The Labor law in Cyprus: an overview Current rate of unemployment in Cyprus: % ( %) Current rate of unemployment for young people: % ( %) Current rate of unemployment for the ‘over 55 ’: % (2011 ….%)

The Labor law in Cyprus: an overview  The minimum gross wage in Cyprus is currently at €924.  In the Banking sector it is currently at: - €1, for high school leavers and - €1, for high school leavers and - €1, for University graduates - €1, for University graduates

The Labor law in Cyprus: an overview Cyprus has ratified all the ILO Fundamental Human Labour Rights Conventions. Cyprus has ratified all the ILO Fundamental Human Labour Rights Conventions. Apart from the Fundamental Human Labour Rights Conventions Cyprus has also ratified a substantial number of other Labour Conventions Apart from the Fundamental Human Labour Rights Conventions Cyprus has also ratified a substantial number of other Labour Conventions

Cyprus Government scheme for employing young individuals The Cyprus Government is providing incentive schemes, co-financed with the European Social Fund. The Cyprus Government is providing incentive schemes, co-financed with the European Social Fund. The scheme covers 60% of the yearly wage cost The scheme covers 60% of the yearly wage cost Maximum amount of €7.200 per person per semester. Maximum amount of €7.200 per person per semester. The subsidy is granted only for the first 6 months of employment The subsidy is granted only for the first 6 months of employment

Cyprus Government scheme for employing young individuals  The total budget of the scheme amounts to €8 million  Covers the period up to 30 June  From 2009 the Ministry of Labour and Social Insurance introduced three schemes resulting in 3,500 individuals getting employed.  Additional schemes of the Human Resources Development Authority helped to employ another 5,000 individuals in various sectors of the economy.

Cyprus Pension Scheme Retirement age is currently at 65 Retirement age is currently at 65 A minimum of 10 years of full Social Insurance contributions is required A minimum of 10 years of full Social Insurance contributions is required Early retirement pensions can be enjoyed without reduction in benefits by the age of 63 under certain conditions Early retirement pensions can be enjoyed without reduction in benefits by the age of 63 under certain conditions

Pension Benefits (i) A basic pension and A basic pension and A supplementary pension based on the level of gross insurable earnings A supplementary pension based on the level of gross insurable earnings The total annual insurable earning of every insured person is divided into two bands: The total annual insurable earning of every insured person is divided into two bands: A lower band (€ per week for 2012) and A lower band (€ per week for 2012) and an upper band ((€1,025 - €170.88) per week or €4,442 per month for 2012 (six times the threshold of the lower band). an upper band ((€1,025 - €170.88) per week or €4,442 per month for 2012 (six times the threshold of the lower band).

Pension Benefits (ii) Insured persons are credited each year with “social insurance units” Insured persons are credited each year with “social insurance units” To qualify for the benefit, an individual must have paid contributions for at least 15 years of which 10 years must be funded (10 basic band units). To qualify for the benefit, an individual must have paid contributions for at least 15 years of which 10 years must be funded (10 basic band units).

Pension Benefits (iii) The minimum monthly pension for 2012 with no dependants is € The minimum monthly pension for 2012 with no dependants is € The maximum monthly pension for 2012 is approximately €1,600 depending on the upper band contributions The maximum monthly pension for 2012 is approximately €1,600 depending on the upper band contributions