Athens News Agency: News in English, 08-02-15

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From: The Athens News Agency at <http://www.ana.gr/>

CONTENTS

[01] PM reaffirms volition to implement pension reforms

[02] PASOK criticises gov't over social security

[03] Athens hill lights off

[01] PM reaffirms volition to implement pension reforms

At the same time, he announced that funding of a newly instituted "social security solidarity account" would come from 10 percent of the total annual revenues from the privatisation of public utilities and various state-owned enterprises and organisations (known by the Greek acronym "DEKO"), 4 percent of the annual VAT revenues, and 10 percent of monies collected by social security agencies from social resources.

Stressing that the above funding would be forthcoming from social resources and not social security funds' reserves, Karamanlis said "it is the minimum contribution to the weaker members of the (social security) system and the young generation", and "a fundamental expression of social solidarity".

Outlining the government's proposals for resolving problems faced by Greece's social security system, Karamanlis said relevant decisions "exceed the boundaries of the governmental term in office", and that the goal of the bill on reforming the system that will be tabled in parliament is to set immediately into motion the necessary and urgent changes.

"It is our obligation to not allow the conservatism of the few to become a dam to the interests of the many," Karamanlis said, adding that his government's choice was to build an increasingly just system that will not be at risk of collapse, that will not impose on some others in the near future to cut back benefits from the many, nor to detract services from the young generation.

"The strategy of reforms cannot be disrupted, suspended or stopped," he said.

Karamanlis said the reform strategy, for his government, was non-negotiable, and that he would not compromise with the reactionism of the few and "accommodated", nor would he allow the interest of the many to be sacrificed to petty-partisan or guild-mentality expediencies.

"We will not overlook the risks that young people will be called on to face in a few years' time, if we do not take measures immediately," he stressed.

Criticising the opposition and certain social agencies, Karamanlis said the deliberate downgrading of existing problems was a "hypocritical attitude", that inertia was, in essence, shirking one's responsibility, and that reaction to necessary reforms was a choice of social indifference, stressing that "we will not become party to that".

He further stressed that no transient political cost could take precedence over or outweigh the cost that society will pay if weaknesses of the social security system are not tackled immediately.

"I am determined to carry on, at any cost necessary, on the road that guarantees security and certainty for the many; on the road that leads to a more cohesive and more just society, the road that the youth deserve, the road that we agreed on with the citizens," Karamanlis said, adding that reform was an imperative obligation and need arising from the reality of the past and the forecasts on the demographic challenges.

The prime minister further said a fundamental priority of his government was the responsible confrontation of the multi-fragmented state of the social security system, with its 155 social security funds, overseen by five different ministries. "In a healthy, redistributed system, the ratio of working people and pensioners will be 4:1, against the current ratio of 1.75:1," he explained.

Karamanlis also assured that the primary parameters of the social security system would not be changed

"The general retirement ages are not being increased. Contributions will not increase. Pensions will not be reduced. Matured pension rights will not be touched in any instance. Most of the changes will commence after long transition periods, to be completed gradually over a lengthy period of time".

"It is our duty to dare, to agree, to carry out the reforms, in a moderate and just manner, for the interests of the many," the prime minister said, stressing that the social security reforms were society's demand but also the obligation of all the political forces and agencies, "a duty to the many, to the financially weaker, to the youth and, in the bottom line, to the country".

Caption: ANA-MPA file photo of Greek PM Costas Karamanlis.

[02] PASOK criticises gov't over social security

Papandreou also presented proposals for what he called a "redistribution of the income ... similar to that made by (late PASOK founder and former prime minister) Andreas Papandreou in 1981, but adapted to present-day conditions," while also proposing social security for housewives, announcing that his party will have drafted by June a "government platform" on the social security system, "which will become a law of the state when PASOK assumes governance".

He also criticised Prime Minister Costas Karamanlis of "discovering the social security problem four years later", charging that the government was not seeking solutions but, rather, agonizingly attempting to change the political agenda, "to sweep under the rug the corruption scandals it produces itself and which are rocking the public opinion".

Papandreou said that the government's credibility was at a nadir, following the structured bonds affair, and as such was unable to formulate a proposal on the social security system that would meet with consensus on the part of the social partners.

The government's main aspiration was to create and consolidate a "picture of collapse of the social security system" so that it could "act arbitrarily and unhindered, as it did with the Public Power Corporation (PPC) and the Hellenic Telecommunications Organisation (OTE)".

In reality, however, "as ascertained by the International Labour Organisation (ILO)", and existing legislation, "if enforced, suffices to support the system up until 2030".

"The elimination of tax-evasion and contribution-evasion is capable of also financing measures that reflect PASOK's philosophy on the need for a new redistribution of income," Papandreou added.

He said that the past PASOK government had been accused of "giving too much to the working people and burdening the system".

"We did not give too much, but that which the social security system could withstand, with seriousness and credibility," Papandreou said.

"Since 1981, we converted into substantial pensions the benefits that your (New Democracy) governments had been giving as assistance up to them. We applied, for the first time, the trilateral financing of the (social security) finds. We gave a pension to the uninsured, the woman farmer, to individuals with a disability. We converted the OGA (farmers' pension fund) into a main social security fund with state financing. We did not reduce the supplementary pension, as your laws provide," Papandreou said.

Criticising the prime minister's statements earlier in the discussion, Papandreou called them "small repairs, with the (next) elections as the cut-off date", and calculated that the "dramatic decrease in the pensions for thousands of workers" will benefit the Social Security Foundation (IKA), after 10-15 years from now, "only 80 million euros annually", which was "much less than what should be rebated to IKA every year by the pharmaceutical companies, much less than the contribution-evasion at IKA's expense by 2-3 large business enterprises, much less than the losses from the structured bonds".

Today, he said, it was both feasible and necessary to establish a single agency responsible for certifying and collecting social security contributions, to develop a permanent system of payment of obligations to the social security funds, and to institute initiatives to companies to be up-to-date and on time with their payment of taxes, so as to enable the pensioning of farmers with 37 years of work, regardless of age, and early retirement at 60, raising the farmers' pension to 550 euros per month (950 euros for the couple), and other such measures, including a pension for the housewife, under the same economic criteria.

Caption: Main opposition PASOK leader George Papandreou on Fri.15 Feb.2008 in parliament ANA-MPA/MARIA MAROGIANNI

[03] Athens hill lights off

Athens Mayor Kaklamanis has ordered lights at city hall and Lycabettus Hill switched off on Friday at 7 p.m. for 10 minutes, part of a European energy conservation initiative.

The city of Athens is participating in an initiative of Italian radio broadcaster RAI Radio 2, known as ?Lower the Lights?, and introduced by the stationās "Caterpillar programme".

The aim of the initiative is to conserve energy on Feb. 15, on the eve of the date the Kyoto Protocol came into effect, as well as to raise environmental awareness.

Athens joins other European cities participating in the campaign, which is being held under the auspices of the European Parliament. Lights at the Colosseum, Fontana di Trevi, the Pantheon, the fa?ade of the Italian parliament as well as the senate buildings, London's foreign office, the Edinburgh Castle and the Eiffel Towel will also be switched off in a symbolic gesture.

Caption: ANA-MPA file photo of Lycabettus Hill in Athens

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