Information on rent reduction and allowance for suspended employees
Due to the economic consequences of the emergency measures against the COVID-19 pandemic, the state has taken special supportive measures for businesses and employees, such as the reduction of rents for September, October and November 2020 and the emergency allowance for suspended employees in November. Below you will find detailed information:
- Rent reduction:
1. Optional reduction of 30% – September and October 2020
For September and October, an optional 30% rent reduction is entitled to:
- Tenants of a professional space for the operation of their business, which has sustained financial damage due to Covid-19 (the companies that have sustained damage per sector and per month will be specified by ministerial decision)
(Attention: In order for the rent reduction to take place, there must be an agreement between the tenant and the person who leases the business space and cannot be less than 30%)
2. Business employees of the above category (for the rent of their house), whose employment contracts have been “frozen”.
2. Mandatory reduction of 40% – October 2020
For October 2020, a mandatory rent reduction of 40% is entitled to:
- Tenants of a professional space for the operation of their business. This under the condition that it is located in an area, which has been classified to the epidemiological level “very high” for at least 14 days in October (according to the provisions of the relevant ministerial decision)(Note: The area of Kozani belongs to a “very high” level from 16/10/2020 and is the only area that has completed 14 days in October at this level).
- Business employees of the above category (for the rent of their house), whose employment contracts have been “frozen”.
3. Mandatory reduction of 40% – November 2020
For November 2020, a mandatory rent reduction of 40% is entitled to:
- Tenants of a professional space for the operation of their business, since it is located in an area, which belongs to an epidemiological level of at least increased risk, or in an area for which emergency public health protection measures have been taken.
- Business employees (for the rent of their house) whose employment contracts have been “frozen”, regardless of the epidemiological level of the area in which the company they work for is located (for businesses according to the relevant ministerial decision) .
Recipients of the optional rent reduction of 30% (September and October) and the mandatory reduction of 40% (October and November) are also spouses or members of the cohabitation agreement of business employees whose employment contracts have been “frozen”.
Students who study in a city other than their permanent residence, live in a rented house and the employment contract of one of their parents is “frozen”can also pay a 40% reduced rent for October and November.
5. Compensation for property owners
Owners of properties for which they receive a 40% reduced rent from November, now can receive a compensation of 50% of the lost income. The compensation will be paid directly to their bank accounts.
- Emergency Allowance for suspended employees
From Sunday, November 15, 2020, the system ERGANI is open for declarations of suspension of employment contracts of November for the emergency allowance.
Business employers must submit the declarations of suspension of their employees’ contracts:
- until November 24 the employers of businesses which closed operations by state order
- until December 7 the employers of businesses that suffered serious financial damage, according to the official Register (indicating affected industries due to Covid-19)
Employees must submit solemn declarations to the platform supportemployees.services.gov.gr, only if their employment contract is suspended for the first time. This means that if an employee was suspended in April and now works for another employer, he does not need to make a new declaration for the November suspension.
Attention: The emergency allowance is 800 euros for the 30 days of November, but the final amount that will be received by the employee will be calculated depending on how many days in November he is suspended from work.
“Support was provided by HumanRights360 / Foundation Open Society Institute / Open Society Foundations”