What’s Changing in Internships in Cyprus – Changes in Pay and Legal Framework

What’s Changing in Internships in Cyprus – Changes in Pay and Legal Framework

Legislation aims to ensure fair pay and legal protection for interns to prevent exploitation and promote youth employment.

The need to establish a minimum wage and legal protection for internships to ensure the smooth integration of young people into the labor market and prevent exploitation was highlighted during a discussion at the Parliamentary Committee on Labour.

Minister of Labour Yiannis Panayiotou assured that the relevant bill will be ready before the end of the year, aiming for its adoption before the current Parliament’s term expires.

Speaking before the Committee, the Minister noted that there is broad consensus on the need to regulate internships at a national level, emphasizing that consultations with youth organizations and social partners have already been completed. A technical committee has also examined the issue. The process, he added, is now at the stage of legal drafting, with the bill expected to be submitted by the end of the year for public consultation, before being forwarded to the Council of Ministers and the House of Representatives.

Panayiotou expressed confidence that the “natural timelines” will be met, allowing for the bill’s approval before the Parliament’s current term ends.

The Minister stressed the importance of this legislation, which will set a minimum pay for internships, ensuring the timely and fair integration of young people into the labor market and the payment of social insurance contributions. He pointed out that although youth unemployment has decreased significantly, further improvements are needed—particularly to guarantee that internships are not used as a pretext for unpaid labor or for wages below the national minimum salary.

“The level of remuneration is a challenge—if set too high, it could reduce the number of available positions. However, we believe the right balance will be found,” Panayiotou said, adding that once the law is passed, the Human Resource Development Authority will be able to design and implement relevant programs, though this will not be a prerequisite.

Following the meeting, the Minister underlined that significant progress has been made in the legal drafting process, noting that a long-standing institutional gap will finally be addressed through the proposed framework.

Andreas Kavkalias, Chairman of the Parliamentary Labour Committee and AKEL MP, stated that while the Government has expressed political will to introduce the necessary legislation, there has been significant delay in moving from theory to practice.

“A law is needed to determine the minimum pay and to ensure that interns are not exploited as cheap labor,” he emphasized, adding that it was agreed the draft bill will be submitted before the end of the year.

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