Kostas Karagkounis, in an interview on Thursday (August 13), outlined the framework of the Ministry of Labor’s key interventions, covering fast-track hiring through the myErgani platform, new social security contribution reductions set to take effect on January 1, 2027, the fight against undeclared work, the digital work card rollout in the tourism sector, and a DYPA employment program targeting 1,000 unemployed graduates. The Deputy Minister of Labor also highlighted that unemployment dropped to 8% in June, according to official data from the Hellenic Statistical Authority (ELSTAT).
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Focus on reducing non-wage labor costs
Speaking in an interview with ERT, the Deputy Minister of Labor stressed that a further reduction of 0.5 percentage points in social security contributions is planned for January 1, 2027. He placed particular emphasis on cutting non-wage labor costs, underscoring that continued reductions in social security contributions are a key factor in both boosting wages and bringing down unemployment. He noted that over recent years, social security contributions have been reduced by a total of 5.9 percentage points, and announced that this issue will be among the interventions presented ahead of the Thessaloniki International Fair (TIF).
Preparations underway ahead of the Thessaloniki International Fair
Karagkounis also touched on support measures for pensioners and the broader government action plan targeting the middle class, self-employed professionals, and small and medium-sized enterprises (SMEs). He noted that preparations ahead of the Thessaloniki International Fair are well underway, with teams of ministers and MPs touring Macedonia to record the needs of each region.
Fast-track hiring via myErgani to meet immediate workforce needs
Karagkounis made special reference to the new fast-track employee hiring feature available through the myErgani app, explaining that it is designed to help businesses quickly cover emergency staffing needs while significantly cutting red tape. According to him, the process allows a hiring procedure to be completed even for two-day work arrangements through an entirely digital workflow. The employee accepts the terms of employment directly from their mobile device, and the process is completed instantly. This feature is particularly useful in sectors with high and unpredictable staffing demands — such as tourism, hospitality, cultural events, and concerts — where workers may need to be hired for very short periods. Karagkounis emphasized that the new process significantly reduces bureaucracy for businesses, replacing a series of declarations that previously had to be submitted separately to the information system.
82,223 inspections carried out in 2025 to combat undeclared work
When asked about compliance with working hours and overtime pay in the tourism sector, Karagkounis stressed that inspections carried out by the Independent Labor Inspectorate cover the entire economy — not just tourism.
He explained that inspections are conducted on the basis of specific risk criteria and parameters, enabling authorities to identify businesses where there are indicators of increased non-compliance — such as companies with a high volume of hirings and dismissals. He noted that “numerous specialized inspections” are also carried out in the tourism sector, with the goal of tackling undeclared and under-declared work and protecting workers’ rights.
According to the figures he presented, approximately 82,223 inspections were conducted in 2025, with fines totaling around €53 million imposed. To illustrate the increase in inspection activity, the Deputy Minister noted that in 2019, approximately 54,000 inspections were carried out. The trend is even more pronounced in 2026, he said, as 48,823 inspections were completed in the first half of the year alone — leading to projections that last year’s total will be significantly surpassed.
The Deputy Minister of Labor described the enforcement of labor law and the protection of workers’ rights as a top ministerial priority, alongside ensuring fair competition among businesses. He noted that non-compliance in the labor market harms not only workers but also law-abiding businesses. “The most serious form of unfair competition may be taking place in the labor market,” he said, explaining that a business that fails to declare its employees gains an unfair advantage over compliant employers.
The digital work card and tourism
Karagkounis also referenced the use of the digital work card during inspections, noting that digital data allows inspecting authorities to identify cases where, for example, an employee appears to be off-duty while actually working. The aim of targeted inspections, he stressed, is to ensure that working hours are respected and that rules governing overtime and overwork are properly applied.
DYPA’s program for 1,000 unemployed graduates
Wrapping up, the Deputy Minister of Labor referred to the Public Employment Service (DYPA) program targeting 1,000 unemployed graduates between the ages of 25 and 54, pointing out that the application deadline is Tuesday, August 18, at 23:59.
The program covers 1,000 positions for unemployed individuals holding university or technological education degrees. Participants in the university education category will receive a stipend of €1,250, while those in the technological education category will receive €1,200. Eligibility is open to unemployed individuals aged 25 to 54 who are registered in DYPA’s Digital Unemployment Registry and hold a Digital Individual Action Plan. The Deputy Minister called on all eligible individuals who have not yet applied to do so before the deadline.
