The terms and conditions of the new First Flag programme, which starts on¹ January 2022, are set out in a Joint Decision of the Ministers Finance and Labour and Social Affairs, on the basis of the regulation of the Law. 4855/2021.

The program - implemented by the Ministry of Labor and Social Affairs - aims to facilitate the first integration of young people into the labor market. At the same time, however, the aim is to create new jobs in private sector companies. The grant provides incentives for young people to look for the interested company that will hire them to receive the grant. At the same time, employers will want to create new jobs as wage costs are reduced.

The program is open to young people aged 18-29 who have no previous employment experience in the private or public sector.

The main axes for the First Signal

Which jobs are subsidized and how

Each new employment position, of indefinite or fixed duration, created and included in this program, is subsidized for a period of six months as follows:

a) A new position with a full-time contract is subsidized with an amount of 1,200 euros, shared between the employee and the employer. In other words, the Ministry of Labour and Social Affairs pays 600 euros directly to the new recruit. The payment is made in six equal monthly installments, in addition to his salary and regardless of its amount. An amount of 600 euros is paid to the employer to cover part of the compensation expenses upon completion of the program.

b) The First Badge also applies to part-time jobs, as it is also aimed at students seeking to gain work experience while studying. The new position with a part-time contract - which cannot be less than 20 hours per week - is subsidised with EUR 600. The €300 is paid directly to the newly recruited young person in six equal monthly instalments. The remaining 300 are paid to the employer upon completion of the program.

c) If the employment contract is for a fixed term of less than six months, the new post is subsidised in proportion to the duration of the employment contract and according to the type of contract (part-time work is subsidised by half the amount). In any event, the duration of the fixed-term employment contract may not be less than one month.

Young people joining the First Signal:

• cannot be included in the "COOPERATION" programme
• Their employment contracts may not be suspended unless the activity of the undertakings in which they are recruited is suspended by order of a public authority.

Job retention clause

The jobs subsidised by the First Signpost are additional to existing jobs. The employer is obliged to maintain on average the same number of employees that it had on November 12, 2021 (date of publication of the legislative regulation on the program) for the period of subsidy of the new job, increased by the number of new subsidized jobs under this program.

The check on compliance with the obligation to maintain jobs shall be carried out from the ERGANI MA. The check is done through cross-checks with the data of the AADE, of OAED and e-EFKA. If it is concluded that the conditions are not met, the enterprises are deducted from the programme and the subsidies already paid are claimed as unduly paid. In case of deduction of the employer, the beneficiary employee is not deductible from the program.

It is not allowed to replace the job of a subsidized employee under the program with a new subsidized employee. However, the company can apply for the approval of a new subsidized job.

Combination with the open program of 150,000 new jobs

For each new job created and included in the First Emblem and the employment contract of the new recruit has a duration of at least six months, The company, if it so wishes, can join at the same time for the same employee in the open program of new subsidized jobs of article 28 of the law. 4726/2020 (A' 181), as in force, with the terms and conditions provided therein. This is the programme of 100 000 new jobs that was completed a few days ago. This programme "opens" again on 1/1/2022. The expansion foresees the addition of 50,000 new jobs, as previously announced.

In this case, in addition to the subsidy of the present, the enterprise is subsidized by the state budget for the total insurance contributions of the employee and employer. The subsidy is regardless of the amount of the monthly salary, for a period of six months. It should be stressed that the job retention clause applies.

Application procedure - Receiving a grant

The following procedure is followed for the inclusion of private sector companies in the First Flag:

a) The company wishing to make one or more new hires submits for each new separate electronic application on a special form entitled "Application - Solemn Declaration of a business - employer for inclusion in the open program PROTO ENSIMO of the Ministry of Labor and Social Affairs", to the ERGANI P.S., by which it states:

• the details of the business
• the details of the young person who wants to hire
• Bank name and bank account number
• whereas it will maintain on average the same number of employees for the period during which the new job is subsidised, plus the number of new subsidised employment contracts;

b) The data declared by the company and the conditions for inclusion in the program of the young person under recruitment are checked and cross-checked by the ERGANI P.S. In other words, it is checked that the potential beneficiary is aged 18-29, and that he has no previous service. Operators shall receive proof of approval or rejection of their application.

c) After the approval of the company's application for the inclusion of a potential beneficiary in the program, in order to complete the integration process, the business, on the same day or at the latest within the day following the approval of the application, proceeds to the conclusion of an employment contract and the recruitment of the beneficiary, by submitting the E3 form: SINGLE RECRUITMENT ANNOUNCEMENT FORM, where his/her participation in this programme is declared in a special field. An approved application for which recruitment has not been submitted within the prescribed period shall be deemed not to have been made.

First Signal and 150,000 new seats programme

If the company wishes to include one or more beneficiaries in the programme at the same time, First Emblem, and in the 150,000 new jobs programme, submit a separate online application for each new job on a special form entitled "Application - Solemn Declaration of a business - employer of parallel inclusion in the Open Program PROTO ENSIMO and in the Open Program of New Subsidized Jobs of article 28 of the law. 4726/2020 of the Ministry of Labor and Social Affairs", in the ERGANI CP, according to the JMD of that Program.

After the approval of the company's application for the inclusion of a potential beneficiary in both programs, in order to complete the process, the business on the same day or at the latest within the next day from the approval of the applications,proceeds to the conclusion of an employment contract and the recruitment of the beneficiary, by submitting the form E3: SINGLE RECRUITMENT ANNOUNCEMENT FORM, where it is declared in a special field its participation in the two programs.

In any case, the company is obliged to notify the beneficiary immediately of its inclusion in the programme, First Sign, or its parallel inclusion in both programmes.

Application by beneficiaries for the First Mark

The new recruit, immediately after his recruitment, must submit an electronic application – solemn declaration of acceptance of participation in the program of the present in a special form of ANNEX I entitled "Beneficiary's Application - Declaration of Responsibility for the open programme, FIRST INSTANCE, of the Ministry of Labour and Social Affairs' in the ERGANI CP, with which it states in addition to his/her personal information and the protocol number of its inclusion in the program (which are automatically drawn from the ERGANI CP) and bank and bank account number (ΙΒΑΝ). In the case of its parallel inclusion in both programmes, the same application is submitted.

Finally, it should be noted that the number of new jobs created under the First Sign covers part of the number of new subsidised jobs envisaged by the extension of the open programme of 100,000 new subsidised jobs by 50,000 jobs. The program is valid until the subsidized jobs are exhausted.