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hire in Cyprus

Cyprus EOR & PEO

SALARY PAYMENT IN Euro (EUR)

CONTRACT LANGUAGE Greek / English

PAYROLL TAX  22.90%

PAYROLL CYCLE Monthly

TIME TO HIRE 24 hours

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with Horizons in
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SIMPLE, COMPLIANT HIRING WITH HORIZONS EOR

Hire in Cyprus

Horizons ensures day-to-day guidance to help your business navigate Cyprus labor laws and regulations. Horizons also ensures payroll is processed weekly or fortnightly (the standard periods in Cyprus ), and that taxes are withheld as required. As the Cyprus Employer of Record, Horizons is responsible for employee income tax withholding, payment of payroll taxes to state authorities, and submission of tax returns to the Cyprus Tax Office.  Partnering with our Cyprus EOR is the quickest and most cost-effective way to enter the Cyprus market.

Note, a Cyprus Employer of Record is also known as a Cyprus Professional Employer Organization (PEO).

Facts & Stats

EOR Platform

Hire in Cyprus, and pay employees through our platform or app.

EOR Cost

Our Cyprus EOR solution is the most affordable on the market.

Time-to-hire

Fast onboarding in Cyprus, hire in as little as 24 hours.

Contracts

We draft labor contracts compliant with Cyprus labor law.

Local Benefits

We administer all mandatory benefits and contributions in Cyprus.

180+ Countries

It doesn’t stop with Cyprus — we are an international EOR

stay compliant with Cyprus labor laws

Employment Laws

Cyprus employment contracts

Technically, employment contracts can be oral or written in Cyprus. However, we recommend that you always provide a formal written contract for every employee you hire in the country. The contracts should cover important details such as compensation, working hours, benefits, and entitlement. Additionally, they should be written in either Turkish or Greek and use the currency of the euro.

Fixed-term
Probationary period6 months – 2 years (max.)
Termination notice period

1 week notice: 26 – 51 weeks’ employment

2 weeks notice: 52 – 103 weeks’ employment

3 weeks notice: 104 – 155 weeks’ employment

4 weeks notice: 156 – 207 weeks’ employment

5 weeks notice: 156 – 207 weeks’ employment

6 weeks notice: 208 – 259 weeks’ employment

7 weeks notice: 260 – 311 weeks’ employment

8 weeks notice: 312+ weeks’ employment

Severance

2 weeks’ salary per year of service for first 4 years of service

2.5 weeks’ salary per year for years 5 – 10

3 weeks’ salary per year for years 11 – 15

3.5 weeks’ salary per year for years 16 – 20

4 weeks’ salary per year for years 20+

Indefinite
Probationary period6 months – 2 years (max.)
Termination notice period

1 week notice: 26 – 51 weeks’ employment

2 weeks notice: 52 – 103 weeks’ employment

3 weeks notice: 104 – 155 weeks’ employment

4 weeks notice: 156 – 207 weeks’ employment

5 weeks notice: 156 – 207 weeks’ employment

6 weeks notice: 208 – 259 weeks’ employment

7 weeks notice: 260 – 311 weeks’ employment

8 weeks notice: 312+ weeks’ employment

Severance

2 weeks’ salary per year of service for first 4 years of service

2.5 weeks’ salary per year for years 5 – 10

3 weeks’ salary per year for years 11 – 15

3.5 weeks’ salary per year for years 16 – 20

4 weeks’ salary per year for years 20+

Working hours in Cyprus

As with much of Europe, the standard working week for employees in Cyrpus is 40 hours spread across five days. Including overtime, the maximum number of working hours is 48 hours per week.

Hire compliantly in Cyprus without a local entity.

Quick, compliant hiring in 24 hours—no subsidiary required.

National holidays in Cyprus

There are 14 national holidays celebrated in Cyprus, with many employees receiving the following days as paid leave from work:

Cyprus has a range of national public holidays that are celebrated annually. In 2024 these holidays are:

DateHoliday name
1 Jan MondayNew Year’s Day
6 Jan SaturdayEpiphany
18 Mar MondayGreen Monday
25 Mar MondayGreek Independence Day
1 Apr MondayCyprus National Holiday
1 May Monday Labour Day/May Day
3 May FridayGood Friday (Orthodox)
6 May MondayEaster Monday (Orthodox)
24 Jun MondayOrthodox Pentecost Monday
15 Aug ThursdayAssumption of the Virgin Mary
1 Oct TuesdayCyprus Independence Day
28 Oct MondayOchi Day
25 Dec WednesdayChristmas Day
26 Dec ThursdayBoxing Day

Vacation in Cyprus

Employees in Cyprus are entitled to at least 20 days of paid vacation leave per year after working with an employer for at least 48 weeks out of a year. For employees who work six days per week, the entitlement is 24 days of vacation leave.

Cyprus's healthcare system

Sick leave in Cyprus

Employees in Cyprus are not paid for the first three days of absence through sickness, although it is fairly common for employers to cover this period voluntarily. Up to 156 days beyond this are covered by social insurance, and this can extend to a further 156 days if the employee is deemed suitable for special incapacity pension payments.

Maternity and paternity leave in Cyprus

Employees in Cyprus are entitled to 18 weeks of paid maternity leave, which must begin two weeks before the birth. Payments are covered by a maternity grant.

Either parent can take a further 18 weeks of unpaid parental leave if they wish.

Employee severance and terminations in Cyprus

The mandatory minimum notice periods of termination depend on the employee’s length of service with their employer. For between six and 12 months of service, the notice period is one week. This entitlement gradually rises up to eight weeks of notice after six years of service.

Severance payments also vary depending on the employee’s length of service. For up to four years of service, the payment is two weeks of pay. This increases up to four weeks of pay for employees with over 20 years of service.

Standard probation periods are limited to six months, but may be as long as two years if agreed upon by the employer and employee.

Tax laws in Cyprus

Employers and employees must make various mandatory contributions. Both must pay 7.8% to social insurance. Additionally, employers must pay 0.5% to the Industrial Training Fund 2% to the Social Cohesion Fund, 1.2% to the Redundancy Fund.

Income tax in Cyprus is progressive, ranging from 0% to 35% depending on income level.

Corporate tax in Cyprus is 12.5%.

Health insurance in Cyprus

Cyrpus has a combination of public and private healthcare, so many employers choose to offer private medical insurance to employees as part of their benefits packages.

hassle-free Cyprus compensation & benefits

Compensation & Benefits

Compensation laws in Cyprus

The regulations for minimum wage in Cyprus are complex, with different minimums for different types of work and no regulations for some. The starting wage is 885 – 940 EUR per month for certain occupation. For this reason, you should carefully determine what specific rules apply to your organization and its employees when hiring in Cyprus.

Benefit management in Cyprus

Setting up a system of employee benefits for your employees in Cyprus can be difficult. The complex regulations and organization can require a lot of time, effort, and investment on the part of employers.

At Horizons, we specialize in establishing and running Cypriot employee benefits systems. We’ll handle everything, using our experience to ensure you are ready to commence operations in Cyprus quickly and efficiently.

Hire in Cyprus in 24h
without your own local entity.

With Horizons, you get quick service, transparent pricing, and expert support.

FAQs

Generally speaking, the terms “Cyprus PEO” and “Cyprus EOR” are used interchangeably.

An EOR in Cyprus can feasibly hire both local and foreign nationals to work in Cyprus.

However, the ability of Horizons to sponsor your foreign national employee in Cyprus may be limited due to visa quotas practiced in many countries.

Contact us with your requirements and our Global Mobility team with review the case and get back to you within 2 business days.

In most cases, Horizons’ Cyprus EOR can hire & onboard your employee within 24 hours. The actual start date of the employee will depend on their notice period obligation to their previous employer as well as any relevant hiring rules in Cyprus.

It is possible to get a work visa in Cyprus. Horizons’ Global Mobility team is a dedicated team of work visa experts. They assess the details of each case to determine feasibility and costs before Horizons applies for the work visa on behalf of your employee. If the Global Mobility team determines that your case is feasible, the process is smooth and transparent. Visa spots in Cyprus are limited, however—get started today to secure your employees’ visa spot.

Get started with Horizons