Cyprus: Changes in work permit bank guarantees
By: P. Constantinou & Co Ltd
The Cyprus Migration Department has made some changes regarding the regulation for bank guarantees for work permits and based on the new regulation, no bank guarantee is required to be submitted on behalf of the employer for the purposes of applying for a work permit.
Instead, a formal declaration signed by the employer/company will have to be submitted to the Migration Department, stating that the employer will have to cover possible expenses for the employee’s repatriation in case it is needed.
The following changes will take place:
- For new registration of employees in Cyprus, no bank guarantee will be required.
- For current employees with a valid work permit, a declaration will need to be submitted, an authorization for a refund of funds (FIMAS) and a copy of the employer’s IBAN number so that the bank guarantee amount is released and refunded to employer’s account.
- For released employees, the employer will need to submit a declaration, an authorization for a refund of funds (FIMAS) and a copy of the employer’s IBAN number and a copy of the bank guarantee so that the bank guarantee amount is released and refunded to employer’s account.
- For FR and VISITOR permits, either in cases of new registration or renewal of the permit, the requirement of a bank guarantee continues to apply.
For more information and clarification about the above amendments please feel free to contact us.