Last year, relief in social security contributions and taxes for the middle incomes and mainly families with children – which constitute the main pool of tax revenue in Greece – remained limited, so labor costs remain well above the average of the OECD member countries.
According to the Organization for Economic Cooperation and Development report for 2026 (with data for 2025), the total taxes and contributions burdening labor as a percentage of the total cost (tax wedge) increased in most countries, reaching an average of 35.1% for a single worker with an average salary, from 34.9% in 2024, a development that reflects the non-adjustment of tax brackets to wage increases.
In Greece, the picture shows little differentiation in the short term, but deterioration over time. Specifically, the tax wedge for a single worker with an average wage stood at 39.3% in 2025, down only 0.16 percentage points from 39.5% in 2024, but still significantly higher than the OECD average.
This has ranked the country in 19th place among the 38 OECD member-states, placing it in the top half of the ranking in terms of the tax burden on labor.
