GSEE report highlights deep imbalances in Greek labor market
A new study by the Labor Institute of the General Confederation of Greek Workers (INE/GSEE) reveals significant structural weaknesses in Greece’s labor market, including widespread underutilization of workers’ skills, limited professional development opportunities, and a failure by businesses—especially small and medium-sized enterprises—to invest in long-term human capital.
The report is part of a new policy paper series exploring the quality of work in Greece based on the real-life experiences and perceptions of private sector employees. It examines key aspects such as the social environment at work, job intensity, career development prospects, and the mismatch between workers’ qualifications and job requirements.
Short-Term Thinking, Long-Term Costs
According to the report, Greek entrepreneurship remains short-sighted, with most businesses failing to implement long-term strategies for growth through employee training or innovation.
“Education is viewed more as a cost than as an investment,” the report notes, underlining a general absence of a culture of lifelong learning.
Particularly in sectors like tourism, food services, and retail, productivity is still measured by physical presence and basic functionality, rather than knowledge, innovation, or service quality.
Highly Skilled Workers in Low-Skill Jobs
A large proportion of Greek workers report being overqualified for their current jobs. This mismatch is not only inefficient but contributes to feelings of professional dissatisfaction and job insecurity.
“Many workers feel their education and skills are not utilized or appreciated, leading to a decline in motivation and even considerations of migration,” the study warns.
The dominance of low-skill, low-productivity sectors and the absence of a strong manufacturing or advanced technology base exacerbates the problem, limiting the creation of high-value employment opportunities.
Lack of Innovation Investment
Greek businesses, the report notes, rarely invest in innovative business models or the qualitative upgrade of their products and services. As a result, jobs often require minimal cognitive effort, which leads to workers feeling that their capabilities are being wasted.
Beyond the economic and developmental impact, the report highlights the psychosocial consequences of this trend: reduced job satisfaction, professional stagnation, and a weakened incentive to remain in the Greek workforce.
Call for Structural Reform and Smart Investment
INE/GSEE stresses the urgent need for a deep transformation of Greece’s development model, urging for:
Sector-specific investment in innovation,
The creation of jobs with high added value,
Effective use of the country's highly educated workforce.
The institute also emphasizes the importance of Collective Labor Agreements as tools for improving job quality and promoting continuous training and professional education.
