They never run out of ideas. Did you know, there is a “single minimum wage system” foreseeing that an employee receives the same wage in the entire working life? I didn’t. But the International Monetary Fund did. Or it may have neoliberally invented it. I don’t know and I am very curious to know.
According to this system, employees in the private sector will receive the same “net salary” (without allowances and increases) during the entire working life, i.e. during entrance to labor market and exit for retirement.
According to this logic, the employee will receive a basic salary -maybe in the level of the “minimum wage” all though his working life!
This system that crashes hard-earned labor rights and make a living impossible is part of the long list of creditors’ demands to Greece that have to be fulfilled for the second Program Review in October. What if the IMF has not decided yet if it will participate in the program or not. It has a counseling role, the labor reforms clearly bear the signature and the mentality of the IMF austerity and “competitiveness” concept and some of the ‘reforms’ have been already voted by the New Democracy-PASOK government in 2013! But the upcoming law has also hinds towards Germany and Berlin.
In the sense of creditors and the IMF, Labor Reforms mean wages decreases, abolishing of allowance and collective bargain agreements.
Abolishing the 13th and 14th salary (Christmas, Easter and Vacation bonus)
Further decrease of the minimum wage as of 1.1.2017 – currently minimum wage is €586 gross/month and €510 for those below 25. Until 2011, it was 200 euro more.
Abolishing all increments and bonuses: a fixed minimum wage with no other increase except the regular increase due to working experience (such increases normally occur every 3 years). In the provisions of the MoU 4309/2012, such increases due to working experience have been frozen until unemployment reaches 10% – it is currently at 24.5% average. Now the lenders wants to scarp all increases due to working experience.
“Single Minimum wage system” – as posted above
Minimum wage can be set outside the collective bargains with individual work contracts – this has been provided already with article 103 of Law 4172/2013! Private sector union GSEE has not agreed to that.
Mass lay-offs without limit and without administrative veto.
Generalized Flexibility and Flexicurity in the labor market with the establishment and expansion of all the “new” forms of “micro-job” (cheap and unprotected labor), such as:
a.Mini jobs, Midjobs, mini geld [hey! that’s German!], labor franchising, teleworking.
b. ‘Zero Hour contracts”or “Emergency Contracts”
c. “Low Hour Contracts” – just for a few hours.
d. “On-Call Contracts”
e. “White Contracts
Abolishing of unionists’ rights
A new institutional framework for strikes
source: ENYPEKK – Union for the labor rights and the social state. Chairman is Alexis Mitropoulos labor right lawyer and a former deputy parliament speaker, SYRIZA MP.
So far, only the issue of the 13th and 14th salary has been leaked to the press and Labor Minister Giorgos Katrougalos has been insisting that there would be no abolishment.
The public debate is going to be very interesting.
PS Interesting. This mini jobs, mini geld (1 euro jobs) are soooo German model. The only problem in Greece is that we do not have the German Hartz concept (since 2002), HARTZ-IV incl, that supports long-term unemployed and gives and the welfare benefits. The level for a single person state assistance has been raised to €391 in 2013 plus financial assistance with housing and health care, and extra benefits for couples and children. I suppose, the Hartz concept came info effect as a safety net for the people hit by the strict austerity measures imposed in the 90’s because of the reunification.But I see, hear and read no future provision for a Greek Hartz Concept here.