Pension reform talks to open early
The government’s intention to reactivate the group of experts formed for the reform of the country’s social insurance system and the awaited completion next week of a study assigned by the group to the International Labor Office signal the commencement of the process of public dialogue on the issue. The prospect of immediate efforts to tackle what is perhaps the government’s hottest potato is also favored by the good relationship between Employment Minister Vassilis Magginas and the president of the General Confederation of Greek Labor (GSEE), Yiannis Panagopoulos – which appears to be irking the head of the GSEE faction affiliated to the ruling party, Costas Poupakis. Moreover, the government appears set on lowering its goals for the planned reform. As a result, it is considered likely that the process may begin with a very broad agenda and without a tight schedule. Undoubtedly, the government can afford no more tactical mistakes, and can therefore not ignore the condition set by GSEE for participating in the dialogue in this phase, namely that the agenda be known in advance. «We cannot enter the discussion without knowing in advance which issues we shall be discussing and how far the government wants to go,» Panagopoulos told Kathimerini. It is worth noting, however, that the prospects were equally propitious last year too, before the group of experts, headed by the president of the consultative Economic and Social Committee (OKE), Nikos Analytis, started its deliberations. At the time, Economy and Finance Minister Giorgos Alogoskoufis was said to have reached a good understanding with then GSEE President Christos Polyzogopoulos, with both agreeing that the dialogue should begin on the basis of a number of questions set by GSEE. However, relations soured later and the dialogue never got under way. This time, responsibility for launching and conducting the dialogue rests with the Employment and Social Security Ministry. The process will be open, in the sense that participants will be under no restrictions to make their views known. The content of the dialogue will depend on the potentiality for the convergence of views. It remains unclear whether Analytis’s involvement will be sought but this is expected to be clarified next week. Pressing problems The Employment Ministry is facing several serious problems in the day-to-day running of pension funds. For a start, OAEE, the fund that insures the self-employed, must begin to tackle deficits which make the disbursement of pensions particularly difficult. The ministry must also make preparations for the integration of several small funds into the Social Security Foundation (IKA), the country’s largest, while the issue of which occupations are deemed to be hazardous is again expected to be the subject of dialogue.
