NEWS

Merger of state-run bodies gets under way

Twelve public bodies are to be merged, according to plans agreed upon by government officials, as part of a bid to tackle inefficiency and cut costs in the civil service. In a meeting chaired by Deputy Prime Minister Theodoros Pangalos, officials from several ministries agreed that a range of public organizations should be merged. It was decided, for example, that the National School of Public Administration and the National School of Local Administration should be merged into one. The officials also agreed to merge the Manpower Organization (OAED), the OEK social housing organization and another research body that falls under the auspices of the Labor Ministry. This decision proved the most controversial of all as it means OEK will, at least for the time being, stop building homes for the poor. «The social security contributions of employers and employees as well as basic social housing rights cannot be used to cover up for mismanagement and the inadequacy of the government’s measures,» said New Democracy deputy Yiannis Vroutsis. «OEK is an agent of economic growth and social support for Greek families. It should not be scrapped.» The Communist Party (KKE) said that the decision was «unethical.» «This is a fatal blow to any traces that were left of the government’s social policy,» said Coalition of the Radical Left (SYRIZA) deputy Panayiotis Lafazanis. Sources said that yesterday’s decision, which still has to be passed into law, is just the start of efforts to streamline the broader public sector. It is thought that the government is eyeing another 45 public organizations for possible mergers.

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