Pressurised by strong social reactions and fearing the political cost successive Greek governments kicked the can down the road and avoided grappling with insurance reform.
Experts doubt whether the feasibility study on insurance system reform presents credible projections and guarantees regarding the viability of the system.
Can citizens work until age 70 to support themselves? Can people at this age participate in the production process as if they were 10 or twenty years younger?
Experience has shown that taboos lead to very bad results. The reform of the insurance system attempted by the Simitis government in the nineties was rejected by very large social protests.
The country needs a viable insurance system, and the government must swiftly address the issue,
There is nothing secret under the sun. The unveiling of liberal populism that exists within the ruling party formally occurred in Parliament.
The previous government essentially circumvented the law through a simple encyclical, an internal document, which benefits only some pensioners.
The demographic problem is vital and existential, as the population is shrinking every year and half the population, the workforce, must support the other half, which is comprised of retirees.
Moscovici also underlined that he backs Athens’ decision not to cut pensions, as that would be a painful measure that would reduce the income of 1.4mn citizens by 14 percent.