The Future of Work

The future of work in Cyprus faces major challenges driven by two global trends: climate change and increasing digitalization. Key economic sectors such as tourism, agriculture and construction are particularly vulnerable to climate change. Rising temperatures and changing weather patterns could make Cyprus less attractive as a travel destination, weakening the tourism sector. Agriculture is also at risk, as shifting rainfall patterns and more frequent droughts could negatively affect yields, requiring adaptation through more sustainable farming methods. In the construction sector, climate-friendly building practices and resilient infrastructure will need to be developed to cope with these changes.
At the same time, digitalization is opening up new opportunities, in particular through the use of artificial intelligence (AI). However, Cyprus lags behind other EU countries in digital transformation, ranking seventh from last in the Digital Economy and Society Index (DESI 2023). Despite this, the country is increasingly attracting digital nomads who benefit from tax advantages but contribute little to the local economy. Their high salaries, combined with a significant number of wealthy immigrants, drive up the cost of living and exacerbate social inequalities.
FES Cyprus also works to improve working conditions and minimum standards for low-wage workers, especially in the platform economy, where precarious working conditions are common. The aim is to promote discussion on the future of work at all levels and to develop viable solutions for Cyprus. Through national, bilateral and European dialogues, concrete policy proposals will be formulated with a focus on tackling gender-based discrimination in the workplace and ensuring a fair labour market.