The new labor bill “Fair Work for All: Simplification of Legislation – Support for Employees – Protection in Practice”, currently under public consultation, introduces important changes that directly affect both employees and employers.
With Article 8, the obligation for pre-declaration of annual leave is abolished and replaced with a simpler process: post-declaration (apographic) of annual leave in the digital system ERGANI II. At the same time, Article 10 introduces a new regime for the parental leave allowance, making it tax-free, non-assignable, and non-seizable.
EMPLOYEE LEAVE: END OF PRE-DECLARATION – ONLY POST-DECLARATION IN ERGANI II
Until now, employers were required to record annual leave in ERGANI, in the leave book, and in the annual leave form (E11). The new bill significantly simplifies this process:
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No more pre-declaration of annual leave.
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Employers will submit the leave post-declaration in ERGANI II.
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The deadline: within the first 10 days of the month following the month in which the leave was granted.
This means less bureaucracy and easier oversight by the Labor Inspectorate, since all data will now be centralized in one system.
PARENTAL LEAVE: TAX-FREE AND NON-SEIZABLE ALLOWANCE
The bill also strengthens protection for working parents. The parental leave allowance, granted by the Public Employment Service (DYPA), now has the following features:
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Tax-free – not included in taxable income.
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Non-assignable – cannot be transferred
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Non-seizable – cannot be withheld by banks, the state, or third parties.
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Cannot be offset against debts and is excluded from family income calculations.
This ensures that the allowance truly supports families without hidden restrictions.
WHAT THESE CHANGES MEAN IN PRACTICE
The new measures:
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Simplify the life of employers, eliminating multiple entries and redundant bureaucracy.
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Facilitate inspections by the Labor Inspectorate through centralized data in ERGANI II.
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Strengthen family support, ensuring that the parental allowance directly benefits employees.
👉 At AFS, we closely monitor all developments in labor law and provide timely, clear, and practical updates for businesses and employees alike.
