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Overworked: Cyprus Among The EU’s Heaviest Hit With Long Working Hours

In the European Union, working long hours is a reality for millions. While the EU average workweek stands at 36 hours, the figures vary significantly from country to country.

Eurostat defines “long hours” as 49 or more per week, a category that applies to 7.1% of the EU workforce. Among the EU countries, the highest rates of long working hours are seen in Greece (11.6%), Cyprus (10.4%), and France (10.1%).

The figures show a sharp contrast between self-employed individuals and employees, with 29.3% of the self-employed working long hours compared to just 3.6% of employees. Outside the EU, Turkey has the highest rate, with 27.2%, followed by Iceland with 13.8%.

Percentage of people working at least 49 hours a week

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Which Countries Have The Longest Working Week?

Turkey has the longest average working week at 44.2 hours, followed by Serbia (41.7 hours), Bosnia and Herzegovina (41.4 hours), and Greece (39.8 hours). The EU average, meanwhile, is 36.1 hours.

The sectors with the longest working hours are predominantly manual, with agriculture, forestry, and fishing leading the charge with an average of 41.5 hours per week, followed by mining and quarrying (39.1 hours), and construction (38.9 hours). Conversely, the shortest workweeks are found in the Netherlands (32.2 hours), Austria (33.6), and Germany (34.0).

Average working hours per week

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What’s The Situation In Cyprus?

In Cyprus, the working hours reflect a balance between the Mediterranean work culture and the global demand for productivity. With 10.4% of the workforce engaged in long hours (49 or more per week), Cyprus is among the countries with the highest rates in the EU. However, the overall average working week in Cyprus is relatively close to the EU average, standing at around 38.5 hours.

Similar to other EU countries, self-employed Cypriots are more likely to work longer hours compared to employees. Professions in sectors like agriculture, construction, and retail drive much of this statistic, as these industries often require extended working hours to meet demand.

Despite this, Cyprus has made strides in improving work-life balance, particularly in sectors outside of manual labor, where shorter working weeks are becoming more common. However, the island’s economic structure, heavily influenced by tourism and service industries, continues to push for longer working hours in certain areas, especially during peak seasons.

In conclusion, while Cyprus ranks high in terms of long working hours within the EU, ongoing efforts to modernize work practices and improve labor rights are expected to gradually alter the dynamics of work-life balance on the island in the coming years.

Cyprus Tech Sector Propels Economic Growth and Reshapes Talent Landscape

Robust Economic Expansion

At the recent TechIsland Summit, Christophoros Anayiotos, Head of Deal Advisory at KPMG Cyprus, delivered a compelling assessment of the island’s burgeoning tech ecosystem. The 2024 report highlights that the technology sector now contributes 16% of Cyprus’ total Gross Value Added (GVA), up from 12.6% in the previous year. Overall, the sector’s economic impact is estimated at €8.5 billion, with direct contributions of €4.7 billion and an additional €3.8 billion generated indirectly.

Sectoral Contributions and Productivity

Using the Leontief Input-Output Model, the study covers key areas including ICT, professional scientific and technical activities, as well as tech-driven financial and insurance services. Notably, the ICT segment itself delivers €3.4 billion in direct GVA, while professional services and financial operations contribute €840 million and €505 million respectively. This horizontal spread of technological influence underscores the industry’s pivotal role in driving multifaceted business growth.

Resilience During Economic Downturns

Even amid challenging economic conditions, the tech sector has demonstrated remarkable resilience. In the pandemic-stricken year of 2020, while the broader Cypriot economy contracted by 3%, the ICT sector experienced a robust growth rate of 21%. This momentum accelerated further to a striking 38% growth in 2021, reinforcing technology’s role as a stabilizing economic force.

Divergent Trends in Employment

Anayiotos’ analysis reveals that the tech sector now sustains over 62,000 full-time equivalent jobs in Cyprus, with 45,900 direct and 16,300 indirect roles. For every €1 million in increased sector revenue, approximately 13 jobs are generated. Despite the overall employment surge, there has been a significant shift in workforce composition. In 2015, Cypriot nationals comprised 88% of ICT employees; by 2024, this figure dropped to 50%, with non-EU nationals accounting for 42% and other EU citizens 8% of the workforce.

Cyprus as an EU Leader in ICT

Cyprus now holds a prominent place in the EU, ranking second in the EU27 for ICT’s share of national GVA at 11.4%, a notable rise from 9.4% in 2023. Furthermore, the island leads the bloc in ICT GVA growth, posting a remarkable 347% increase between 2015 and 2024. With a top-five ranking in GVA per ICT employee—whereby each contributes approximately €130,000, compared to the EU average of €116,000—the country’s technology workforce has expanded at an annual growth rate of 12.1%, from 9,300 in 2015 to 26,000 in 2024.

Strategic Imperatives for Future Growth

Anayiotos emphasizes the need for strategic enhancements to sustain this expansion. Key recommendations include improving air connectivity, joining the Schengen Area to boost mobility, and attracting more international banking institutions. Additionally, introducing tax incentives designed to favor stock options is considered crucial in luring and retaining skilled talent. Addressing the limited capacity in private education is also vital to accommodating professionals relocating with families.

Investing in Talent and Digital Transformation

Looking forward, investments in education and digital upskilling remain paramount. There is a clear call for a national initiative aimed at promoting STEM careers, elevating the digital skills of both students and educators, and accelerating the digital transformation of public services. Moreover, streamlining legal procedures will be critical to improving the overall business climate and competitiveness.

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