Breaking news

Rental And Purchase Prices Soar Across All Cities

by THEFUTURE.TEAM

August 26, 2024

The commercial real estate market in Cyprus is currently experiencing a remarkable surge, with office rental and purchase prices escalating significantly across all major cities. This upward trend is driven by a robust demand for office spaces, fueled by both local businesses expanding their operations and a wave of foreign investment. Nicosia, Limassol, and Larnaca are particularly hot spots, with these cities witnessing the highest levels of interest and competition.

In Nicosia, the capital city, the demand for premium office spaces has led to a noticeable increase in both rental and purchase prices. Companies, especially those in the financial and professional services sectors, are actively seeking modern, well-located offices, driving up costs. Limassol, known as the business hub of Cyprus, is experiencing even more pronounced growth. The city’s status as a key destination for international businesses, particularly in shipping and finance, has spurred a significant rise in office demand, leading to a competitive market where prices continue to climb.

Larnaca is also witnessing strong growth, driven by recent infrastructural developments and its strategic location as a gateway to the island. The surge in office space demand here reflects the city’s growing importance as a business center, attracting both local and international companies.

The broader implications of this trend suggest that Cyprus is solidifying its position as a regional business hub. The ongoing expansion in the office market is a positive sign for the island’s economy, indicating investor confidence and the potential for sustained economic growth. However, the rapid rise in prices also poses challenges, particularly for smaller businesses and startups that may find it increasingly difficult to secure affordable office space.

As the office market continues to thrive, stakeholders in the commercial real estate sector, including developers, investors, and policymakers, will need to carefully navigate this evolving landscape. Ensuring a balanced supply of office space that meets the diverse needs of businesses while maintaining sustainable growth will be key to capitalizing on this momentum and supporting Cyprus’s long-term economic development.

Illegal Employment on the Rise in Cyprus as Undeclared Work Declines

by THEFUTURE.TEAM

September 16, 2024

A recent report on the labour market in Cyprus has revealed a worrying increase in illegal employment, even as the rate of undeclared work shows signs of decline. The findings, which were discussed during a parliamentary session, have raised concerns among lawmakers and authorities alike about the ongoing challenges in combating labour exploitation and maintaining fair employment practices.

According to data presented by the Ministry of Labour, the issue of illegal employment—workers being hired without proper work permits or contracts—has escalated in recent months. This rise comes at a time when efforts to reduce undeclared work, where employees are not registered or insured, have seen moderate success. Despite progress in regulating the labour market, illegal employment remains a significant issue, especially in industries such as construction, agriculture, and hospitality.

Understanding the Distinction Between Illegal and Undeclared Employment

Illegal employment refers to the hiring of individuals who are not legally permitted to work, often due to their immigration status or lack of proper documentation. These workers are typically vulnerable to exploitation, receiving lower wages and lacking access to basic protections such as healthcare and social security benefits. In contrast, undeclared work involves the employment of individuals who may be legally allowed to work but are not officially registered, depriving them of insurance coverage and other legal protections.

While authorities have made strides in reducing undeclared work, particularly through stricter inspections and penalties, the rise in illegal employment presents a new challenge. Lawmakers pointed out that illegal employment poses even greater risks, as it not only harms the workers involved but also undermines the integrity of the labour market and contributes to unfair competition among businesses.

Factors Driving Illegal Employment

Several factors contribute to the increase in illegal employment, according to the Ministry of Labour. One key driver is the influx of migrant workers, many of whom lack the necessary documentation to work legally in Cyprus. Without proper channels for legal employment, these individuals often turn to unregulated jobs where they are vulnerable to exploitation.

The growing demand for cheap labour, particularly in sectors like construction and agriculture, also plays a significant role. Employers seeking to cut costs may resort to hiring illegal workers, bypassing the legal requirements for contracts, wages, and benefits. This practice not only puts workers at risk but also creates an uneven playing field, where businesses that comply with legal standards struggle to compete with those exploiting illegal labour.

Efforts to Combat Illegal Employment

In response to these findings, the government has pledged to intensify its efforts to combat illegal employment. This includes increasing inspections, imposing harsher penalties on employers found guilty of hiring illegal workers, and strengthening collaboration with immigration authorities. Additionally, there is a push to create more pathways for legal employment for migrant workers, ensuring they can enter the labour market with proper documentation and protections.