employment

Incentive plans for jobs for unemployed

by
Incentive plans for jobs for unemployed

The Cabinet approved two incentive plans for the employment and training of 1,265 unemployed people with a total budget of €11,694,000. The plans aim to employ and train 815 unemployed persons under 30 years of age and employ 450 unemployed persons using flexible forms of work through distance work. This initiative is part of the government’s policy to activate domestic human resources and achieve full employment conditions. The sectors covered by the scheme are unrestricted.

Paphos man arrested for illegal stay and employment, forgery

by
Paphos man arrested for illegal stay and employment, forgery

A 33-year-old man was arrested in Geroskipou, Cyprus, for illegal stay, working without a permit, and possession of a fake identity card. He was found working without an employment permit at a property, and his residence permit had expired since February. The man attempted to secure work using a fake Greek identity card, which he also used for social security registration, without the employer’s knowledge.

EURGBP gains ground following UK jobless, German CPI

by
EURGBP gains ground following UK jobless, German CPI

– Euro-Sterling was trading below the mid-0.8500s during early European trading on Tuesday.
– The EURGBP cross was trading around 0.8540, gaining 0.16% on the day.
– The UK ILO Unemployment Rate increased to 3.9% in the three months to February from 3.8%.
– The number of people claiming jobless benefits in the UK rose by 16,800 in February.
– The UK Employment Change was -21,000 in January.
– The German Consumer Price Index (CPI) for February was 0.4% MoM and 2.5% YoY.
– The German Harmonized Index of Consumer Prices (HICP) for February was 0.6% MoM and 2.7% YoY.
– Upcoming data releases include the UK monthly GDP, Industrial Production, Manufacturing Production, and Trade Balance for January.

After EU court ruling, Isotita calls for civil service changes

by
After EU court ruling, Isotita calls for civil service changes

A recent judgment by the EU’s Court of Justice (CJEU) could allow thousands of civil servants on fixed-term employment to become permanent workers, according to the Isotita union. The union has urged the government to make these employees permanent, following the CJEU’s judgment on February 22, which ruled that the indefinite extension of fixed-term employment contracts without a vacancy notice is an abuse that member states must prevent. The CJEU stated that simple compensation for unfair dismissal or awarding posts through competitions are not sufficient measures to prevent such abuses. The judgment implies that converting temporary contracts into permanent ones could be a necessary measure to address the issue. Isotita has reminded the government of the president’s pre-election promises regarding employment conditions and has called for immediate action to comply with EU law by making all affected workers permanent.

Real estate sector depends on outside factors

by
Real estate sector depends on outside factors

The Cyprus economy has shown strong resilience, recording one of the highest growth rates in the European Union, according to Dr. Giorgos Mountis, CEO of Delfi Partners. The Cypriot economy grew by 2.4% in 2023 and is estimated to grow by 2.8% in 2024 and 3% in 2025. Inflation decreased from 8.1% in 2022 to 3.9%, with further reductions expected to 2.4% in 2024 and 2.1% in 2025. Efforts to contain inflation involved decisions that temporarily affected citizens’ incomes, with interest rate increases placing significant pressure on household incomes. However, optimism exists that the European Central Bank’s decisions will start to change in 2024, potentially leading to a decrease in domestic interest rates. Unemployment is at very low levels, approaching full employment, though many sectors face personnel shortages. The government’s strategies to employ and attract foreign labor could lead to an increase in the country’s population and economic development. The real estate sector remained resilient in 2023, with sales contracts increasing by 16% compared to 2022, reaching the highest level since 2008, driven by increased demand from non-European buyers. Apartment prices in 2023 exceeded those of 2010 for the first time, according to the Central Bank of Cyprus, leading to an increase in properties purchased for rental investment.

IBM says use of Adobe AI tools in marketing boosted productivity

by
IBM says use of Adobe AI tools in marketing boosted productivity

International Business Machines (IBM) has reported productivity improvements from initial testing of generative artificial intelligence (AI) tools developed by Adobe. These tools, capable of generating images from text prompts, are being utilized by IBM for marketing campaigns. Adobe’s strategy involves creating AI systems trained on its proprietary data, offering legal protection against lawsuits to attract large businesses. IBM’s global chief design officer, Billy Seabrook, mentioned that the use of Adobe’s tools has reduced the time required for completing marketing campaign cycles from two weeks to two days, anticipating a tenfold increase in designer productivity. This enhancement allows designers to focus more on brainstorming and creating storyboards. While the immediate impact on design industry employment is expected to involve existing teams handling more work, the long-term effects on employment remain uncertain. Recent IBM survey data indicates a belief in the growing importance of designers in the era of generative AI, despite concerns about potential job reductions.

Cyprus citizenship applications in limbo

by
Cyprus citizenship applications in limbo

Cyprus has updated its citizenship requirements, mandating language tests for naturalization. Due to unresolved details about these tests, no new citizenship applications are currently being processed. The law, amended in December, requires applicants to demonstrate knowledge of the Greek language at either the B1 or A2 level, depending on their application status. Additionally, some applicants must show understanding of Cyprus’s political and social reality through a history and culture test. An ad-hoc committee evaluates these tests. Highly skilled foreign workers can obtain citizenship after residing in Cyprus for four to five years, with the requirement of passing a Greek language test at the B1 or A2 level, respectively; no history/culture test is required for them. Implementation delays have caused frustration among potential applicants. The European Blue Card scheme, aimed at attracting highly skilled workers to the EU, has also been approved by the cabinet.

Gender disparity remains in the workplace, says PwC study

by
Gender disparity remains in the workplace, says PwC study

– Global progress on achieving gender parity at work is slow, according to PwC’s Women in Work Index and Inclusion Matters studies published for International Women’s Day 2024.
– The 2024 Women in Work Index indicates it will take over 50 years to close the gender pay gap across 33 OECD countries.
– The Women in Work Index measures gender equality at work in the OECD using five indicators: the gender pay gap, female labor force participation rate, gap between male and female labor force participation rates, female unemployment rate, and female full-time employment rate.
– Over the past decade, the average Index score increased from 56.3 in 2011 to 68 in 2022, with a two-point improvement from 66 in 2021 to 68 in 2022.
– Between 2021 and 2022, improvements in the OECD were mainly due to an increase in the female labor force participation rate (from 70.8% to 72.1%) and a decrease in the female unemployment rate (from 6.4% to 5.3%).
– The average gender pay gap in the OECD widened from 13.2% to 13.5% between 2021 and 2022.
– The gender pay gap has narrowed by only three percentage points between 2011 and 2022 across the OECD.
– Luxembourg ranks first on the Index, particularly due to having the lowest gender pay gap in the OECD at -0.2%, indicating higher median pay for women than men.
– PwC’s Inclusion Matters research, part of the Global Hopes and Fears Survey 2023, found that only 39% of women feel fairly rewarded financially at work.
– The research shows a significant gender gap in asking for promotions and pay raises, but women with high Inclusion Index scores are more likely to ask for raises, promotions, and recommend their employer.
– Women’s turnover intentions increased, with one in four planning to change employers within the next 12 months, slightly below the rate for men at 27%.
– Higher inclusion scores correlate with less likelihood of changing employers and more active pursuit of development and new skills by women.

7 out of 10 single mums face survival issues in Cyprus, survey shows

by
7 out of 10 single mums face survival issues in Cyprus, survey shows

A survey conducted more than three years ago by the Ypatia Equality Foundation for the Justice Ministry in Cyprus, titled ‘The Financial Repercussions of Divorce’, revealed significant financial difficulties faced by single mothers in Cyprus. Key findings from the survey include:

– Approximately 70% of single parents, predominantly women, are struggling to manage additional bills, raise children, generate income, and service debt inherited from their former spouses.
– Over 50% of single parents live at or below the poverty line, facing social exclusion.
– One in three single parents lost their employment following divorce.
– Despite the survey’s findings being submitted to the United Nations, it has not been utilized by authorities to improve the situation.
– Only 60% of divorced women are employed full-time, with more than 30% of single parents being unemployed.
– Family and friends provide more support to divorced women than social protection services.
– One in two divorcees live under the poverty line, with an annual income of around 10,000 euros.
– Nearly 60% of divorced women encounter daily practical issues at work, negatively affecting their careers, with many forced to leave their jobs due to the inability to balance work and childcare.
– More than half of male divorcees face housing issues, losing the family home, while nearly 70% of single mothers struggle with house mortgage payments.
– Eight out of ten single mothers limit their social lives to essential activities related to their children.
– 50% of divorcees, both male and female, believe that courts should consider the reasons for debt accumulation during the division of debt between former spouses, highlighting the issue of single mothers inheriting significant loans.

Cyprus: weak tax administration and prolific tax evasion

by
Cyprus: weak tax administration and prolific tax evasion

– Tax evasion in Cyprus is defined as the deliberate non or underpayment of taxes and is illegal, while tax avoidance involves using legal methods to minimize tax owed.
– Weak and ineffective tax administration in Cyprus contributes to large-scale tax evasion.
– The Tax Department’s primary goal is to collect taxes and enforce payment in accordance with tax laws.
– Tax collections in Cyprus are below potential, with a significant shortfall attributed to widespread tax evasion.
– It is difficult to quantify tax evasion levels, but as of end-September 2023, taxes owed to the state amounted to €3.4 billion, with nearly €900 million deemed uncollectible.
– Self-employed persons in Cyprus paid on average €1,080 in personal income taxes in 2022, compared to employees who paid on average €1,920.
– Tax evasion and avoidance deprive the government of revenue, limit the scope for reducing tax rates, and hurt honest taxpayers.
– Cyprus’s reputation for weak law enforcement and corruption attracts corrupt politicians and criminals from abroad.
– The inefficiency of Cyprus’s tax administration contributes to tax evasion, with personal income tax returns taking about five years to process.
– The government has been promised €24.2 million from the EU’s Recovery and Resilience fund to improve tax administration efficiency.
– Increased digitalization and coordination between tax units could help curtail tax evasion and avoidance.
– Simplifying the tax registration and filing process could encourage greater tax compliance.
– Government policies that delay the submission of tax returns and payments foster tax evasion and avoidance.
– Enhanced digitalization of public services and harsh penalties for late tax payments are suggested to enforce timely tax payment and compliance.