The restructuring events database contains factsheets with data on large-scale restructuring events reported in the principal national media and company websites in each EU Member State. This database was created in 2002.
Public Administration And Defence Public Administration And Defence; Compulsory Social Security Administration Of The State And The Economic And Social Policy Of The Community 84.11 - General public administration activities
2,000 - 27,000 jobs Number of planned job losses
Announcement Date
25 October 2012
Employment effect (start)
1 December 2012
Foreseen end date
31 December 2013
Description
At least 2,000 civil servants in Greece will be put on one-year notice of dismissal with reduced wages by the end of 2012 and 25,000 more by the end of 2013.
According to the terms of the memorandum set by Greece’s lenders (IMF, ECB, EU) 15,000 civil servants were meant to be made redundant in 2012. However, the Administrative Reform Minister, who has been openly opposed to Troika’s requests for mass dismissals, presented a Mobility plan (October 25th, 2012) to Greece’s lenders. According to the plan, the public sector workforce will be initially reduced by ‘reassigning’ 2000 employees by the end of 2012 to a 12 month ‘standby’ scheme with reduced salaries, starting with those who have breached the Civil Service Code of conduct.
What it essentially means, is that although the Government is reluctant to use the term ‘dismissal’ to describe the redundancies, approximately 27,000 civil servants will be given 1-year notice, during which they will receive 75% of their wages and will then be permanently dismissed.
Those most likely to be made redundant are the civil servants accused of disciplinary offences, those on unauthorized absence from their duties, and those whose position will be made redundant after the closure and merger of various public sector entities and bodies. Those who will refuse proposed relocation will also be dismissed. The plan excludes civil servants working in hospitals, welfare services, historical and cultural sites, and the public employment service.
Currently, two out of the three Coalition Government parties (namely PASOK and DI.MAR) object to mass dismissals in the public sector as well as to further labour reforms that would cut wages, reduce severance payments and axe automatic wage raise.
According to the terms of the memorandum, public sector workforce is meant to be reduced by 150,000 by the end of 2015. Apart from the 5000 employees that will be made redundant per trimester, the rest are expected to leave the workforce through natural attrition.
Sources
25 October 2012: To Vima
27 October 2012: Kathimerini
26 October 2012: Imerisia
Citation
Eurofound (2012), Public Sector, Internal restructuring in Greece, factsheet number 74395, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/74395.
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