BUSINESS

Major hike in social security contributions as of 2019

ROULA SALOUROU

TAGS: Finance

The government will in the next few days have to include in its list of 140 prior actions agreed with the country’s creditors the new, indirect hike in social security contributions for 1.4 million freelance workers, self-employed professionals and farmers that Kathimerini recently revealed.

The text outlining the obligations the Labor Ministry has undertaken states clearly that the 15 percent discount on the new, expanded calculation base for contributions will only apply for 2018. From 2019 onward “no reduction will apply,” the text states.

Minister Effie Achtsioglou indirectly admitted the change to the calculation base Monday while speaking on Real FM radio. She noted that any parametric change will concern 2018, but a total discount of 15 percent will also apply for contributions to remain on the same level.

Shadow labor ministers Yiannis Vroutsis and Notis Mitarakis, both former New Democracy cabinet members, warned that the new hikes in contributions will range between 37 percent and 61 percent.

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