Following my recent document sent to you by e-mail on 16-6-2016 entitled "The female gender of unemployment in Greece for the first semester of 2016", I would like to inform you that the European Observatory of Working Life (EurWORK) at the European Foundation for the Improvement of Living and Working Conditions (Eurofound) published on the 3rd of August, 2016 a comprehensive note on the latest working life developments in Greece in the second quarter of this year:
The situation does not seem to be positive at all:
a) three big companies closed or declared bankruptcy and more than 1,500 employees, both men and women, lost their jobs
b) working conditions are steadily worsening in the private sector
c) average wages are falling
d) work flexibility is increasing significantly.
In addition, it is noted that in May 2016 the Hellenic Parliament passed Law No 4387/2016 introducing extensive reform of the social security, pension and tax systems, including:
- establishing a single Social Security Fund for all
- establishing a national pension of €384 per month at the age of 67
- increasing social contributions for employers, employees and the self-employed
- introducing a new method of pension calculation
- reducing basic and supplementary pensions.
The tax reform establishes a new tax scale, increases VAT from 23% to 24% and increases tax rates significantly, especially for independent professionals and farmers. The new law also sets out proposals for the privatisation of nineteen public companies.
A new privatisation and investment fund, the Hellenic Corporation of Assets and Participations S.A. (HCAP), will manage state-owned assets and publicly owned real estate, and prepare some for privatisation: these include ports, railways, transport services, energy, water, and postal services. These privatisation provisions triggered widespread protests and strikes by unions representing workers in public companies.
The social security and tax reforms generated a series of reactions from workers and the self-employed, particularly by lawyers who have now ‘abstained’ from their duties for more than six months.
The Greek side would be grateful if you informed your leadership and the officials of the competent administrative units accordingly.
Wishing you and all the members of your team the very best,
Yours sincerely,
THE DIRECTOR
