Social security riddled with holes
The negative demographic trends are not the only threat to Greece’s pension funds, as further problems have emerged over the past few years. The funds’ medical spending is soaring at an alarming rate: It doubled in the last four years, while over the same period the lowest pension rose by a meager 17.7 percent. That increase is not a result of Greeks’ legendary pill popping. Greece’s per capita spending on drugs stands at 60 percent of the EU average. Experts warn that things will get worse unless immediate action is taken. The use of a prescribed drugs list solved many of the problems. The practice whereby drug companies change the labels in order to sell the same products at higher prices must stop. The overprescription of drugs must also be brought under control. Administrative costs must be trimmed. It’s time Greece’s political parties took a serious look at the social security issue.
