Pension fund workers stand behind reforms proposed by State
Social security workers yesterday lent support to the government’s recently unveiled proposals for reforming the sector. «The system will not suddenly become generous, but we are gradually converting to a unified scheme which has socially fair characteristics, blunting – as it does – and in many cases abolishing, present injustices which could not be maintained,» said Giorgos Koutroumanis, chairman of the Federation of Social Policy Organizations’ Personnel (POPOKP). He said that, as regards the level of pensions and qualifications for them, the government’s scheme is heading in a socially acceptable direction, noting that out of 2.40 million working people today, 1.35 million (56 to 58 percent) will retire on better terms than the present ones. A further 40 to 42 percent will not be affected and only 25,000 to 30,000, or less than 1.5 percent of the total, will be adversely affected. He estimated that the latter, mainly employed in public utilities and banks, would suffer a reduction in pensions of up to 9.5 percent. Those first insured after 1992 will receive pensions between 17 and 71-percent higher than under the present system, while mothers of underage children could receive up to 43 percent more. Koutroumanis said three conditions were necessary for the system to remain viable: These include effective measures against evasion of social security contributions, the modernization of funds and health care reform – the «sick man» phenomenon responsible for a drain on resources. General Confederation of Greek Workers (GSEE) Chairman Christos Polyzogopoulos said the government’s proposals were a good basis for reform and that, apart from the basic struggles, the trade union movement also needed to capitalize on successes. Labor and Social Security Minister Dimitris Reppas said the government aimed at a gradual and smooth transition to a unified system through consensus and securing the necessary funding. Consumer prices rose 1.2 percent last month, well below a market expectation of around 2 percent, pulling the year-on-year rise down to 65.1 percent from 73.1 in February.
