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> Greece

Everything changing in the Social Security System: Pension increases, end of the personal difference

The changes to the wage system coming in 2026, the digitization of EFKA that will speed up pension awards, and what will apply to employees’ summer leave

Newsroom January 4 09:23

The new increase in the minimum wage from April 2026 dominates the changes coming to the labor front in the new year. In Social Security, beyond the pension increases that are already “warming up” — more for some, less for others — retirees’ incomes, a key role in 2026 will be played by the completion of the digitization of EFKA’s “paper kingdom,” in order to speed up the time it takes to grant pensions.

Specifically, the changes are as follows:

1/ New minimum wage increase

The minimum wage in the private sector is expected to rise by 4.8% from April 1, 2026, increasing from €880 today to €922. This corresponds to an increase of €40–42 per month or €588 per year. Public sector wages will rise by the same amount from April 1. This will be the 5th consecutive increase in the minimum wage, directly affecting 575,684 private-sector employees (22.8%) and around 600,000 public-sector workers.

The next increase, in 2027, is likely to be around 4%, bringing the minimum wage to €960 — exceeding the government’s commitment for a €950 minimum wage in the private sector. Correspondingly, the target for the public sector is for the entry-level salary to reach €950 by January 1, 2027.

2/ Pension increases

From 2026, the “personal difference” will no longer act as an obstacle to annual pension increases for 671,586 pensioners who had previously been excluded from increases and instead received a personal-difference allowance. As a result, the 2.4% increases already paid in recent days apply not only to 1.9 million pensioners, as last year, but to all pensioners — about 2.5 million in total.

Specifically, pension increases amount to about €20 per month for pensions up to €850, €36 per month for mid-range pensions of €1,300–1,500, and up to €70 per month for higher pensions. However, those with a personal difference greater than 50% of the 2026 main pension increase received only 50% of the increase. For example, a pensioner with a €50 personal difference and a €24 increase received half the increase (€12). From January 1, 2027, the personal difference will be completely abolished, and all pensioners will receive 100% of the annual increase each year.

3/ Increase in contributions for self-employed professionals

From January 1, 2026, contributions will increase for around 1.2 million self-employed workers and freelancers. The increase will be aligned with 2025 inflation, meaning a rise of approximately 2.6%–2.8%. As a result, the lowest monthly contribution will increase from €244.65 to €251.26, with an annual increase of €79.27. Contributions for healthcare, supplementary pensions, and lump-sum benefits will also rise accordingly.

Non-salaried workers must choose one of six insurance categories by January 31, 2026, while the higher contributions will appear in EFKA notices at the end of February.

4/ Digitization of EFKA

By summer 2026, the digitization of EFKA’s “paper kingdom” is expected to be completed — initially involving the scanning of 53 million handwritten insurance records — aiming to further speed up pension awards, especially supplementary pensions, which still face major delays.

5/ Increase in retirement age limits

In most cases, the approximately 25,000–30,000 remaining insured persons who can retire in 2026 before age 62 under transitional age limits will face an additional six-month increase. This mainly concerns mothers of minors, public-sector parents, and workers in heavy and unhealthy occupations.

For example, a mother of a minor in the private sector who completed 5,500 days of insurance in 2010–2011 and was born in 1967 can retire in 2026 at age 58.5. Likewise, a woman with 4,500 insurance stamps, of which 3,600 are in heavy and unhealthy jobs (1,000 in the last 17 years), can retire at age 55.

6/ Increase in collective labor agreements

In the first months of 2026, legislation will be promoted based on the action plan and the social partners’ agreement, aiming to increase the share of employees covered by collective agreements to nearly 80%, from 30% today. A key point is reducing or eliminating the required coverage threshold for agreements to be extended to an entire sector. Ultimately, the goal is for average wages to reach €1,500 in 2027, in line with government commitments.

7/ “ERGANI II” — simplification of procedures

The new ERGANI II information system, launching on February 16, 2026, introduces simplified hiring and termination procedures, eliminates paperwork, and digitizes many bureaucratic processes. For businesses, it promises less bureaucracy, greater predictability, and a single reference point for labor-law obligations. For employees, it offers immediate access to declared data and clearer presentation of employment terms.

8/ Fast-track hiring

Within 2026, provisions will be implemented allowing hiring even via a mobile app using fast-track procedures, particularly for emergencies such as holidays and weekends when staffing needs increase in catering, accommodation, and hotels. Employees will be able to automatically accept a job offer, while the process will be monitored through the ERGANI system.

9/ Changes to summer leave allocation

Greater flexibility in allocating annual summer leave is planned for 2026, allowing employees to distribute their annual vacation as they wish, in agreement with their employer.

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Currently, splitting leave is allowed only exceptionally into two periods, one of which must include at least 12 working days under a six-day week or 10 working days under a five-day week, following a written request. In practice, many private-sector businesses grant three weeks of leave in August when operations shut down or slow. Others (e.g., bottled water, soft drinks) prefer granting longer leave in winter instead of peak season.

Under the new rules, these restrictions are lifted, allowing employees to split their leave as convenient, in agreement with their employer. For example, leave could be taken in four separate periods within the same year, depending on personal and family needs.

10/ Changes in Occupational Insurance

A bill to be introduced in 2026 will provide improvements to the law passed in late 2023, aiming to strengthen the institutional framework of Occupational Pension Funds (TEA) and ensure equal treatment between TEAs and group insurance contracts. The biggest remaining issue is the tax regime, which industry representatives say has effectively “frozen” the TEA market.

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