Kostas Papadis
The main provisions of the Greek government’s program for 2023 concern the increases in pensions, wages and benefits and consist the main issue of today’s debate on the government’s social policies in the Greek Parliament, which – essentially – constitutes the informal start of the pre-election period.
Announcements on a new increase in the minimum wage at the beginning of 2023, on increases in pensions after 13 years and on the abolition of the solidarity contribution on pensions and on the public sector are expected to be prominent in the announcements of the Greek Prime Minister, during the opening of the Thessaloniki International Fair.
Special reference is made to these measures by the Greek Labor Minister, Mr Kostis Hatzidakis, during his recent review of the government measures.
Increase in the minimum wage
Recently, with the increase of the minimum wage, Mr Mitsotakis left open the possibility of a new increase in early 2023. In addition, in the previous days, addressing tourism entrepreneurs, he urged for “better wages and working conditions” in order to find the right staff.
The restoring of the minimum wage at 751 euros – as it was in 2013- can be considered feasible, given the fact that now the minimum wage amounts to 713 euros.
The improvement of wages and the return of wage and pension increases will continue in 2023, so as to come up against the escalating rise in unemployment.
However, at the beginning of the year, when the process of raising the minimum wage will start – again – there is also a possibility of increases in pensions, as well. From 1 January, increases will be made in the total amount of pension equal to 50% of the change in GDP plus 50% of the change in the Consumer Price Index (CPI). This means that, if GDP increases by 4% and CPI increases by 6%, then the increase in pensions will beequal to 5% (2% +3%).
The government project
Today’s debate in Parliament will include the ten main pillars of the government’s project concerning labor, insurance and social protection.
Concerning the issue of outstanding pensions, the Greek government will focus on more than doubling the rate of new pension issuance, with almost as many pensions issued in the first five months of the year, as they were issued in the whole of 2019.
Special reference will be made to the insurance reform for the new generation and the new supplementary capitalisation fund (TEKA), “a reform that ensures higher supplementary pensions for young people, while shielding the sustainability of the insurance system,” the government report said.
Another significant issue is the de-escalation of the unemployment problem, as it has fallen by 4.8 percentage points, from 17.3 percent to 12.5 percent, in July 2019. “This is the lowest rate in the last 12 years,” while, so far, more than 10 billion euros habve been spent to support workers and the unemployed ones from the effects of the pandemic, while another 2.7 billion euros has been allocated to create new jobs.
Finally, concerning labour law issues, the Greek government noted that anachronistic labour market regulations have been abolished and a modern European framework has been created, empowering the workers, with the Digital Labour Card, the creation of an Independent Labor Inspection Authority, the possibility of four-day work week and additional rights for platform workers.
Latest News
Bitcoin Surges Toward $100K Amid Pro-Crypto Optimism in US
According to Reuters, the cryptocurrency surged to an all-time high, briefly exceeding $96,898 during Asian trading hours.
Greek Driver Violations at a Touch of a Button
Traffic offences recorded in the last five years by Greece’s “Driver Behavior Control System” are now available on Gov.gr Wallet
Milan Tops List of Most Expensive Streets, Athens’ Ermou Holds Steady at 15th Place
In Athens, following Ermou Street is the southern suburb of Glyfada and Tsimiski Street in Thessaloniki.
New Gov.gr Service Enables Secure Reporting of Minor-Related Delinquency
It should also be noted that via the recently introduced initiative ‘Safe Youth’ application citizens have access to specially tailored informative material regarding the safety of children and adolescents
Thousands Strike in Athens Over Soaring Living Costs and Stagnant Wages
Inflation, particularly in food prices, has been crushing Greek households
Greece Overhauls Property Valuation System
Greece plans to launch a revamped property value registry in 2025 and overhaul the way objective values are calculated to enhance tax revenue and improve transparency.
Greece’s New Tax Bill Foresees Tax Relief Beyond Big Business
Tax relief measures in Greece are proposed for freelancers, property owners and farmers, along with 'big business'
Unions Call Nationwide Industrial Strike for Wed.
Mass transits are usually affected, especially in the greater Athens-Piraeus area, although bus and metro services are curtailed but not fully halted
Yannis Vardinoyannis Assumes Post of Motor Oil Board President
He succeeds his father, Vardis, who passed away last week at the age of 91
PM Mitsotakis to Bloomberg: Our Majority Is Stable, Elections To Be Held in 2027
"The government has a solid 2.5-year mandate from the people to implement its policies," Mitsotakis stated