April 20, 2024 5 min read
Employment program for 3,400 unemployed former workers in businesses in the Regions of Western Macedonia and Peloponnese affected by the effects of de-lignitization

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The purpose of the action is to prevent the consequences of unemployment due to de-lignification in the Regions of Western Macedonia and Peloponnese and to ensure social cohesion. The aim of the action is to create 3,400 new full-time jobs through the recruitment of unemployed persons (Employment Programme) , registered in the unemployment register of the OAED.

The 3,400 positions of the action are distributed, per Region, as follows:

  1. 600 places for the Region of Western Macedonia and
  2. 800 places for the Municipalities of Megalopolis, Tripoli, Gortynia, Sparta, Oichalia and Kalamata in the Peloponnese Region.

The action is implemented in cycles as follows:

a) The first cycle concerns the creation of 3,400 full-time jobs. b) The next cycles concern the creation of the remaining jobs until the total budget of the action is exhausted.

c) Each subsequent cycle is announced after 4 months from the deadline for submission of funding applications of the previous cycle

Budget for the Employment Program

The PES is designated as the body responsible for the implementation, management, monitoring, evaluation and control of the program.

For the implementation of the program, an expenditure of up to forty-eight million euros (€48,000,000) is incurred. This will be charged to the budget of the Labor Force Employment Organization (PES) (KAE 2493), it will be covered by the financing of the Public Investment Program (PDE) according to the no. 63701/8-6-2021 Decision of the Deputy Minister of Development and Investments and is distributed annually as follows:

For the year 2021: 500,000.00 euros

For the year 2022: 19,000,000.00 euros

For the year 2023: 28,500,000.00 euros

Dates

The duration of the program is 12-18 months. The percentage of salary subsidy and insurance contributions varies between 75-100%. The monthly grant amount varies between 700 - 933 euros, depending on the category of the unemployed person and the branch of the company he worked for.

As of Friday, November 19, online applications for the new labor subsidy program have begun for the recruitment of 3,400 unemployed, former workers in businesses in the Western Macedonia and Peloponnese Regions affected by the effects of de-lignification in full-time positions. with a closing date of Monday, December 20, 2021 at 3:00 p.m.

Beneficiaries

The action is addressed to private companies and generally private sector employers who carry out regular economic activity and are active in the Region of Western Macedonia and in the Municipalities of Megalopolis, Tripoli, Gortynia, Oichalia, Kalamata and Sparta in the Region of Peloponnese.

A necessary condition for the inclusion of a business in the action is not to have reduced its staff during the last quarter before the date of submission of the funding application (calendar). As long as the number of staff on the start date of the audited quarter is the same as on the date of submission of the application - regardless of whether there are changes in staff during this period - it is possible to include the company in the action. The above condition of non-reduction of personnel should also be observed for the period from the date of submission of the application to the date of issuance of the approval decision of the company in the action.

Staff reduction

Staff reduction is considered to be:

a. the termination of the employment contract,

b. the change of employment status from full-time to part-time or rotating employment,

c. the voluntary exit that is done at the initiative of the employer, through programs to provide mainly financial incentives for voluntary exit,

d. the voluntary withdrawal which is considered as termination of contract, in accordance with article 38 of Law 4488/2017 (Α΄137),

e. the employee's position on availability, f. the exercise of the right of withholding from the work of Chapter 325 of the Civil Code. In these cases, the business in order to join the action must cover the reduction by the date of submission of the funding application. If the company has made a reduction in staff during the period of time following the date of submission of the funding application, it may join the action as long as it covers the reduction by the date of the evaluation of the proposal.

In the event that, during the evaluation of the proposal, the evaluator finds that there is a reduction in the existing staff, he will take the following actions:

a. Check in the ERGANI Information System, in order to establish whether the company has undertaken 10 recruitment of staff for the obligation to cover the staff reduction.

b. Informing the beneficiary in the event that he finds that there is no recruitment at PS ERGANI and the presentation of corresponding supporting documents, setting a relevant deadline.

It is not considered a staff reduction when any of the following actions take place

a. Termination of employment contract due to retirement.

b. The termination of an employment contract of indefinite or fixed duration (before its expiry) due to an important reason concerning the employee (lawsuit for a criminal act that affects or may affect his work).

c. The expiration of a fixed-term contract.

d. Voluntary withdrawal.

e. Imprisonment and death.

f. The inability to renew the residence permit and access to the labor market of foreign workers.

For all of the above, businesses must provide the necessary supporting documents when requested by the evaluators or the Head of KPA2 during the evaluation.

Eligible Expenses in the Employment Program

The action includes subsidizing businesses to hire unemployed people registered in the PES register for a period of at least one month when they are indicated to the businesses.

Businesses are subsidized for each person subject to the action from the date of their employment and for a period of twelve (12) months, fifteen (15) months and eighteen (18) months depending on the category of unemployed person hired, as described in par. 5.2 of this article.

The action will be implemented by applying a unit cost scale, according to the no. 15738/05-02- 2021 document of EYTHY entitled "Revision of the Unit Cost Scale Documentation Report of the action "Business grant programs for the employment of the unemployed / NTHE (New Jobs)"", based on which the unit cost per full-time job of employment (25 14 insurance days) amounts to 933 euros per month and 11,196 euros on a 12-month basis.

The eligible expenses are given in the form of a grant and concern the salary and non-salary costs of the beneficiary for 12 months of full-time employment, including monthly gross earnings, employer insurance contributions as well as Christmas and Easter holiday allowances and leave allowance.

The grant for the compensation of costs of the action amounts to an amount corresponding to a percentage of 75% to 100% of the above unit cost scale.

Grant per job/beneficiary in the Employment Scheme

a. For the unemployed who were employed in the energy sector (PPC), former temporary staff of PPC or former employees of PPC contractors, as well as in the field of transport and earthworks related to lignite mining, the aid amounts to an amount corresponding to 100 % of unit cost,

b. For the unemployed who were employed in businesses active in the wholesale and retail trade, catering and tourism sectors as well as in other businesses, the aid amounts to an amount corresponding to 75% of the unit cost. If the unemployed of said b category are:

i) aged 30-49, the aid amounts to an amount corresponding to 80% of the unit cost.

ii) aged 50 and over, the aid amounts to an amount corresponding to 90% of the unit cost

iii) long-term unemployed, the aid amounts to an amount corresponding to 90% of the unit cost

iv) long-term unemployed aged 50 and over, the aid amounts to an amount corresponding to 100% of the unit cost

v) women, the aid amounts to an amount corresponding to 100% of the unit cost.

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