Draft bill aimed at social security reform towards a more reciprocal system tabled in Greek Parliament
The target, as billed by the center-right government, is to raise supplementary pensions for current wage-earners when they retire, but without affecting older wage-earners and current pensioners.
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A draft bill featuring social security system reforms, especially for younger wage-earners and working people, was tabled in parliament on Friday by the government, with the draft legislation up for ratification after the August recess.
In again burnishing its liberal credentials, the Mitsotakis government features attributes found in other European countries’ pension systems, and is aimed at making the country’s social security system more “reciprocal” instead of heavy on “redistribution”.
The target, as billed by the center-right government, is to raise supplementary pensions for current wage-earners when they retire, but without affecting older wage-earners and current pensioners.
In promoting elements of a personal capitalization model for those wage-earners and self-employed professionals under the age of 35, the government is implementing one of its pre-election pledges. Opposition to the reforms by the leftist parties in Parliament is expected to be intense.
A portion of contributions of a beneficiary, under the plan, will not be funneled into one “purse”, but will be deemed as a personal “nest egg”, which is guaranteed and can be invested.
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