ECONOMY

Gov’t awaits CoS ruling on pension rebates

gov-amp-8217-t-awaits-cos-ruling-on-pension-rebates

The government is nervously awaiting a decision by the Council of State, Greece’s highest administrative court, on whether a 2016 law that drastically reduced pensions is constitutional.

The court has already invalidated parts of the pension reform and a decision could saddle the government with a bill of at least 4 billion euros in rebates to pensioners that could reach as high as 12 billion.

Even in the best scenario for the government, rebates will have to be phased in over a period of at least five years.