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Παρασκευή, 18 Νοεμβρίου 2016 16:18

IMF insists on liberalization of mass layoffs, monthly minimum wage regime in negotiations with Athens

The IMF’s negotiators in Athens appear adamant over demands that the Greek government abolish a provision preventing mass layoffs in the country without the relevant labor minister’s approval, as well as the legislative setting of the minimum monthly salary level – instead of a collective bargaining framework.

By S. Papapetros

The IMF’s negotiators in Athens appear adamant over demands that the Greek government abolish a provision preventing mass layoffs in the country without the relevant labor minister’s approval, as well as the legislative setting of the minimum monthly salary level – instead of a collective bargaining framework.

Ministry sources, which remained unnamed, merely said European creditors (Commission, ECB, SSM) did not express a position on the two issue during this week’s negotiations in Athens.

Credible sources emphasized that the Greek side is discussion the manner in which a minimum monthly wage will be determined, not the level of remuneration.

What the labor ministry’s leadership wants is a return of unrestricted collective bargaining between employers and unions, a regime that has been abandoned in the wake of the economic crisis in the country.  

Additionally, the Greek side believes the current minimum salary of 510 euros for new employees under the age of 25 should be abolished because it is not compatible with the European social charter. The leftist Greek government’s argument holds that a distinction based on age is incompatible with the EU norm.