Friday May 29, 2015 Search
Weather | Athens
14o C
09o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Social security funds are facing a hole of 2 bln euros

 The expected cut to third-party levies will inflict a blow on them

By Christina Kopsini

A gap of 2 billion euros is opening before the government’s very eyes as the country’s social security funds will require additional financing if they are to continue to pay out pensions without any problems until the end of the year.

The 2-billion-euro deficit does not include possible losses from the new reductions to so-called third-party levies within the year, or the cuts in resources that partly finance the funds.

The third-party charges fetch some 2 billion euros into the pension funds annually. Some funds, including that for public works contractors, depend entirely on third-party levies such as collections from the certification of public works, levies imposed on all kinds of construction projects and the charge imposed on every piece of machinery that is imported for works.

There is a similar situation in the fund of law professionals, as well as in the farmers’ fund, which collects some 1 billion euros from so-called social resources.

The launch of the Development Ministry’s online platform for the registering of citizens’ complaints regarding third-party levies has generated major concern among social security funds, as they simply cannot afford any more reductions to their revenues at the moment.

The biggest headaches are building up at the Social Security Foundation (IKA), the Freelancers’ Fund (OAEE) and the farmers’ fund (OGA), as the problem with servicing expired contributions has grown to a point that resembles a payment stop in the funds that survive on freelancers’ contributions. The deficit at IKA amounts to 807.9 million euros, at OAEE it has come to 462.7 million, while at OGA it has reached 181 million euros.

The cash problems of social security funds that rely on freelance workers is reportedly the first issue that new Deputy Labor and Social Insurance Minister Antonis Bezas has been asked to resolve.

ekathimerini.com , Thursday June 26, 2014 (23:10)  
Next Greek aid program isn’t on table yet, says Moscovici
Hoteliers seek VAT solutions
Chaos in the system for tax declarations
Lenders’ first-quarter data suffer from NPL expansion
Greece creditors say no deal near as G-7 frustration vented
Greece’s creditors said a deal to unlock rescue aid isn’t imminent as they demanded the debt-ravaged nation make stronger commitments to overhaul its economy. The Greek government saw its op...
PM speaks to Merkel, Hollande as lenders increase pressure
With negotiations between Greece and its creditors at a critical phase, Prime Minister Alexis Tsipras on Thursday sought the assistance of German Chancellor Angela Merkel and French Presiden...
Inside News
SOCCER
Panathinaikos conquers PAOK through Tavlaridis goal
A Stathis Tavlaridis goal has brought Panathinaikos to practically within one point from clinching a spot in next season’s Champions League qualifiers, as the Greens made it three out of thr...
SOCCER
AEK Athens returns to top league after financial collapse
Greek club AEK Athens has just returned to the country's top soccer league, two years after financial collapse sent it to a lower league. One of the country's largest clubs, AEK sealed its s...
Inside Sports
COMMENTARY
Only Greece can end its miserable ´Groundhog Day´
In the film "Groundhog Day," Bill Murray is condemned to relive the same 24 hours on an endless loop. The happy ending (he gets the girl) only comes when he changes his destiny by becoming a...
COMMENTARY
FIFA and fair play
Greeks must be among the less excited observers of the ferocious crackdown on the highest echelons of global soccer’s administrative body, FIFA: from the lowest leagues to our top teams, fro...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
 RECENT NEWS
1. Next Greek aid program isn’t on table yet, says Moscovici
2. Greece creditors say no deal near as G-7 frustration vented
3. Hoteliers seek VAT solutions
4. Chaos in the system for tax declarations
5. Lenders’ first-quarter data suffer from NPL expansion
6. Regional airport concession deal ‘to be sealed soon’
more news
Today
This Week
1. Greece creditors say no deal near as G-7 frustration vented
2. Only Greece can end its miserable 'Groundhog Day'
3. Next Greek aid program isn’t on table yet, says Moscovici
4. Endless confusion and worry
5. G-7 weighs in on Greece as Tsipras government told to be serious
6. ECB's Nowotny says no to loosening funding for Greece now
Today
This Week
1. Hotel contracts with a ‘Greek default clause’
2. Some 300 mln left banks on Tuesday
3. Neither Grexit nor a dual currency will solve Greece’s problems
4. No more 'quick and dirty' fixes for Greece
5. Romantic notions meet reality
6. Tsipras faces down radicals within SYRIZA over terms of deal
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2015, H KAΘHMEPINH All Rights Reserved.