A technical team will commence its work on Friday following the April agreement on workers from third countries.
The team’s objective is to establish minimum acceptable standards for the accommodation provided by employers to their third-country national employees.
Enhancing the framework for the living conditions of foreign workers by developing appropriate standards was one of three key points agreed upon by social partners and the Minister of Labour, Yiannis Panayiotou, on April 22.
On Friday, the team is expected to discuss potential standards already prepared by the Department of Labour Relations, which will chair the meeting. They will also address the enforcement of any agreed-upon standards.
As reported, the dialogue on accommodation standards will concern work permits issued by the Ministry of Labour for foreign workers in sectors such as agriculture and livestock farming, but will not cover domestic workers, as these approvals fall under the purview of the Ministry of Interior.
During Friday’s meeting, the issue of increasing the salary deduction for foreign workers provided with accommodation may be raised again. This topic has been a significant concern for employers, and they presented their request during the recent meeting at the Presidential Palace between the President of the Republic and government officials, including members of the business community, last Thursday.
However, with the absence of the Minister of Labour and high-ranking representatives from both employer organisations and trade unions, it is considered unlikely that a decision will be reached regarding salary deduction percentages.
Nevertheless, it is certain that reaching an agreement on accommodation standards will open the discussion on increasing salary deductions, as employers have persistently made this request due to rising rental costs and overall housing expenses in recent years.
Currently, the deduction from the salaries of foreign workers who are provided with accommodation stands at 10%, a rate that has remained unchanged since 1991. Employers have requested that this deduction be increased to 25%.
As mentioned, the latest foreign employment strategy, revised on the eve of the previous presidential elections, maintained a 10% salary deduction cap for accommodation provisions.
Additionally, if an employer offers both accommodation and free meals (at least three daily meals of acceptable quality and quantity), they are entitled to deduct up to an additional 15% from the employee’s salary.
Consequently, the total deduction for providing both accommodation and meals can reach 25%. If the employers’ request to increase the accommodation deduction to 25% is granted, the total deduction could potentially reach 40%.
In such a scenario, amendments to the text of the strategy would be necessary, as these percentages are explicitly mentioned within the document.
