1 0.1 0.0 0.1 0.0 0.0 economies participating in the May 2019 OECD report Skills Strat- Hungary 0.0 10.1 5.5 6.4 15.4 2.8 2.7 9.2 2.5 4.9 3.0 0.6 among those surveyed by the OECD (May 2019). With tourism em- Malta 0.0 0.3 0.5 0.4 1.5 0.2 0.4 0.4 0.0 0.8 0.1 0.0 ploying close to 50% of people in the workforce directly and indirect- egy. Yet it ranks within the lower 20% of the spectrum in terms of Netherlands 0.0 15.3 13.6 21.7 42.7 9.4 3.9 12.5 2.0 26.6 7.6 0.1 ly, according to a spring 2019 report by the Greek Tourism Confed- matching these skills with the labor market. Austria 0.0 11.0 6.7 8.0 19.4 4.9 3.3 17.1 1.4 6.3 6.7 0.1 Poland 0.0 68.9 35.7 50.9 125.9 18.6 18.3 81.8 8.8 68.7 39.0 0.6 Portugal 0.0 3.7 7.7 8.4 14.9 4.8 1.5 16.1 1.7 13.4 4.7 0.0 Figure 13 // Percentage of people in Greece above the age of 55 who speak languages as a mother tongue or foreign language Roamania 0.0 6.0 11.0 10.5 33.6 6.5 6.8 22.1 5.3 14.1 5.5 0.0 Slovenia 0.0 1.8 1.5 1.7 3.3 1.1 0.6 2.7 0.4 2.1 1.2 0.0 Degrees Count / Percentage of adults with a bachelor’s degree or equivalent (2017) Slovakia 0.0 6.5 3.9 5.9 10.3 2.9 1.7 6.1 1.1 9.2 3.1 0.0 30% Finland 0.0 3.8 6.3 4.2 10.6 2.7 3.5 9.1 1.3 12.0 2.7 0.0 26 Sweden 0.0 9.0 4.4 8.7 11.9 3.3 3.1 13.8 0.7 16.9 1.6 0.0 23 23 23 United Kingdom 4.9 68.5 118.8 91.3 173.0 106.5 29.5 71.2 7.6 111.7 1.0 0.0 20% 17 Iceland 0.0 0.5 0.5 0.7 1.0 0.2 0.3 0.4 0.0 0.7 0.1 0.0 15 Liechtenstein 0.0 0.0 0.0 0.0 0.2 0.0 0.0 0.1 0.0 0.0 0.0 0.0 12 Norway 0.1 8.4 4.1 5.5 9.9 2.6 2.0 7.2 0.4 10.2 2.7 0.0 10% 10 Switzerland 0.0 8.5 6.6 6.0 25.2 5.9 2.2 14.0 1.2 13.7 4.9 0.4 North Macedonia 0.0 0.5 1.5 1.4 3.1 0.4 0.7 1.3 0.2 1.0 0.7 0.0 4.3 5.3 5.3 12.4 2.1 2.8 8.9 1.4 4.8 4.5 0% Serbia 0.0 0.0 Turkey 0.0 76.8 85.8 65.7 252.6 21.6 13.9 122.5 17.4 99.3 48.9 0.0 Greece Germany France Israel United Kingdom United States Turkey OECD AVERAGE (*) Excluding graduates of vocational academies. Source: Eurostat (online data code: educ_uoe_grad02) 32 33 Source: https://www.greeceinvestorguide.com/at-a-glance/human-capital/ Source: https://ec.europa.eu/eurostat/statistics-explained/index.php?title=File:Number_of_tertiary_education_graduates_in_each_field_of_education,_2017_(thousands)_ET19.png 34 Global Talent in the Age of Artificial Intelligence Global Talent Competitiveness Index (GTCI) 2020 || Greece - Country Profile Addressing the theme of Global Talent in the Age of Artificial Intelligence, this seventh edition of GTCI explores how In GTCI 2020, Greece is ranked 47 out of a sample of 132 countries (Figure 14). The country’s main strength relates to the development of Artificial Intelligence (AI) is changing the nature of work and forcing a re-evaluation of workplace the pillar Retain, especially the sub-pillar Lifestyle. The greatest scope for improvement, meanwhile, is in the pillar practices, corporate structures and innovation ecosystems. Attract, where External Openness is the weakest sub-pillar. As machines and algorithms continue to affect a multiplicity of tasks and responsibilities and almost every job gets reinvented, the right talent is required not only to carry out new responsibilities and ways to work, but also to capture Figure 14 // Greece global ranking (GTCI sample of 132 countries)

value from this transformative technology. Which companies, countries or cities are best positioned to benefit from 1

the AI revolution? How can we guarantee that a joint effort be made to ensure that AI-driven increased productivity 20 30 benefits society as a whole? 40 36 GTCI is an annual benchmarking report that measures and ranks countries based on their ability to grow, attract and 47 52 60 60 retain talent. Launched for the first time in 2014, the GTCI provides a wealth of data and analysis that helps decision 69 80 81 makers develop talent strategies, overcome talent mismatches and become more competitive in the global market- 100 place. 120 This year again, the GTCI model has been refined and improved. Some variables have been removed or replaced 132 and a few new ones have been added. One of the main new features is the introduction of a ‘Technology adoption’ component that provides a measure of how countries use and invest in new technologies, including AI. As a result, GTCI 2020 ENABLE ATTRACT GROW RETAIN VT SKILLS GK SKILLS the total number of indicators has increased from 68 to 70. Country coverage in the GTCI 2020 has also expanded and the index now includes 132 countries — up from last year’s 125 countries. Now a regular feature of the report, the special section on cities offers a ranking of 155 cities along the various di- mensions of the Global City Talent Competitiveness Index (GCTCI). This year, the model has primarily been improved in three ways: First, variables that are more business- and impact-oriented — for example, those on foreign direct Greece is situated in Europe and is classified as a high-income country. Within its region, the country is investment and patent applications—have been introduced to the model. Second, the share of values proxied by ranked 26 out of 38 countries. With respect to other regions, Greece out-performs the top-scoring countries in two of them. regional or national data has been reduced, so that almost all values refer to city-level data. Third, the structure of the Morover, Greece is ranked 42 within the group of high-income countries (implying that 12 percent of coun- model has been refined in that some indicators have been placed in another pillar for conceptual reasons, which has tries rank lower). As for the other income groups, it outperforms the top-ranked country in one of them. also resulted in bringing the GCTCI model closer to the GTCI model.

34 35 Source: GTCI Report (https://gtcistudy.com/) 36 Greece performance vs. income groups and regions Performance in GTCI 2020 and Technology Adoption variables Table 9 Table 10

SCORE GAP: SHARE OF GTCI TECHNOLOGY INVESTMENT ROBOT GTCI TECHNOLOGY INVESTMENT ROBOT GTCI TECHNOLOGY INVESTMENT ROBOT 2020 UTILISATION IN EMERGING DENSITY 2020 UTILISATION IN EMERGING DENSITY 2020 UTILISATION IN EMERGING DENSITY TOP 3 SCORERS GREECE SCORE COUNTRIES IN THE TECHNOLOGIES TECHNOLOGIES TECHNOLOGIES REGION OF THE GROUP MINUS GROUP GROUP RANKED Switzerland 1 3 4 17 Azerbaijan 45 44 22 North Macedonia 89 111 123 HIGHEST SCORE BELOW GREECE United States 2 1 1 7 Philippines 46 39 30 50 Cabo Verde 90 89 83 Singapore 3 12 13 1 Greece 47 84 109 36 Kyrgyzstan 91 125 119 Kazakhstan, India, Sri Lanka 1.5 100% Sweden 4 2 3 5 Russia 48 62 46 48 Bhutan 92 96 77 CENTRAL & SOUTHERN ASIA Denmark 5 8 14 6 Mauritius 49 53 79 Rwanda 93 63 41 Netherlands 6 7 5 10 Trinidad & Tobago 50 77 115 Honduras 94 55 75 EASTERN, SOUTHEASTERN ASIA & OCEANIA Singapore, Australia, New Zealand -31.0 40% Finland 7 6 6 18 Uruguay 51 71 103 Guatemala 95 36 69 Luxembourg 8 9 10 Hungary 52 68 99 22 Vietnam 96 102 65 41 EUROPE Switzerland, Sweden, Denmark -33.8 32% Norway 9 15 15 25 Montenegro 53 75 86 Egypt 97 78 71 59 Australia 10 25 23 23 Kazakhstan 54 87 72 Laos 98 97 50 Chile, Costa Rica, Trinidad & Tobago -6.5 90% Germany 11 10 7 1 Bulgaria 55 70 49 44 Paraguay 99 100 120 LATIN AMERICA & THE CARIBBEAN United Kingdom 12 13 8 21 Argentina 56 86 82 40 Morocco 100 60 80 49 Canada 13 22 19 13 Jamaica 57 58 68 Bosnia & Herzegovina 101 105 124 57 NORTHERN AMERICA United States, Canada -31.6 0% Iceland 14 4 24 38 Serbia 58 98 92 52 Iran 102 117 101 63 Ireland 15 17 17 31 Croatia 59 82 106 45 Zambia 103 113 90 NORTHERN AFRICA & WESTERN ASIA Israel, United Arab Emirates, Qatar -18.1 56% New Zealand 16 16 18 28 Armenia 60 69 51 Senegal 104 43 58 Austria 17 20 25 11 Jordan 61 45 45 Algeria 105 118 84 Mauritius, South Africa, Botswana 0.5 100% Belgium 18 28 20 9 Panama 62 49 61 Pakistan 106 72 48 68 SUB-SAHARAN AFRICA Japan 19 11 9 4 Kuwait 63 64 55 66 Bolivia 107 121 127 Israel 20 5 2 29 Romania 64 103 93 37 Côte d’Ivoire 108 54 98 INCOME GROUP France 21 27 21 16 Indonesia 65 29 27 46 Nicaragua 109 114 125 United Arab Emirates 22 18 11 54 Ukraine 66 91 60 55 El Salvador 110 108 121 HIGH-INCOME COUNTRIES Switzerland, United States, Singapore -33.8 12% Malta 23 30 37 33 Thailand 67 46 36 27 Tanzania 111 99 57 Estonia 24 23 34 39 Georgia 68 106 95 Nigeria 112 90 113 Malaysia, Costa Rica, China -12.5 89% Czech Republic 25 34 35 19 Mexico 69 52 62 32 Uganda 113 109 74 UPPER-MIDDLE-INCOME COUNTRIES Malaysia 26 14 12 26 South Africa 70 42 39 35 Venezuela 114 123 129 67 South Korea 27 21 33 1 Botswana 71 104 94 Eswatini 115 122 128 LOWER-MIDDLE-INCOME COUNTRIES Philippines, Indonesia, Ukraine 0.0 97% Portugal 28 24 38 24 India 72 50 26 51 Cameroon 116 112 87 Qatar 29 33 16 65 Nambia 73 73 81 Cambodia 117 94 53 LOW-INCOME COUNTRIES Tajikistan, Gambia, Rwanda 10.6 100% Cyprus 30 51 91 Colombia 74 79 64 60 Liberia 118 128 114 Slovenia 31 40 40 12 Mongolia 75 88 89 Lesotho 119 130 76 Spain 32 47 54 14 Albania 76 81 116 Malawi 120 124 117 This year’s GTCI introduces a new component -Technology Adoption- in the Business and Labor Landscape sub-pillar (within Latvia 33 35 52 47 Peru 77 95 107 61 Nepal 121 120 104 Chile 34 37 66 56 Turkey 78 65 102 34 Burkina Faso 122 119 108 the Enable pillar). It aims to capture the extent to which countries are taking steps to be ready at the advent of the Fourth Indus- Lithuania 35 19 28 43 Tunisia 79 107 78 53 Ethiopia 123 126 100 trial Revolution. It therefore provides a measure of how well countries are enabling the Development of Talents associated with Italy 36 59 59 8 Brazil 80 57 63 42 Bangladesh 124 80 97 Costa Rica 37 41 47 Dominican Republic 81 67 96 Mali 125 110 88 advanced technologies such as artificial intelligence and Internet of Things. Brunei Darussalam 38 76 112 Ecuador 82 74 111 Madagascar 126 83 85 Below table depicts the rankings of countries in the GTCI 2020 and in the three variables that relate to the Technology Adoption Slovakia 39 38 43 15 Sri Lanka 83 93 67 Zimbabwe 127 115 126 Saudi Arabia 40 26 29 58 Tajikistan 84 92 56 Mozambique 128 116 105 component. Greece, ranked 47th overall, finds itself in the second quartile with respect to both Technology Utilization (84th) and Bahrain 41 31 Gambia 85 66 73 Burundi 129 131 110 Robot Density (36th). China 42 56 32 20 Moldova 86 101 118 64 DR Congo 130 127 122 Oman 43 48 42 62 Ghana 87 85 44 Angola 131 129 131 Poland 44 61 70 30 Kenya 88 32 31 Yemen 132 132 130 36 37 Source: GTCI Report (https://gtcistudy.com/) Source: GTCI Report (https://gtcistudy.com/) Check out previous editions of the Global Talent Competitiveness Index (GTCI): 2019, 2018 38 Employee’s Salary GENERAL According to Greek legislation, minimum salaries are determined by the Greek State unless the employment relationship is regulated under a collective labor agreement. Collective labor agreements can be entered into a compa- CONCEPTS IN ny, professional or sectoral level or they can cover all employees in the country (National General Collective Labor Agreement). However, the National General Collective Labor Agreement no longer stipulates the minimum salaries, PERSONNEL as used to be the case under the previous legal framework and now only sets out non-monetary terms. The mini- ADMINISTRATION mum monthly salary is set at EUR650 gross. In addition to the usual 12 salaries paid during the year, the employer must also pay approximately an additional GREECE monthly salary as a Christmas allowance, approximately half a monthly salary as an Easter allowance and half a monthly salary as holiday allowance (totaling 14 “salaries” per year). Furthermore, an employee may be entitled to special allowances such as a prior service allowance, educational allowances, IT knowledge allowances, family allowances and hazardous work allowances. Such allowances are usually stipulated in the respective professional, sectoral or company collective labor agreements. Eligibility for the above allowances depends on his or her position, professional education, family status etc. Some allowances provide a percentage of the salary while others are for Employment Contracts Duration fixed amounts. In cases where the contractual salary is higher than the minimum lawful salary, the employer is entitled to set off There are two types of employment contracts: open-end term and fixed-term contracts. Each type is subject to differ- the amount corresponding to the difference between the contractual and minimum salary against any claims of the ent termination requirements (see below grounds for termination). employee for compensation relating to overwork (not overtime), night work, work on Sundays, public holidays and Fixed-Term Contracts Termination on the sixth week day pursuant to a written agreement with the employee. The execution of a fixed-term employment contract must be justified by the circumstances and the aim of the contract. For example, to cover seasonal or temporary needs related to a specific project, replacement of an employee on maternity leave etc. In the absence of such circumstances, the employee may claim that the execution of the fixed-term contract, constituted a circumvention of the employee’s lawful rights and may, therefore, claim conversion of the contract into one of indefinite term. The aforementioned does not apply to contracts of an indefinite time period. The risk is higher in the case of consecutive renewals of fixed-term contracts. If the total duration of consecutive fixed- term contracts (i.e. with a break between the contracts of less than forty-five days) exceeds three years or the number of renewals exceeds three within a three-year period, the contract is “presumed” to be of indefinite term. Regardless of the number of renewals, a fixed-term contract can be converted into an open-end contract if the fixed- 38 term duration or the renewal of the contract is not objectively justified, as mentioned above. 39 40 MONTHLY GROSS SALARY USUAL OPTIONAL ADDITIONAL OPTIONAL ADDITIONAL Indicative Salaries for Different Profiles IN EUROS BENEFITS BENEFITS (ACCORDING BENEFITS (ACCORDING JOB TITLE PROVIDED TO COMPANY’S POLICY) TO COMPANY’S POLICY) Indicate salaries examples FOR SENIORS & MANAGERS

Table 11 Entry- Level Mid- Level Senior- Level Manager

MONTHLY GROSS SALARY USUAL OPTIONAL ADDITIONAL OPTIONAL ADDITIONAL Customer Service: Entry-Level, 650- 1000- 1300- 1800- Private health insur- gas/transportation N/A Mid-Level, Senior-Level and 900 1200 1500 2200 ance, meal vouchers allowance IN EUROS BENEFITS BENEFITS (ACCORDING BENEFITS (ACCORDING JOB TITLE Manager (up to €132 x 11 months PROVIDED TO COMPANY’S POLICY) TO COMPANY’S POLICY) are tax free), bonus FOR SENIORS & scheme according to MANAGERS KPI’S (bonus may be Entry- Level Mid- Level Senior- Level Manager given in the form of Starter Engineer / Qualified 1250- 1500- Private health Pension scheme, gas/ N/A meal vouchers) Engineers of all specialties 1400 1900 insurance transportation allow- Technical Support: Entry-Level, 800- 1100- 1700- 2200- Private health Pension scheme, meal Company car, gas ance, company car, meal Mid-Level, Senior-Level and 1000 1500 2100 2700 insurance, bonus vouchers (up to €132 x 11 allowance, annual bonus vouchers (up to €132 x Manager scheme accord- months are tax free) gas/ according to KPIs, pension 11 months are tax free), ing to KPI’S transportation allowance, plan bonus scheme according company car for field to KPI’S service engineers

Engineer with 10 years experience/ 2000- 2700+ Private health Pension scheme, gas/ Company car, gas Typical work experience in IT-BPS 800- 1100- 1700- 2200- Private health Pension scheme, gas/ Company car, gas Qualified Engineers of all Specialties 2700 insurance transportation allowance, allowance, annual bonus industry (Voice-based Customer 1000 1500 2100 2700 insurance, meal transportation allowance, allowance, annual bonus meal vouchers (up to €132 according to KPIs, Services) for Entry-Level, Mid-Level, vouchers (up to company car for field according to KPIs, pension x 11 months are tax free), pension plan Senior-Level and Manager €132 x 11 months service engineers plan bonus scheme according are tax free), to KPI’S bonus scheme according to KPI’S Human Resources Officer/Human 1000- 1300- 2000- Private health Pension scheme, gas/ N/A Resources Assistant 1200 1700 2500 insurance, meal transportation allowance, Typical work experience in IT- 800- 1100- 1700- 2200- Private health Pension scheme, meal Company car, gas vouchers (up to bonus scheme according BPS industry (Non-voice-based 1000 1500 2100 2700 insurance, bonus vouchers (up to €132 x 11 allowance, annual bonus €132 x 11 months to KPI’S Customer Services) for Entry-Lev- scheme according months are tax free), gas/ according to KPIs, pension are tax free) el, Mid-Level, Senior-Level and to KPI’S transportation allowance, plan Manager company car for field service engineers Human Resources Manager 2500+ Private health Pension scheme, gas/ Company car, gas Application Support Engineer 1200- 1500- 2000- 2500+ Private health Pension scheme, meal Gas allowance, annual insurance, meal transportation allowance allowance, annual bonus 1400 2000 2500 insurance vouchers (up to €132 x bonus according to KPIs, vouchers (up to according to KPIs, 11 months are tax free), pension plan €132 x 11 months pension plan bonus scheme according are tax free) to KPI’S gas/transportation allowance Office Administration / 750- 1100- 1500- Private health Pension scheme, gas/ N/A Administration Assistant 1000 1500 2000 insurance transportation allowance Big Data Engineer 1400- 1700- 2100- 2700+ Private health Pension, meal vouchers Company car, gas meal vouchers (up to €132 1600 2000 2700 insurance (up to €132 x 11 months allowance, annual bonus x 11 months are tax free), are tax free), bonus according to KPIs, bonus scheme according scheme according to pension plan to KPI’S KPI’S gas/transportation 40 allowance 41 42 MONTHLY GROSS SALARY USUAL OPTIONAL ADDITIONAL OPTIONAL ADDITIONAL MONTHLY GROSS SALARY USUAL OPTIONAL ADDITIONAL OPTIONAL ADDITIONAL IN EUROS BENEFITS BENEFITS (ACCORDING BENEFITS (ACCORDING IN EUROS BENEFITS BENEFITS (ACCORDING BENEFITS (ACCORDING JOB TITLE JOB TITLE PROVIDED TO COMPANY’S POLICY) TO COMPANY’S POLICY) PROVIDED TO COMPANY’S POLICY) TO COMPANY’S POLICY) FOR SENIORS & FOR SENIORS & MANAGERS MANAGERS Entry- Level Mid- Level Senior- Level Manager Entry- Level Mid- Level Senior- Level Manager

Database Developer 1000- 1400- 1800- 2300+ Private health Pension, gas/transpor- Gas allowance, annual Multilingual Inside B2B Agent 1100-1600 1600- 1900- Private health Gas/transportation N/A 1300 1700 2200 insurance, meal tation allowance, bonus bonus according to KPIs, 1800 2400 insurance, meal allowance vouchers (up to scheme according to KPI’S pension plan vouchers (up €132 x 11 months to €132 x 11 are tax free) months are tax free), bonus scheme accord- Developer (back-end, front-end, 1100- 1600- 2100- 2500+ Private health Pension, gas/transpor- Gas allowance, annual ing to KPI’S, full-stack, including .NET, Java, 1500 2000 2500 insurance, meal tation allowance, bonus bonus according to KPIs, accommodation PHP, etc.) vouchers (up to scheme according to KPI’S pension plan for the first €132 x 11 months months of the are tax free) collaboration Support/helpdesk 800- 1100- 1700- 2200- Private health Pension, gas/transporta- Gas allowance, annual for candidates 1000 1500 2100 2700 insurance, meal tion allowance bonus according to KPIs, coming from vouchers (up to pension plan other countries €132 x 11 months 700- 1000- 1300- 1800- Private health Gas/transportation N/A are tax free), Collection Agent 950 1300 1500 2200 insurance, meal allowance bonus scheme vouchers (up to according to KPI’S €132 Χ 11 months are tax free), UI/UX Designer 1000- 1400- 1900- 2400+ Private health Pension, meal vouchers Gas allowance, annual bonus scheme 1300 1800 2300 insurance (up to €132 x 11 months bonus according to KPIs, depending on are tax free), bonus pension plan seniority and scheme according to bucket (bonus KPI’S gas/transportation may be given in allowance the form of meal vouchers) Multilingual Call Center Agent 1100-1600 1600- 1900- Private health Gas/transportation N/A 1800 2400 insurance, meal allowance vouchers (up to €132 x 11 months are tax free), bonus scheme according to KPI’S, Working Schedule accommodation for the first Under Greek law the maximum working time for employees who work a 5-day working week is 40 hours per months of the collaboration week and 8 hours per day. The working schedule must be included in the employer’s official personnel list, which is for candidates coming from submitted annually to the labor authorities through the electronic platform for employer notifications called ERGANI, 42 other countries while any changes must also be notified to the authorities prior to their implementation. 43 44 Overwork Types of Leaves Under Greek employment law, which applies to the majority of employees, work above 40 hours per week and up Annual Leave Sick Leave Parental Leave to 45 hours constitutes overwork. Overwork must be compensated by a 20% increase in the employee’s contractual Under the current legislation, during the Employees who are prevented from Employees who have completed one hourly wage and be notified electronically to the authorities through the ERGANI platform at the latest on the same first two calendar years of employment, working due to illness are entitled to year of service with the same employ- day and in any case before the commencement of overwork. annual leave accrues pro rata based on their normal remuneration during the er are entitled to take unpaid leave of the employee’s period of employment period of absence on condition that at least four months (eight months for within the calendar year. As from the they have been providing their servic- single parents) per child (provided that Overtime third calendar year onwards (January es to the employer for at least ten days one year has lapsed from the expiry of Work above 45 hours per week or 9 hours per day constitutes overtime and is allowed only on an exceptional and 1st), employees accrue their total annu- prior to their illness. This entitlement the previous parental leave taken). The short-term basis (e.g. an unexpected workload) for a maximum of 2 hours per day and 120 hours per year. al leave entitlement as of 1st January. does not last for the entire period of the above right is non-transferrable and In the case of a 5-day working week, employee’s absence and is subject to can be exercised until the child reach- Pursuant to special legislation that applies to a variety of companies (mainly of an industrial or technical nature), during their first year of employment the following time limits: (i) if the em- es the age of six (or the age of eight, if overtime work is allowed for up to 3 hours per day and up to maximum number of hours per semester stipulated in employees are entitled to a total annual ployee has completed one years’ ser- the adoption process is not completed a Ministerial Decision issued twice every year. leave of 20 working days, which is in- vice with the employer, the employ- by the age of six). This parental leave Overtime must be compensated by increasing the employee’s contractual hourly wage by a factor 40% (for up to 120 creased to 21 days upon completion of ee is entitled to pay for one month’s may be taken in one or more parts. hours of overtime per year). Overtime which exceeds 120 hours per year requires the prior issuance of a special 12 months of employment and 22 days absence and (ii) if the employee has Greek law also provides a number of upon completion of 24 months of em- not completed one years’ service, the special types of leave, including wed- permit by the Ministry of Employment and must be compensated by a contractual hourly wage increase of 60%. ployment. Upon completion of 10 years employee is entitled to pay for half a ding leave, school visit leave, voting of service with the same employer, or month’s absence. The employer has leave, leave due to sickness of de- 12 years with any employer, the em- the right to deduct from the amount pendents, student leave etc. ployees’ annual leave entitlement is in- payable to the employee any amounts creased to 25 days, while after the com- which the latter receives from the so- pletion of 25 years of service with any cial security authorities. employer this is increased to 26 days.

44 45 46 Types of Leaves Labor Cost Examples (As per the Current Labor Law October 2020) Maternity Leave Special Leave for the Education and Study Labor Cost Example A The total duration of paid maternity Protection of Maternity Leave Table 12 leave is 17 weeks, of which 8 weeks Under Greek law, female employees Employees are entitled to a paid leave 01/01/2021-31/12/2021 must be taken before the expect- who are insured with EFKA, which is for the education of trade unionists ed delivery date and the remaining 9 SALARY 650,00 € the main social security organization up to 14 days within the same calen- weeks after delivery. If delivery takes in Greece, are entitled to Special Leave dar year. School and undergraduate EMPLOYERS’ COST OF EMPLOYEE’S TAXES SOLIDARITY NET place earlier than the expected date, GROSS CONTRIBUTION MONTHLY CONTRIBUTION TAX for the Protection of Maternity for a university students up to 28 years old SALARY FOR SALARY FOR the remaining leave must be granted period of up to 6 months. During the are entitled to a renumeration under INSURANCE INSURANCE subsequent to delivery so that a to- 24,33% 15,33 % Special Leave for the Protection of Ma- conditions up to 30 days given by the tal of 17 weeks is provided. If delivery January 650,00 158,15 808,15 99,65 0,00 0,00 550,36 ternity, eligible employees are entitled Organization for the Employment of takes place after the expected date, the to a special monthly allowance paid Workforce. Additionally, school and February 650,00 158,15 808,15 99,65 0,00 0,00 550,36 employee is still entitled to take the by the Unemployment Office (OAED), undergraduate university students remaining weeks leave following de- March 650,00 158,15 808,15 99,65 0,00 0,00 550,36 while they are not in receipt of salary over 28 years of age have the right to livery. Thus, the maternity leave period April 650,00 158,15 808,15 99,65 0,00 0,00 550,36 payments from their employer. an additional 30 days’ leave per year is prolonged. at a maximum, but only for the ordi- Easter Bonus 338,54 82,37 420,91 51,90 0,00 0,00 286,64 nary length of studies increased by May 650,00 158,15 808,15 99,65 0,00 0,00 550,36 two years, irrespectively of if the study June 650,00 158,15 808,15 99,65 0,00 0,00 550,36 course has been attended continuous- ly or intermittently. July 650,00 158,15 808,15 99,65 0,00 0,00 550,36 August 650,00 158,15 808,15 99,65 0,00 0,00 550,36 Childcare Leave September 650,00 158,15 808,15 99,65 0,00 0,00 550,36 Following completion of the maternity October 650,00 158,15 808,15 99,65 0,00 0,00 550,36 leave, employees are entitled to re- November 650,00 158,15 808,15 99,65 0,00 0,00 550,36 duced working hours that may be used December 650,00 158,15 808,15 99,65 0,00 0,00 550,36 as follows: the employee may work for 1 hour less per day for a period of 30 Vacation Bonus 325,00 79,07 404,07 49,82 0,00 0,00 275,18 months; or the employee may work for Christmas Bonus 677,08 164,73 841,81 103,80 0,00 0,00 573,28 2 hours less per day for a period of 12 Vacation Not Taken 624,00 624,00 0,00 0,00 0,00 624,00 months and 1 hour less per day for a 46 further 6 months. TOTAL 9.764,62 2.223,91 11.988,53 11.988,53 0,00 0,00 8.363,36 47 48 Labor Cost Examples (As per the Current Labor Law October 2020) Labor Cost Examples (As per the Current Labor Law October 2020) Labor Cost Example B Labor Cost Example C Table 13 Table 14 01/01/2021-31/12/2021 01/01/2021-31/12/2021 SALARY 1300,00 € SALARY 3000,00 € EMPLOYERS’ COST OF EMPLOYEE’S TAXES SOLIDARITY NET EMPLOYERS’ COST OF EMPLOYEE’S TAXES SOLIDARITY NET GROSS CONTRIBUTION MONTHLY CONTRIBUTION TAX GROSS CONTRIBUTION MONTHLY CONTRIBUTION TAX SALARY FOR SALARY FOR SALARY FOR SALARY FOR INSURANCE INSURANCE INSURANCE INSURANCE 24,33% 15,33 % 24,33% 15,33 % January 1300,00 316,29 1616,29 199,29 99,51 5,36 995,84 January 3000,00 729,90 3729,90 459,90 543,22 74,11 1922,77 February 1300,00 316,29 1616,29 199,29 99,51 5,36 995,84 February 3000,00 729,90 3729,90 459,90 543,22 74,11 1922,77 March 1300,00 316,29 1616,29 199,29 99,51 5,36 995,84 March 3000,00 729,90 3729,90 459,90 543,22 74,11 1922,77 April 1300,00 316,29 1616,29 199,29 99,51 5,36 995,84 April 3000,00 729,90 3729,90 459,90 543,22 74,11 1922,77 Easter Bonus 677,08 164,73 841,81 103,80 49,31 2,02 521,95 Easter Bonus 1562,49 380,15 1942,64 239,53 273,61 35,91 1013,44 May 1300,00 316,29 1616,29 199,29 99,51 5,36 995,84 May 3000,00 729,90 3729,90 459,90 543,22 74,11 1922,77 June 1300,00 316,29 1616,29 199,29 99,51 5,36 995,84 June 3000,00 729,90 3729,90 459,90 543,22 74,11 1922,77 July 1300,00 316,29 1616,29 199,29 99,51 5,36 995,84 July 3000,00 729,90 3729,90 459,90 543,22 74,11 1922,77 August 1300,00 316,29 1616,29 199,29 99,51 5,36 995,84 August 3000,00 729,90 3729,90 459,90 543,22 74,11 1922,77 September 1300,00 316,29 1616,29 199,29 99,51 5,36 995,84 September 3000,00 729,90 3729,90 459,90 543,22 74,11 1922,77 October 1300,00 316,29 1616,29 199,29 99,51 5,36 995,84 October 3000,00 729,90 3729,90 459,90 543,22 74,11 1922,77 November 1300,00 316,29 1616,29 199,29 99,51 5,36 995,84 November 3000,00 729,90 3729,90 459,90 543,22 74,11 1922,77 December 1300,00 316,29 1616,29 199,29 99,51 5,36 995,84 December 3000,00 729,90 3729,90 459,90 543,22 74,11 1922,77 Vacation Bonus 650,00 158,15 808,15 99,65 49,76 2,68 497,92 Vacation Bonus 1500,00 364,95 1864,95 229,95 271,61 37,06 961,38 Christmas Bonus 1354,16 329,47 1683,62 207,59 100,44 6,00 1040,13 Christmas Bonus 3124,98 760,31 3885,29 479,06 541,24 75,20 2029,48 Vacation Not Taken 1248,00 1248,00 0,00 309,25 28,97 909,78 Vacation Not Taken 2880,00 2880,00 0,00 1153,95 197,52 1528,53

48 TOTAL 19.529,24 4.447,82 23.977,06 2.802,51 1.702,88 103,99 14.919,85 TOTAL 45.067,47 10.264,21 55.331,68 6.467,34 8.759,05 1.235,01 28.606,07 49 50 Labor Cost Examples (As per the Current Labor Law October 2020) Minimum Base Salary Thresholds for Employees Labor Cost Example D Despite age factors or years of experience and marital status (married, unmarried), the basic gross salary is 650€ for all employees. The basic collective agreement provides only the allowance relevant to the years of experience on Table 15 condition that the experience must be recognized by social security organization until 14/2/2012 and the increase of 01/01/2021-31/12/2021 gross salary follow the bellow escalation 0-3 years 650€, 3-6 years 715€, 6-9 years 780€, 9+ years 845€. This will be SALARY 7000,00 € valid until unemployment reduces below 10%. EMPLOYERS’ COST OF EMPLOYEE’S TAXES SOLIDARITY NET GROSS CONTRIBUTION MONTHLY CONTRIBUTION TAX Non-Mandatory Benefits % of the Base Gross Salary SALARY FOR SALARY FOR INSURANCE INSURANCE Private Insurance 24,33% 15,33 % If the private insurance provided is above 1500€ per year the employee must pay additional taxation (November 2020 update). January 7000,00 1581,45 8581,45 996,45 2073,63 353,28 3576,64 Travel Allowance February 7000,00 1581,45 8581,45 996,45 2073,63 353,28 3576,64 As “travel” we define movement of an employee over to 30 Km out of the workplace. Then the additional daily allowance is: March 7000,00 1581,45 8581,45 996,45 2073,63 353,28 3576,64 1/25 of monthly gross salary per night April 7000,00 1581,45 8581,45 996,45 2073,63 353,28 3576,64 1/2 of 1/25 of monthly gross salary per night if employer covered only food Easter Bonus 3645,81 887,03 4532,84 558,90 1036,82 177,65 1872,44 1/4 of 1/25 of monthly gross salary per night if employer covered accommodation and food 4/5 of 1/25 of monthly gross salary per night if employer covered only accommodation May 7000,00 1581,45 8581,45 996,45 2073,63 353,28 3576,64 June 7000,00 1581,45 8581,45 996,45 2073,63 353,28 3576,64 Night Shift Allowance For working hours (10pm-06am), the additional hourly allowance is 25% on salary basic per hour. July 7000,00 1581,45 8581,45 996,45 2073,63 353,28 3576,64 August 7000,00 1581,45 8581,45 996,45 2073,63 353,28 3576,64 Foreign Language There is no official additional amount for foreign language in the basic collective agreement. Specific collective agree- September 7000,00 1581,45 8581,45 996,45 2073,63 353,28 3576,64 ment or personnel contract could give an amount which is 10% of the gross salary. October 7000,00 1581,45 8581,45 996,45 2073,63 353,28 3576,64 November 7000,00 1581,45 8581,45 996,45 2073,63 353,28 3576,64 Employee Benefits Prescribed by Law December 7000,00 1581,45 8581,45 996,45 2073,63 353,28 3576,64 The most important employee benefits prescribed by law are holiday bonus, unemployment benefit, child benefit, military service benefit, family benefits, sickness benefit, marriage benefit, maternity benefit, special provision for the Vacation Bonus 3500,00 851,55 4351,55 536,55 1036,82 176,64 1749,99 protection of motherhood, service benefit (for employees having completed many years of service) and Christmas and Christmas Bonus 7291,62 1581,45 8873,07 996,45 2073,58 352,28 3869,31 Easter benefit. Vacation Not Taken 6720,00 6720,00 0,00 2956,80 604,80 3158,40 In view of the recent developments in the Greek economy, many benefits applicable to public servants and employees working under labor contracts of either public or private law have been significantly cut, according to Law 50 TOTAL 105.157,43 22.297,43 127.454,86 14.049,30 31.987,58 5.550,73 53.569,82 Nos. 3833/2010 and 3845/2010. 51 52 Obligatory Content of Employment Contract Type of Social Insurance (rates paid by the employer and employee) Table 16 According to Presidential Decree 156/94 the obligation of the employer to notify the employee of the terms that govern the contract, or the working relationship was established. Thus, the below details must be included in this written FOR PART-TIME EMPLOYEES - 1/6/2019 - present notification: Social security costs Employer Employee Total employer and employee must be clearly identified Pension 13,33% 6,67% 20,00% the home address of the employer, the location at which the work will take place and the address of the registered Health care benefits in kind 4,30% 2,15% 6,45% company office Health care benefits in money 0,25% 0,40% 0,65% the work purpose, job title and category of employment Supplementary insurance 3,25% 3,25% 6,50% the date of the start of employment Unemployment Manpower Organization (OAED) 3,17% 1,83% 5,00% the end date of employment if it is a fixed-term contract Others benefits of Manpower Organization (OAED) 0,15% 0,00% 0,15% Training seminars by LAEK the required working hours (per day and week) 0,36% 0,10% 0,46% Organization of OAED (loans for housing) 0,00% 1,00% 1,00% details of paid time off available, including how and when it is earned and how it may be taken Organization of OAED 0,00% 0,35% 0,35% the amount of all possible remuneration TOTAL 24,81% 15,75% 40,56% how and when notice of termination must be given by employer and employee any applicable collective agreements Social Insurance (rates paid by the employer and employee) Social Security Costs Table 17 FOR FULL-TIME EMPLOYEES - 1/6/2020 - present Social Security Contribution Rates Social security costs Employer Employee Total Below percentages are being paid in EFKA organization (November 2020 update) by: Pension 13,33% 6,67% 20,00% the employer 24.81% part timers / 24.33% full timers Health care benefits in kind 4,30% 2,15% 6,45% the employee 15.75% part timers / 15.33% full timers Health care benefits in money 0,25% 0,40% 0,65% Supplementary insurance 3,25% 3,25% 6,50% Unemployment Manpower Organization (OAED) 2,69% 1,56% 4,25% Others benefits of Manpower Organization (OAED) 0,15% 0,00% 0,15% Training seminars by LAEK 0,36% 0,10% 0,46% Organization of OAED (loans for housing) 0,00% 0,85% 0,85% Organization of OAED 0,00% 0,35% 0,35% TOTAL 24,33% 15,33% 39,66%

52 Source: PIM Ergasiaki - https://www.pim.gr/ 53 54 Over the past few years there is a trend in Greece major multinational companies from several different industries to invest in the country and create Shared Services Centers and Business Process Outsourcing Departments in order to support their global functions. As already described especially Greek young graduates, along with their studies, they THE CURRENT learn several different languages, something that can support this kind of business. The below table presents the TREND OF SHARED already existing investments in Greece. Already existing investments in Greece SERVICES CENTERS & Table 18 SSC* BPOs** CBC*** HR Center/SSC**** BUSINESS PROCESS Employees 790 19430 563 8 Companies 7 15 4 2 OUTSOURCING IN * SSC in Greece are in the following sectors: Industrial Products, Manufacturing, Transportation & Logistics, Pharmaceuticals, Maritime, Construction GREECE ** BPOs in Greece are in Customer Service, Multilingual Customer service, Technical Support and Collections ***CBCs in Greece are in Consumer Goods, Heavy Industry and Construction ****HR Shared Services are in Pharmaceuticals and Construction

54 55 56 Several assets differentiate Greece from global competition as an attractive market for investments. Quality of life and lifestyle together with the level of local labor skills as well as the steady socio-political environment are some of the determining factors that increase the willingness to invest in Greece. In this study, we summarized main characteristics of the Greek human capital and Greek labor landscape hoping that we have created a useful “handbook” for Government institutions and businesses who aim to leverage the country’s unique traits to establish locally successful business investments. The Adecco Group global expertise in Human Recourses, our in-depth knowledge of the local market and the analysis of population and workforce characteristics as well as geographical traits & labor law framework build up this booklet as a comprehensive reference for investments’ stakeholders.

ABBREVIATIONS EXPLANATION

Q1= First Quarter N/A = Not available/applicable Q2 = Second Quarter and so on IT – BPS = IT Business Process Services GDP = Gross Domestic Product B2B = Business to Business EC = European Coutries EFKA = National Social Security Entity CONCLUSION OAED = Greek Manpower Employment Organization SSC = Shared Service Center LAEK = Program subsidized form OAED BPO = Business Process Outsourcing GTCI = Global Talent Competitive Index CBC = Corporate Business Center ICT = Information and Communication Technology HR Center/SSC = Human Resources Center / Shared Service Center KPI’s = Key Performance Indicator IT = Information Technology

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