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Labor Shortages and Minimum Wage Discussed Between Labor Minister and KEVE

Published February 10, 2026, 17:17
Labor Shortages and Minimum Wage Discussed Between Labor Minister and KEVE

According to a KEVE announcement, the serious labor shortages in all sectors of the economy were discussed during the meeting of its Board of Directors with the Minister of Labor and Social Insurance, Marinos Mousiouttas. KEVE emphasized that the employment rate (79.85%) and the reduction in unemployment (5%) demonstrate conditions of full employment and a huge labor shortage. KEVE expressed strong disagreement with the setting of an hourly minimum wage, proposing to maintain the determination of the wage according to the working hours prevailing in each enterprise. In addition, it proposed allowing students to work without restrictions in all professions, as happens in other European countries. Regarding pension reform, KEVE stated that it is actively participating in the work of the Technical Committee, seeking a fair, sustainable and compatible system with the resilience of the Cypriot economy. It emphasized the need for a documented approach, transparency and careful cost assessment. The discussion focused on the need to rationalize the system while maintaining the sustainability of the Social Insurance Fund and avoiding disproportionate burdens on the real economy.