Cyprus transposed into national law the EU Directive 2019/1152 on transparent and predictable working conditions ("EU Directive"). The aim of the EU Directive is to improve and enforce more transparent and predictable employment conditions, thereby increasing flexibility in the labour market.
The national legislation that transposes the EU Directive is called the Transparent and Predictable Working Conditions Law of 2023 (N.25(I)/2023) ("Working Conditions Law"), which has been enforceable since 13th of April 2023.
The Working Conditions Law introduces new rights for employees and amends specific obligations for employers. Below is an outline of the key provisions under this transposition.
The main areas affected by the transposition of the EU Directive are:
Imposition of new rules for parallel jobs
Probationary periods
Rules for the training of employees
New obligations on employers regarding employee responsibilities
Parallel Employment
Another important change in the legal framework is that employers may not prohibit employees from working for another employer outside their working hours. In this regard, employers cannot alter their relationship with employees if they become aware that the employee holds another job outside of working hours.
Provisions that exclude parallel employment are only permitted on certain objective grounds, such as health and safety, protection of business confidentiality, integrity of public service, or the avoidance of conflicts of interest.
Maximum Duration of Probationary Period
Before the transposition of the EU Directive, the legal framework allowed probationary periods of up to 104 weeks (i.e. 2 years), subject to a written agreement between the employer and employee at the start of the employment relationship.
Under the Working Conditions Law, the probationary period cannot exceed six (6) months, regardless of any provisions that were in place before the Law's commencement. This maximum period does not apply to individuals holding director or managerial positions. If the employment agreement is for a fixed term, the probationary period must be proportionate.
Mandatory Training of Employees
The Working Conditions Law also requires employers to provide employees with training related to their assigned tasks, as required by relevant laws or collective agreements. Training must be provided free of charge and the time spent on mandatory training must be counted as working hours and, where possible, conducted during working hours.
Minimum Predictability of Work
Employees should be informed in writing about all working conditions, with specific reference to the following key aspects:
Probationary period
Basic rate of pay
Notice period required
Paid hours of work
Training entitlement
Payment for overtime
Protection Against Adverse Treatment and Dismissal
The Working Conditions Law prohibits employers from discriminating against employees who file complaints under the provisions of the new Law. The Law also prevents employers from dismissing or taking any adverse action against employees who exercise their rights under the Law.
In such cases, employees have the right to request a written notice of dismissal, which must fully justify and explain the reasons for dismissal. The burden of proof in lawsuits alleging unfair treatment or dismissal lies with the employer.
Conclusion
The adoption of the Working Conditions Law in Cyprus introduces several new obligations for employers. Both employers and employees are encouraged to familiarise themselves with the changes introduced by the Law to fully understand their rights and obligations. Employers who are found to violate the relevant Law may be liable to fines of up to €5,500.
If you require further information, please contact us at info@pelaghiaslaw.com.
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