Filenews 6 December 2025 - by Evagoras Prokopiou
The Inspection Service presents its work for the period January–August 2025, noting a significant increase in compliance and a reduction in delinquency in the labour market. The Service, which operates under Law 81(I)/2020, has as its main mission the control of the implementation of labour and social legislation in all sectors of the economy.
During the eight months, 6,076 inspections were carried out, of which 5,923 were carried out on employers' premises. A total of 17.719 employees were checked, identifying 244 undeclared and 601 illegally employed, with the total number of violations amounting to 703. Delinquency amounted to 5.11% for Cypriots, 3.80% for EU citizens and 22.52% for third-country nationals. The Service points out that the results confirm that targeted interventions and repeat checks enhance employers' compliance.
At the same time, violations occur mainly in sectors such as catering, construction and retail, with inspectors carrying out payroll checks, foreigners' permits, employee interviews and cross-checks with Social Insurance. During the same period, 81 fines were imposed, totalling €185,350, with amounts ranging from €350 to €8,500.
Geographically, Nicosia recorded the most checks and violations (1,942 checks – 241 violations), followed by Limassol, Larnaca, Paphos and Famagusta. This data is used in the design of the Service's targeted campaigns by sector and seasonality.
At the same time, according to the Statistical Service, the Cypriot labour market recorded an increase in employment in the second quarter of 2025, with an increase of 1.8% in total employees and 2.2% in actual hours worked. The total number of employees amounted to 508,291 people, of which 455,484 employees and 52,807 were self-employed. The largest increases were recorded in the sectors of Information and Communication, Wholesale and Retail Trade, Repair of Motor Vehicles, as well as Hotels and Restaurants. The rise in working hours is attributed to the same dynamic sectors that continue to create new jobs.
The Service also handled 412 complaints from citizens, concerning undeclared work, wage differences, minimum wage and rest hours issues. Complaints are identified as a crucial tool for detecting irregularities in the labour market.
By the end of the year, the goal is to increase inspections by 15%, strengthen collaborations with other state services, upgrade the training of inspectors and operate a new electronic platform, which will allow anonymous complaints, monitoring of their progress and automatic notification of inspectors. The Service emphasizes that the effort will continue with intensity, especially in areas of high delinquency, with the aim of a fair, transparent and protected labour market.
