Labor Shortages Challenge Greek Agriculture: New Initiatives Target Migrant Workforce

10:32 26/1/2025 - Πηγή: Dikaiologitika

The Greek government is embarking on a sweeping reform of its residence permit system for migrant workers to tackle severe labor shortages and boost economic growth.

At the heart of the plan is the digitalization of the permit process, coupled with an extension of permit validity from three

to five years. These changes aim to reduce bureaucratic delays and ease administrative burdens. Employers, too, are expected to benefit from streamlined hiring processes, with multiple government agencies, including the Public Employment Service, the Foreign Ministry, and law enforcement, working in closer coordination.

The current system, which requires the same offices to handle all types of residence permits—from "golden visas" for investors to permits for seasonal agricultural workers—has proven inefficient. A backlog of 280,000 pending applications continues to grow by roughly 20% annually. To address this, the government plans to introduce advanced interoperability between databases, allowing officials to focus solely on issuing permits rather than verifying documentation.

The labor shortages are particularly acute in agriculture, where efforts to incentivize domestic workers have largely failed. Speaking in Parliament during a discussion on agricultural policy, Prime Minister Kyriakos Mitsotakis underscored the urgency of the issue. “The agricultural sector cannot be allowed to collapse due to a shortage of labor,” he said on Friday. “For there to be shortages, production must be increasing, and that is precisely the case. We’ve initiated collaborations with countries like Egypt, where we’ve already secured the first 5,000 workers, and we’ve directed the Foreign Ministry to accelerate the process of bringing in labor where it’s critically needed.”

Despite these efforts, significant challenges remain. Agreements with countries such as Egypt and Bangladesh have encountered logistical hurdles and underwhelming results.

For instance, of the 5,000 workers anticipated under the Egyptian agreement, only 180 have arrived so far.

Over the past decade, Greece has become less attractive to foreign workers. The migrant workforce has dropped dramatically, from 403,000 in 2014 to just 179,000 in 2024, a decline of 56%. This reduction is driven by factors such as lower wages compared to other European nations and cumbersome procedures for seasonal employment. In contrast, Italy offers five-year residence permits even for seasonal workers, making it a more competitive destination.

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Labor Shortages Challenge Greek Agriculture,New Initiatives Target Migrant Workforce