A foreign national who wishes to work in a foreign-interest company within the Republic must have a temporary residency and employment permit for that purpose, following the current immigration law.
The Council of Ministers, on October 15, 2021, endorsed a New Strategy to lure businesses to establish and/or expand their operations in Cyprus. This strategy, which went into effect on January 2, 2022, replaces the older policy concerning the hiring of workers from third countries by foreign-interest companies.
Under the new Strategy:
(a) There are no longer maximum quotas for foreign personnel. Businesses have the liberty to hire an unlimited number of well-compensated individuals from third countries without a labor market check.
Despite this, all companies are required to ensure that 30% of their total workforce comprises Cypriots/EU citizens within a five-year span. After five years, or after January 2, 2027, the hiring ratio will be reviewed. If a company fails to maintain a 70:30 ratio, it will be individually assessed and presented to the management for a final decision.
(b) The review period for residence and employment applications is set at one month.
In terms of employer criteria, any business not currently registered with the Register of Foreign Interest Companies of the Civil Registry and Migration Department must first register with the Business Facilitation Unit (BFU) managed by the Ministry of Energy, Commerce, and Industry. The BFU will evaluate eligibility and provide written confirmation of their registration at the new Register of Foreign Interest Companies. This registration is a prerequisite for the issuance of residence and employment permits.
Companies previously registered at the Register of Foreign Interest Companies will continue to benefit from the new Strategy without additional procedures.
Moreover, companies are expected to fulfill the criteria stipulated in the legislation related to the single permit.
As for third-country nationals, they must meet both the requirements of the Legislation for the single permit and the Strategy for their employment in foreign interest companies. According to the Strategy, employees in these companies are classified into:
(a) High-paying employment, where the employee receives a minimum gross monthly salary of €2500 and possesses relevant academic qualifications or at least two years of relevant experience. Their employment contract must be of at least two years’ duration.
(b) Supportive level employment, requiring a labor market test and a contract sealed by the Department of Labour.