Tourism industry: Zeta's decision for unemployment

The aim of the decision is to implement emergency measures resulting from the pandemic and the virus Covid 19

Unemployment, TOURISM

The Minister of Labor, Welfare and Social Insurance, exercising the powers provided to her by the Law on Temporary Suspensions of Businesses of the Tourism Industry of 2021, has issued the "Plan of Temporary Suspensions of the Tourism Industry for the Winter Season (2021-2022 From. 1) of 2021 ", which has been published today in the Official Gazette of the Republic.

The purpose of the above Decision is to implement emergency measures resulting from the pandemic and the virus Covid 19, regarding the treatment of seasonality and the effects of the pandemic, in the tourism industry, for a period from October 31, 2021 until March 31, 2022.

Based on the support of employees who have been out of work or full time and based on the previous Social Dialogue, for the period November 2021 - March 2022, unemployment benefits will be paid to employees of companies that will be suspended as follows:

  • Calculation of the unemployment benefit based on the insurable earnings of 2020, as provided in the relevant Legislation. If the insurance conditions for 2020 for acquiring a right are not met, then the allowance will be calculated based on the insurable earnings of 2019.
  • In cases where the insurance conditions are met for both the year 2020 and the year 2019, an unemployment benefit will be granted on the basis of higher salaries.

Based on the provisions of the Minister's Decision, the Plan of Temporary Suspensions includes:

  • companies based on the Memorandum of Understanding of the Social Partners for the Temporary Suspension of operations of Hotel Units,
  • some tourism-related businesses in the Ayia Napa - Paralimni area and leisure centers on the Paphos coastal front,
  • Cypriot tour operators, airport handling companies, coastal shipping companies, water sports companies and tour buses.

Employers who fall into the above categories must submit to the local District Offices of the Social Security Services the lists of their employees who will be on suspension, the period of suspension of work and anything else requested in accordance with the instructions of the Director of Services Social Security.

The full text of the Decision with all the conditions for implementation, is published in the Official Gazette of the Republic.