BUSINESS

Proposal to combat youth joblessness

By Thanos Tsiros

The coalition government has received a “cheap and efficient” proposal aimed at combating youth unemployment that provides for a three-year suspension of social security contributions to the Social Insurance Organization of Freelance Professionals (OAEE) for new freelancers.

Social security contributions amount to more than 200 euros per month, which puts young people off the idea of starting their own business. The cost of such a plan would not result in any major budgetary problems, as the healthcare costs of those freelancers for that period of time is estimated at around 8 to 10 million euros per annum.

According to the proposal, once the three years are over, the young professionals will be given the option of making the payments retroactively so that the period will count when they retire, while OAEE will be able to cash in some of the lost revenues.

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