ECONOMY

Labor Ministry to propose cuts of 4 billion euros

Labor Minister Yiannis Vroutsis (photo) will tell Prime Minister Antonis Samaras on Wednesday that his ministry has identified 4 billion euros in savings, part of the government?s 11.5-billion-euro package for the next two years.

The ministry expects to save 2 billion euros in social spending by means-testing benefits and abolishing some, the Athens News Agency said.

The ministry is also examining placing a cap on pensions paid by the state so they do not exceed 2,200 euros a month as well as a 23 percent cut in lump-sum retirement payments, ANA said.

[Bloomberg]