No-limit wage cuts in business contracts!

The Troika is showing its ugliest face on the issue of wages, and the developments of these past few hours are proving to be dramatic for the salaried.

This is because in business contracts, which will not only overtake sectoral ones but also increase exponentially, there will be not a percentage cap on wage cuts but only the minimum wage of 740 euros that will serve as the lowest marker!

And the -12% that was discussed between employers and the president of GSEE seems heavenly now in the face of a possible reduction to minimum wage level in a problematic company or one away from the sectoral organization.

For example, if the hotel businesses leave SEB, which is quite possible, a waiter with many years of service and a salary of 1500 euros might drop to 740 and thus see his earnings cut in half!

This development is a phenomenal labor Waterloo and the only hope for the workers is for their employers not to adjust to a similar mode.

As for the procedure, the contracts will be signed by the business union. If the business employs less than 50 persons or there is no union, the negotiations will be undertaken by the sectoral union.

The business contract will be implemented at 1+1 year, during which the workers’ numbers will remain unchanged, which means that if one is laid off, another must be hired. Compensation will be paid based on the former rather than the “clipped salary”.

Minister of Labor Louka Katseli, informed the President of Democracy this morning, and asked the social partners to support this, expressing confidence in the contracts and saying that the negotiations are on a good level.

According to circles in the ministry of Labor, the Troika will approve the burning issue of the contract extension to all the workers of the sector even if they’re not represented by a union, except for the companies that have a special conditions contract.

As concerns the signing of business contracts, no specific justification is needed that will be based on the economic data of the company. The contract will be submitted for the consideration of the Board for Social Control of the Labor Inspectorate, which will be of advisory but not executive nature. This means it will not be able to reject the deal.

Likewise, the time for the applicability of job rotation is increased from 6 to 9 months, while the 10% increment for overtime work in a part-time job is removed.