STRIKES AGAINST PENSION REFORM INTENSIFY

UNCLAS ATHENS 000325

SIPDIS

SIPDIS

E.O. 12958: N/A
TAGS: PGOV ELAB SOCI ENRG ECON GR
SUBJECT: STRIKES AGAINST PENSION REFORM INTENSIFY



1. Strikes in Greece continue as the government tables in
Parliament this week its plan to reform Greece's debt-ridden
pension system. The plan aims to reduce Greece's 133
pension, health, and retirement funds for private sector
workers to just 13 umbrella funds. It will also effectively
raise the retirement age for women and use incentives and
disincentives to keep employees working longer. GSSE,
Greece's powerful private sector umbrella union, has called
another nationwide strike for Thursday, March 13. This
strike follows a rash of walkouts in the past few weeks in
both the public and private sector. It is the third general
strike that has been held on this issue. The first was on
December 12 and the second on February 13.


2. On March 3, 2,500 employees at the Bank of Greece held a
walkout and have not returned to work, to wide-ranging
effect. The Athens Stock Exchange, which trades an average
of more than 400 million Euros daily, is closed for the
second day in a row due to the bank strikes. The bond market
is also closed. Workers at the country's dominant public
utility are staging the second of four rolling 24-hour
strikes over the pension reforms, and blackouts have already
begun in certain areas after production was suspended in 19
power plants. The power cuts, lasting up to four hours at a
time, are occurring because electricity imports are
insufficient to make up for the shortfall caused by the plant
closures. Union heads said the closures will continue until
March 12. The Athens subway has issued work stoppages twice
in the past week and municipal workers have scheduled a
strike for March 8.
SPECKHARD