The Ministry of Labour is promoting the census of all private sector employees, along with their employment terms, aiming to create a comprehensive real-time picture of the labor market.
The government’s goal is to formulate better labor regulations based on the data it will have at its disposal. Minister of Labour Yiannis Panayiotou has repeatedly emphasized the importance of this issue, including in a recent interview.
The upcoming census, scheduled to begin in the first half of the year, will be conducted through the “Ergani” information system provided by Greece, which has already been utilized.
Since late 2021, this system electronically and mandatorily records all new employee hires based on legislation, although it does not capture other details despite the technical capabilities of both the “Ergani” and “Ergani II” systems, also provided by the Hellenic Republic to Cyprus.
The electronic census’ objective is for the Ministry of Labour to have real-time data through “Ergani” on all employees, including their nationality, employment terms, working hours, sectors of employment, whether they are covered by collective agreements.
The new database will not only facilitate market monitoring and the development of new policies, such as expanding coverage of collective agreements, but also enhance oversight of existing policies like the employment strategy for foreigners.
According to our information, social partners were informed of the government’s intention in a previous session of the Labour Advisory Body held in December.
Minister Panayiotou publicly discussed the matter after a recent meeting with the leadership of the Cyprus Employers and Industrialists Federation (OEB) and the Cyprus Chamber of Commerce and Industry (KEVE).
Currently, the Ministry of Labour gathers information on the labor market situation primarily from the Social Insurance Services, which collects contributions for the social insurance system.
However, these data are not always in real time, creating the need for the changes being proposed.
The new system aims to provide real-time data not only on the number of employees and their earnings but also on other essential employment terms that employers are obligated to inform employees about, based on the recently passed Law on Transparent and Predictable Employment Terms.
The goal is to fully utilize the capabilities of the “Ergani” information system, allowing the government to have a complete picture of the labor market.
The creation of a new database through the proposed census is expected to address the current limitations, as current data often inaccurately categorizes workers, whether they are community members or from third countries, who have acquired Cypriot citizenship.
To implement the census of all employees by the first half of 2024, the Ministry of Labour has already begun preparations and is in communication and collaboration with the Greek company that developed the “Ergani” and “Ergani II” systems.
Simultaneously, procedures for the procedural aspects of the upcoming census are underway at the Ministry, exploring various scenarios for its institutional development and whether any legislative regulations will be necessary, which is currently the prevailing scenario.