Migration reforms to aid shortages in labor

07:54 25/1/2025 - Πηγή: iEfimerida

Greece is planning a comprehensive overhaul of its residence permit system for migrant workers to address an impending labor shortage.

According to government figures, the country will need 200,000 additional workers within five years to achieve a 2% economic growth rate.

While officials stress that boosting labor force participation among inactive groups and encouraging expatriates to return

are essential steps, migrants will play a key role in filling critical gaps.

By 2050, the Greek working-age population is projected to decline by 27%, while retirees will increase by 20%.

A central part of the government’s plan includes automating permit issuance to reduce human intervention and processing times.

Permit validity would be extended from three to five years, both for existing and new applications, aiming to cut the administrative burden.

Ministry officials note the urgent need to modernize the system, adding that the current backlog of 280,000 pending applications reflects systemic inefficiencies. “At this rate, unresolved cases are increasing by 20% annually,” they noted.

Employers will be required to prioritize domestic labor through Greece’s Public Employment Service (DYPA) before recruiting workers from abroad.

Inter-agency cooperation, involving ministries, police, and foreign consulates, will streamline migrant labor approvals while ensuring public safety standards.

Government sources highlighted shortcomings in bilateral agreements with Egypt and Bangladesh, which have underperformed.

Of 5,000 slots allocated to Egyptian workers, only 180 have been filled. Meanwhile, regarding Bangladesh, its relations with India impede access to consular services in New Delhi, complicating migration.

The decline in migrant workers compounds the urgency. The number of foreign laborers has dropped from 403,000 in 2014 to 179,000 in 2024 – a staggering 56% decrease.

Officials cited low wages, short-term permits, and bureaucratic obstacles as deterrents.

A government official noted that Greek policies, like requiring seasonal migrants to return home between jobs, deter potential applicants.

“In Italy, they issue five-year permits, even for seasonal workers.”

The government insists reforms must be operational within a year to address current inefficiencies and make Greece a competitive destination for labor migration, officials said.

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