The lenders accept that he has saved only half of the 1.8 bn. euro (1% of GDP) from the pension charge for the 2016 and challenge that the project ÎšÎ±Ï„ÏÎ¿ÏÎ³ÎºÎ±Î»Î¿Ï… can ensure the 900 ec. euro left to close the deal.
The cut of supplementary pensions is the most “hot” issue on the agenda as it was found a gap between the two sides with the IMF to insist on extreme positions, such as horizontal cuts from the first euro and the establishment of a system of reductions every year, so as not to produce deficit ( application of clause zero deficit).
The focus is on the amount of the national pension as well as the lenders insist that it should be reduced to 320 euros from 384 and is payable after 20 years of insurance instead of 15.
Alternatively, they asked for 15 years, the national pension is lower and is increased incrementally until the completion of the 20-year-old.
Athens does not withdraw from the 384 euro but shows the flexibility with regard to the increase of the required insurance years to 20 years.
In accordance with the Greek negotiators in this phase, the lenders do not press for the payment of the national pension with income criteria.
A compromise solution will be sought in the reduction of the replacement rates for the low paid with a few years of insurance. So the Greek side will make a step back by reducing their rates of replenishment for insured persons up to 25 years by increasing, respectively, the rates for 25-40 years, in order to ensure greater reciprocity as requested by the lenders.
The quartet has commented that “in the interval between 25 to 35 years of insurance, these rates do not serve the return.” The ministry of labour is prepared to discuss the matter as long as it don’t require additional cuts in the total pension expenditure.
On the table was raised and the issue of “personal dispute” resulting from the ÎµÏ€Î±Î½Î±Î°Ï€Î¿Î»Î¿Î³Î¹ÏƒÎ¼ÏŒ of pensions paid. Mr. Katrougalos claimed that it does not require the application of the “here and now” which would mean a reduction of the main pension, but request additional clarifications regarding the technical part of the ÎµÏ€Î±Î½Î±Î°Ï€Î¿Î»Î¿Î³Î¹ÏƒÎ¼Î¿Ï. However, the representative of the IMF reportedly asked, “how would you keep the personal difference until 2018 if you can’t fund it?” implying that the personal difference of the main pensions should be cut immediately . This means that you will be in a danger zone of about 900,000 pensions that show personal difference of over 20% , with the first in the list of the pensions of the public sector , and the SOES and the TEBE pensions.
In accordance with calculations of strains of insurance the personal difference that occurs in the total of the pensions to the amount of 1 billion . The number one criterion, however, if required the reduction of the main pension will be early retirement . That is , the crosshairs will go first to those who came out retirement with less than 30 years of insurance and with a high replacement rate.
“In the air” remain the discounts proposed by the city of Athens for the contributions of farmers and members of the professions, as well as the quartet ask for more information.
Mr. George Konstantinopoulos – a member of the administration of GSEE/ vice president ÎŸÎ¤ÎŸÎ• criticizes the new whirlwind of reductions, stressing ” In the same project viewers are insured. Government and lenders discuss new populist speeches and getting ready to send the bill to the citizens. The “menu” is not so much the drastic reduction of pensions that would get the younger generations as well as the clipping already paid benefits. The trade union movement has taken a position of battle and the answer will be immediate and dynamic. At the congress, next week will be taken and the final decisions”.