Cyprus launches new employment incentive schemes for vulnerable groups

The Cyprus Department of Labour has launched a series of employment grant schemes aimed at integrating unemployed individuals and vulnerable groups into the labour market. Supported by the European Social Fund Plus and the Republic of Cyprus under the “THALIA 2021-2027” cohesion programme, these initiatives provide financial incentives to employers by subsidising a portion of wage costs.

The schemes are divided into two operational categories based on how applications are processed. Non-electronic applications are required for incentives targeting individuals with disabilities and the rehabilitation of former prisoners. Conversely, an online portal handles applications for unemployed individuals over the age of 50, inactive women, unemployed women, and youth aged 15-29 who are not in employment, education, or training. Specifically, the disability incentive scheme aims to support the employment of 100 people with disabilities, with an additional 28 places available, provided they are registered with the Public Employment Service prior to recruitment.

These programs represent a broader state effort to reduce structural unemployment and provide long-term career prospects for marginalized sectors of society. By incentivizing the private sector, the government seeks to foster inclusive growth in line with European Union policy frameworks.