Severance pay in Greece 2026: how it is calculated
When an employer ends a private-sector employee's open-ended contract, it owes severance pay. The amount depends on how many years you worked for the same employer and on your pay. Severance is owed after the first 12 months, which count as a probation period (Law 4808/2021). If the dismissal comes with timely written notice, severance is halved.
Severance pay table (Law 4093/2012)
| Years worked | Without notice (salaries) | Notice (months) | With notice (salaries) |
|---|---|---|---|
| under 1 | – | – | – |
| 1–2 | 2 | 1 | 1 |
| 2–4 | 2 | 2 | 1 |
| 4–5 | 3 | 2 | 1.5 |
| 5–6 | 3 | 3 | 1.5 |
| 6–8 | 4 | 3 | 2 |
| 8–10 | 5 | 3 | 2.5 |
| 10 | 6 | 4 | 3 |
| 11 | 7 | 4 | 3.5 |
| 12 | 8 | 4 | 4 |
| 13 | 9 | 4 | 4.5 |
| 14 | 10 | 4 | 5 |
| 15 | 11 | 4 | 5.5 |
| 16+ | 12 | 4 | 6 |
"Notice" is how far in advance the employer must inform you in writing. During that time you keep working and are paid as normal.
Which salary counts
Your last regular gross monthly pay, increased by 1/6 for the bonuses and the holiday allowance, i.e. salary × 14 / 12. If you had 17+ years with the same employer on 12/11/2012, you get one extra salary for each year above 16, up to 12 extra salaries, with the salary capped at €2,000.
Example
Gross salary €1,500, 8 years with the same employer:
- Base: €1,500 × 14 / 12 = €1,750.
- Dismissal without notice: 5 salaries × €1,750 = €8,750, tax-free.
- Dismissal with notice: written notice 3 months in advance, and 2.5 salaries × €1,750 = €4,375.
In every case the pro-rata bonuses, unused leave and the holiday allowance are also paid, taxed like salary.
Tax, resignation and deadlines
- Tax: severance carries no EFKA contributions and is taxed separately: 0% up to €60,000, 10% up to €100,000, 20% up to €150,000 and 30% above.
- Resignation: gives no severance. Leaving with the right to a full pension gives 40% of the severance (50% without an auxiliary pension).
- Deadlines: a dismissal can be challenged in court within 60 days (Law 4808/2021), and severance claims must be made within 6 months.
- Unemployment benefit (DYPA): after a dismissal, for 5 to 12 months depending on your insured days in the previous 14 months (125 days for 5 months up to 250 days for 12), with +10% for each dependant. Register with DYPA straight away.
Frequently asked questions
Is severance pay taxed in Greece?
Not up to €60,000. Above that it is taxed separately from salary at 10%, 20% or 30%. It carries no EFKA contributions.
How many salaries of severance for 10 years?
6 salaries if you are dismissed without notice, or 3 salaries with 4 months of written notice.
Do I get severance if I resign?
No. Severance is only owed when the employer dismisses you. Pro-rata bonuses and unused leave are always paid.
What applies in the first year?
The first 12 months are a probation period: the contract can be ended without severance.
Sources: Law 4093/2012 (severance scale), Law 4808/2021, Law 4172/2013 article 15 (tax), DYPA (unemployment benefit). Last checked against the official sources: October 2026. Estimates for information, not legal advice.