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Cyprus - Compensation & Benefit Legislation

CAPITAL

Nicosia

 

CLIMATE

Temperate, Mediterranean with hot, dry summers and cool winters.

 

LANGUAGES

Greek, Turkish and English.

 

LEGAL SYSTEM

Based on common law, with civil law modifications.

 

CURRENCY

Greek Cypriot area:

Cypriot pound (1 USD = 0.65768 CYP as of March 15, 2002).

 

Turkish Cypriot area:

Turkish lira (1 USD = 1,385,550 TRL as of March 15, 2002).

 

CYPRUS - COST-OF-LIVING

ERI's Relocation Assessor is a recommended source for cost-of-living data.

 

CYPRUS - EMBASSY/CONSULATES

U. S. Embassy at Nicosia

Metochiou and Ploutarchou Streets

Engomi 2407 Nicosia

Cyprus

P.O. Box 24536

Nicosia, Cyprus

Telephone: [357] (22) 776400

Fax: [357] (22) 780944

http://www.americanembassy.org.cy/

 

Embassy of the Republic of Cyprus at Washington D.C.

2211 R Street N.W.

Washington D.C. 20008

Telephone: (202) 462-5772

Fax: (202) 483-6710

E-mail: cypembpow@sysnet.net

http://cyprusembassy.org

 

CYPRUS - HOLIDAYS

 

CYPRUS – LEAVE

Annual Leave: Minimum 15 days paid annual leave each year (for 5-day workweek). Minimum 18 days paid annual leave each year (for 6-day workweek).

 

Maternity Leave: 16 weeks – 75% of pay (paid for by social security).

 

CYPRUS - MINIMUM AGE

In both the government-controlled area and Turkish Cypriot community, the minimum age for the employment of children in an "industrial undertaking" is 16 years of age. Turkish Cypriots may be employed in apprentice positions at the age of 15. There are labor inspectors in both communities who enforce the law effectively. However, in family-run shops it is common for younger children to work after school, and according to press reports, children as young as 11 or 12 years of age work in orchards during their school holidays in the Turkish Cypriot community.

 

(Section 6.d. Acceptable Conditions of Work, Cyprus – Report of Human Rights Practices, 2001, U.S. Department of State.)

 

CYPRUS - MINIMUM REMUNERATION

The legislated minimum wage in the government-controlled area, which is reviewed every year, is approximately $420 (280 Cyprus pounds) per month for shop assistants, practical nurses, clerks, hairdressers, and nursery assistants. The wage rises to $450 (300 Cyprus pounds) after 6 months' employment. Neither amount is sufficient to provide a decent standard of living for a worker and family. All other occupations are covered under collective bargaining agreements between trade unions and employers within the same economic sector, and the wages set in these agreements are significantly higher than the legislated minimum wage (see Section 6.b.).

 

The legislated minimum wage in the Turkish Cypriot community, while subject to frequent review because of high inflation, was approximately $170 (238 million Turkish lira) per month at the end of 2001. This amount is insufficient to provide a decent standard of living for a worker and family. Unskilled workers typically earn about $416 (260 Cyprus pounds) per month, which barely is adequate to support a family.

 

(Section 6.e. Acceptable Conditions of Work, Cyprus – Report of Human Rights Practices, 2001, U.S. Department of State.)

 

CYPRUS - REMUNERATION

ERI's Geographic and Salary Assessors are recommended sources for international remuneration covering 189 countries.

 

CYPRUS - REPORT OF HUMAN RIGHTS PRACTICES (2001, U.S. DEPARTMENT OF STATE)

Section 6 Worker Rights

 

a. The Right of Association

 

All workers, except for members of the police and military forces, have the legal right to form and join trade unions of their own choosing without prior authorization; however, in the government-controlled area, police officers are permitted only to join associations that have the right to bargain collectively but not to strike. More than 70 percent of the Greek Cypriot workforce belongs to independent trade unions. Approximately 50 to 60 percent of Turkish Cypriot private sector workers, and all public sector workers, belong to labor unions.

 

In the Turkish Cypriot community, union officials alleged that various firms have been successful in establishing "company" organizations and then pressing workers to join these unions. Officials of independent labor unions also have accused the Turkish Cypriot authorities of creating rival public sector unions to weaken the independent unions.
 

In both communities, trade unions freely and regularly take stands on public policy issues affecting workers and maintain their independence from the authorities. Two of the major trade unions, one in each community, are affiliated closely with political parties. Both of the other major unions are independent.

 

All workers have the right to strike; however, in the northern part of the island, employers have an unrestricted right to hire replacement workers in the event of a strike, thereby limiting the effectiveness of the right to strike. In addition authorities in both the Greek Cypriot and Turkish Cypriot communities have the power to curtail strikes in "essential services," although this power is used rarely. There were no major strikes during the year.

 

Unions in both parts of Cyprus may and do affiliate with international trade union organizations, although Greek Cypriot unions sometimes object to recognition of Turkish Cypriot unions formed after 1963.
  
b. The Right to Organize and Bargain Collectively

 

By law trade unions and confederations are free to organize and bargain collectively throughout Cyprus. This right is observed in practice in the government-controlled areas, and most wages and benefits are set by freely negotiated collective agreements; however, Greek Cypriot collective bargaining agreements are not enforceable. In the rare instances in which persons claim that such agreements were infringed, the Ministry of Labor is requested to investigate. If the Ministry is unable to resolve the dispute, the union may call a strike to support its demands.

 

In the Turkish Cypriot community, wage levels are reviewed several times a year for both private sector and public sector workers, and a corresponding cost-of-living raise is established. A special commission composed of five representatives each from organized labor, employers, and the authorities conduct the review.
 

Antiunion discrimination is not illegal in the Turkish Cypriot community. Union leaders contend that private sector employers are able to discourage union activity because the enforcement of labor regulations is sporadic, and penalties for antiunion practices are minimal. As in the Greek Cypriot community, parties to a dispute may request mediation by the authorities. Antiunion discrimination is illegal in the government-controlled area.

 

Small export processing zones (EPZ's) exist in the port of Larnaca and in Famagusta; the laws governing working conditions and actual practice in the EPZ's are the same as those outside the zones.
 

c. Prohibition of Forced or Compulsory Labor

 

Laws prohibit forced or compulsory labor throughout Cyprus; however, there were credible reports that women were trafficked into Cyprus for prostitution (see Section 6.f.). Foreign maids and illegal foreign workers allegedly are subject to the nonpayment of wages and the threat of deportation (see Section 6.e.).

 

Laws prohibit forced and bonded labor by children in both communities, and there were no reports that such practices occurred.

 

d.  Status of Child Labor Practices and Minimum Age for Employment

 

In both the government-controlled area and Turkish Cypriot community, the minimum age for the employment of children in an "industrial undertaking" is 16 years of age. Turkish Cypriots may be employed in apprentice positions at the age of 15. There are labor inspectors in both communities who enforce the law effectively. However, in family-run shops it is common for younger children to work after school, and according to press reports, children as young as 11 or 12 years of age work in orchards during their school holidays in the Turkish Cypriot community.

 

Laws prohibit forced and bonded labor by children, and such practices are not known to occur (see Section 6.c.).

 

During the year, a law enacted in the Greek Cypriot community updated provisions of previous legislation in line with the European Union acquis. The new legislation significantly increased fines for child labor abuses and added regulations that deal with culture, sports, and advertising.

 

e. Acceptable Conditions of Work

 

The legislated minimum wage in the government-controlled area, which is reviewed every year, is approximately $420 (280 Cyprus pounds) per month for shop assistants, practical nurses, clerks, hairdressers, and nursery assistants. The wage rises to $450 (300 Cyprus pounds) after 6 months' employment. Neither amount is sufficient to provide a decent standard of living for a worker and family. All other occupations are covered under collective bargaining agreements between trade unions and employers within the same economic sector, and the wages set in these agreements are significantly higher than the legislated minimum wage (see Section 6.b.). The legislated minimum wage in the Turkish Cypriot community, while subject to frequent review because of high inflation, was approximately $170 (238 million Turkish lira) per month at year's end. This amount is insufficient to provide a decent standard of living for a worker and family. Unskilled workers typically earn about $416 (260 Cyprus pounds) per month, which barely is adequate to support a family.

 

In the government-controlled area, the legal maximum workweek in the private sector is an average of 39 hours for white-collar workers and 38 hours for blue-collar workers. In the public sector, it is 38 hours during the winter and 35 hours in the summer. In the Turkish Cypriot community, the legal maximum workweek is 38 hours in the winter and 36 hours in the summer. Labor inspectors effectively enforce these laws.

 

Steps have been taken to improve health and safety standards in the workplace in the government-controlled area. A 1997 law harmonized health and safety standards with those in the EU. The law incorporates EU principles and standards for health and safety in the workplace and complies fully with the 1981 International Labor Organization convention on occupational health and safety. A second 1997 law requires employers to provide insurance liability coverage for work-related injuries. According to labor union officials, these laws are enforced effectively.

 

Occupational safety and health regulations are enforced sporadically in the Turkish Cypriot community. In both the government-controlled area and the Turkish Cypriot community, factory inspectors process complaints and inspect businesses in order to ensure that occupational safety laws are observed. Workers in the government-controlled area may remove themselves from dangerous work conditions without risking loss of employment. Turkish Cypriot workers who file complaints do not receive satisfactory legal protection and may face dismissal.

 

There were frequent reports on the mistreatment of maids and other foreign workers in the Greek Cypriot press. Such reports usually involved allegations that maids, often from East or South Asia, were mistreated by their employers or fired without cause in violation of their contracts. Many women do not complain to authorities, fearing retribution from their employers. A new law passed during the year protects domestic workers who file a complaint with the Labor Department from being deported until their case has been adjudicated.

 

A significant percentage of the labor force in the north consists of illegal workers, mostly from Turkey. According to some estimates, illegal workers constitute as much as 15 percent of the total work force there. There are frequent allegations that such workers were subject to mistreatment, including the nonpayment of wages and threats of deportation.

 

 f. Trafficking in Persons

 

The law in the government-controlled area criminalizes trafficking, but the law in the north does not prohibit trafficking; during the year, there continued to be credible reports that women were trafficked into both communities for the purpose of prostitution.

 

Agents in Eastern Europe recruited young women for prostitution in the government-controlled area. The women came principally from Ukraine, Romania, Moldova, Russia, and Bulgaria and entered either illegally after authorities were bribed or on temporary 3-month work permits. In some instances, they then were forced to surrender their passports or forced to stay beyond the period of their work permits and in some cases were not paid their full salaries. A similar pattern existed in the recruitment and hiring of Eastern European women to work in the Turkish Cypriot community, and reports persisted regarding the coercion of nightclub workers, such as the confiscation of victims' passports. Estimates on the extent of the problem are difficult to obtain.

 

In 2000 the Cypriot legislature passed a law making it a felony to engage in the sexual exploitation and trafficking of adults (with or without their consent) and children. The law provides for punishment of up to 20 years' imprisonment for trafficking.

 

The law obligates the State to provide protection and support for victims, and the Government made some effort to protect women who brought complaints against employers by allowing them to remain to press charges or facilitating their return home. Under the law, the Government must also provide shelter and medical and psychiatric care until the victims have recovered from any traumatic experience. Persons convicted of trafficking may be required by the court to pay such costs in addition to any repatriation costs. The Government may appoint a guardian for victims to advise and give counsel and to represent the victim with the appropriate government agency. Victims may sue traffickers for damages. There are no similar legal provisions in the Turkish Cypriot community. However, many of the women are reluctant to press charges, fearing retaliation by employers or deportation.

 

CYPRUS - SOCIAL SECURITY

Social Security Office of International Programs:

 

http://www.ssa.gov/SSA_Home.html

 

 

CYPRUS - STANDARD WORKWEEK

In the government-controlled area, the legal maximum workweek in the private sector is an average of 39 hours for white-collar workers and 38 hours for blue-collar workers. In the public sector, it is 38 hours during the winter and 35 hours in the summer.

 

In the Turkish Cypriot community, the legal maximum workweek is 38 hours in the winter and 36 hours in the summer.

 

(Section 6.e. Acceptable Conditions of Work, Cyprus – Report of Human Rights Practices, 2001, U.S. Department of State.)