Continuous cuts in supplementary pensions, but this is not enough

Alternatives on insurance contributions hike were discussed in the meeting in order to restrict the range of supplementary pensions cuts

The round of talks between the Greek government and the representatives of the institutions concluded early on Tuesday morning without reaching any agreement, but recording some progress on some issues, as the Greek side said.

In a final attempt to reach an agreement on the issue of supplementary pensions, Labour Minister Giorgos Katrougalos arrived in yesterday’s meeting with lenders with a new proposal. According to information, the Greek side accepted 300-350 million euros cuts expecting that lenders would reduce their requirements, too.

During the negotiation talks, 3-4 alternatives on insurance contributions hike were discussed in order to restrict the range of supplementary pensions cuts. The proposals include a slight increase for six years or an increase by one percent for three years.

The Labor Ministry accepts 350 million euro cuts in pensions, considering to secure 250 million euros more from the increase in insurance contributions by one percent and a 100 million euros more from exploiting the property of the single auxiliary fund.