Glossary · Αποζημίωση απόλυσης
Severance pay
At a glance
Severance pay is the salaries an employer pays when it dismisses an employee on an open-ended contract. It runs from 2 salaries after 1 year to 12 salaries after 16 years. With written notice, the employer pays half.
The salary behind severance pay is your regular salary, plus 1/6 for the bonuses and the holiday allowance. In the first 12 months of a job, no severance pay is due.
Tax
Severance pay carries no social security contributions. It is taxed separately, and the first €60,000 is tax-free.
Legal basis: Presidential Decree 62/2025, articles 331 to 338 (Π.Δ. 62/2025, άρθρα 331 έως 338).