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Gloomy future for social security

Gloomy future for social security

Challenges in Greece’s Social Security System

For years now, Greece’s social security framework has found itself stuck in a sort of “gray area.” Laws are enacted, directives are issued, and court rulings are made, but, somehow, none of these ever fully translate into action.

This situation has led to a myriad of issues that create confusion, widen the gap between different social classes, and could eventually lead to a complete financial breakdown of the system.

A compilation by Kathimerini reveals numerous troubling cases that illustrate this predicament. The system still relies on old laws and outdated court decisions, making it quite unstable.

Take, for instance, the survivor’s pension law; it says that three years after the death of the insured, the surviving spouse’s pension must drop by 50% if they are working or receiving their own pension. But this rarely affects the private sector, leading to two groups of pensioners: those who keep their full pension and those who see theirs reduced.

A similar issue arises with farmers who are drawing both old-age and survivor pensions.

Additionally, the matter of double national pensions for retirees who collect both their own and a survivor pension is awaiting a decision from the State Council.

The court’s decisions are only adding to the tension. The Court of Audit has ruled that judicial officers should receive pensions that are no less than 60% of their present salaries and condemned the solidarity tax for 2017 and 2018 as unconstitutional, which might lead to refunds.

There are significant delays concerning disability pensions as well. Similar challenges exist in fundamental regulations like Sickness Benefit Regulations and Insurance Regulations for Employees and the Self-Employed.

In terms of labor insurance, there are pending announcements regarding reforms to the social security subsidy fund. Furthermore, the issue surrounding farmers’ work permits recently raised concerns about abrupt alterations in legal interpretations.

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