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TEF speech: Salaries and pensions in the center of interest

Editorial team
22 Aug, 2022
TEF speech

jcomp, Image license by freepik.com

As every year at the exhibition in Thessaloniki, the prime minister announces the measures that will follow. This is how the speech will be this year TIF of Kyriakos Mitsotakis, has a specific agenda.

News increase in the minimum wage at the beginning of 2023 in order to be formed above 751 euros, an increase in pensions of around 6%, the abolition of the solidarity levy and a "political solution" to the issue of pensioners' retrospectives includes the government package of measures which will be announced by the prime minister Kyriakos Mitsotakis at the opening of the International Exhibition of Thessaloniki.

The pay, pension and benefits adjustment cycle has opened – in tandem – with the election cycle, with government references to pay and pension increases in the coming period intensifying.

Announcements for a new increase in the minimum at the beginning of 2023, for increases in pensions after 13 years and for the abolition of the solidarity contribution in pensions and in the public sector are expected to have a primary place in the announcements of the TIF.

Recently, after all, with the increase in the minimum wage, Mr. Mitsotakis had declared that "it is the time of the workers", leaving open the possibility that a new increase will follow at the beginning of 2023. Furthermore, in the previous days, addressing businessmen of tourism, urged for "better wages and working conditions" in order to find the right staff.

The new increase in the minimum wage at the beginning of 2023 has been announced by the Minister of Labor, saying that such a thing is foreseen in the relevant law, while the assessment of the president of GSEE G. Panagopoulos is of particular importance, who recently stated that "the government is flirting with idea to go to the elections having restored minimum wages to pre-crisis levels".

Restoring the floor to 751 euros from the beginning of 2023 is possible as it is now at 713 euros, i.e. at a distance that can be covered by the next increase.

The trajectory of improving pay and the return of increases in wages and pensions will continue in 2023 to provide the key 'antidote' to the escalating escalation of punctuality.

However, at the beginning of the year, when the process of increasing the minimum wage will start - again - there is a provision for increases in pensions as well, thus closing a contraction cycle of at least thirteen years.

"Next year's new support measures will also concern pensioners and will include the abolition of the solidarity levy as well as the increase of pensions in accordance with the provisions of the existing legislation" the Minister of Labor recently stated while speaking at the annual conference of the Hellenic-American Chamber of Commerce.

From January 1, there will be increases in the total amount of the pension, equal to 50% of the change in GDP plus 50% of the change in the Consumer Price Index (price index). This means that if GDP increases by 4% and CPI increases by 6%, then the increase in pensions will be 5% (2% + 3%).

Beneficiaries of the increase will be all 2,6 million pensioners, however some of them – not a few – will not see this increase in the final amount of their pension. Pension increases will be received by those who do not have a personal difference. The rest will offset their personal difference with the amount of the increase.

In addition to the increases, the government is also considering the issue of granting retroactive benefits to all pensioners, which remains open, despite the financial difficulties of this project.

A few days ago, Prime Minister K. Mitsotakis left the window open for the extension of retroactive benefits - or part of them - to all pensioners.

Speaking to a radio station, he did not rule out the possibility of "giving all pensioners a part of retroactive payments in installments". He even noted that there is no "financial possibility", but a solution is being sought to grant them in installments. He even added that he will make relevant announcements in Thessaloniki, implying the opening of the International Exhibition.

In other words, the Prime Minister described the government's concerns about dealing with the issue and left open the possibility of a political solution, with which part of the retroactive payments will be given in installments to all pensioners.

 

 

Source https://in.gr  / photo jcomp, Image license by freepik.com 

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