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Employer of Record (EOR) in Cyprus

What you'll learn

  • Country Introduction
  • Employment Terms
  • Minimum Wage and Working Hours
  • Statutory Leave Laws
  • Termination Process
  • Additional Information
Cyprus Introduction

Cyprus is a small island country in the eastern Mediterranean Sea. It is a major tourist destination in the Mediterranean, and hosts an advanced, high-income economy. Cyprus has free public education and a low rate of income inequality, which makes it an attractive market for skilled talent and global corporations.

Employment Terms

Minimum wage in Cyprus varies by industries and worker classifications, but is an average of €940 per month. In the absence of a specified minimum wage, employers and employees tend to negotiate independently.

The general workweek in Cyprus is between 38 and 40 hours, with a maximum of 48 hours including overtime. Overtime pay is calculated by collective bargaining agreements or stipulated in the employment contract.

Types of Leave

Parental Leave

Pregnant employees can receive to 18 weeks of paid leave after giving birth, (which goes up to 22 weeks for twins and 26 weeks for triplets or more). The maternity benefit is paid by the government at around 72% of the employee’s normal salary. Fathers can take 2 weeks of paternity leave. Both parents can also take up to 7 weeks of leave each year to care for children below 8 years old.

Sick Leave

Employees in Cyprus are entitled to sick leave. The first 3 days of leave are unpaid (although some employers choose to pay those 3 days), then starting the 4th day employees can receive benefits from the Social Insurance Fund for up to 156 days.

Paid Leave

Employees in Cyprus have 13 public holidays off work, and also receive 20 days of paid time off each year (after working 48 weeks at the same employer). While employees who work 5 days a week receive 20 days off a year, those who work 6-day weeks receive 24 days off each year.

Termination Process


Employers can terminate a contract if just cause is established — such as negligence, misconduct, fraud, or other work-related offenses. A written explanation and notice is required, and if the termination reason is misconduct, a warning needs to be given so the employee has a chance to explain their actions.

Notice Period

Notice periods for termination in Cyprus depend on how long an employee has worked at their company:

  • 26 – 51 weeks = 1 weeks notice
  • 52 - 103 weeks = 2 weeks notice
  • 104 - 155 weeks = 4 weeks notice
  • 156 - 207 weeks = 5 weeks notice
  • 208 - 259 weeks = 6 weeks notice
  • 260 - 311 weeks = 7 weeks notice
  • 312+ weeks = 8 weeks notice

Severance Pay

Severance payments are also calculated based on how long the employee has worked at the company:

  • 0-4 years = 2 weeks of pay
  • 5-10 years = 2.5 weeks of pay
  • 11-15 years = 3 weeks of pay
  • 16-20 years = 3.5 weeks of pay
  • 20+ years = 4 weeks of pay

Additional Information

While it is not mandatory in Cyprus, most employers offer their employees a 13th month salary in December.

Greek, Turkish
Euro (EUR)
Capital City:
1.2 Million
Cost of Living Rank:
VAT (Valued Added Tax):
Employer TaxES

★  8.3% - Social Insurance

★  2% - Social Cohesion

★  1.2% - Redundancy

★  0.5% - Training and Development

★  2.9% - National Health System (NHS)

★  8% - Holiday Fund

Get Started in 3 Steps


Remote candidate

You've sourced a full-time employee or contractor located in a country where your company is not incorporated.


Cost Calculation

Pass us the details of your candidate and we will let you know exactly what it costs to employ your candidate in that country.


Onboarding & Admin

Sit back and relax as we onboard your new team member and take care of all the local compliances and admin work.

Same-day onboarding
Best Pricing
Available in 180+ countries
How Remofirst employs in Cyprus

It can be prohibitively expensive to establish an entity in every country you want to hire talent in, so Remofirst will hire and pay your employee on your behalf while you manage their daily duties. Remofirst will handle formal HR procedures and employment contracts that adhere to local laws, so that you can simply approve invoices via our platform. When you work with an Employer of Record (EOR) you can compliantly hire the best employees around the world.

How employees in Cyprus get paid
Your employee's hours, time off, holidays, bonuses, and commissions are automatically calculated into payroll. Remofirst will invoice you in either US Dollars (USD), Euros (EUR), British Pounds (GBP), Canadian Dollars (CAD), Australian Dollars (AUD), or Singapore Dollars (SGD) around the 15th of each month to make sure your employees in Cyprus are paid on time in Euro (EUR). To make it even easier, you can summarize your entire global team's salaries to aggregate them into one payment (instead of many individual payments).
Full-time Employees vs Global Contractors

Unlike full-time employees, contractors work on projects with multiple companies at a given time and are technically self-employed. Full-time employees are solely focused on their employer and usually receive benefits (such as health insurance, equity or stock options, and time off) as an additional form of compensation. While it can be cheaper to work with international contractors instead of paying benefits to a full-time employee, you run the risk of misclassification. It's recommended to work with an EOR for contractor onboarding and payments, so you can know that your international contractors are paid compliantly and on time.

Dependable support for employees
Whenever the employee or employer has a question about benefits, Visas, or anything else related to international employment in Cyprus, they can speak with our customer support team to get answers from our team of experts.