SEV indicates proposals on employment regulation and social protection

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The Federation of Greek Industries has not yet formally submitted its positions relating to the third theme of the ongoing national process of social dialogue - industrial relations and new forms of employment.

The president of the Federation of Greek Industries (SEV) employers' confederation stated on 2 July 1997 that SEV will submit its views on the regulation of forms of employment and social protection once it has studied the Government' s own proposals (GR9707120F). This is the third theme of the continuing process of social dialogue, initiated by the Government earlier in the year (GR9704112N). However, SEV released a text covering 20 out of the 60 points which had been widely reported in the press in May 1995, and which set out SEV's general views and targets on employment and unemployment, but not its official positions relating to the social dialogue.

SEV would like to reduce unit labour costs to promote more employment. To accomplish this, it is proposing pay reductions for those working in industrial regions in decline, below the rates established in the relevant collective agreements. SEV also proposes a two-year tax exemption for new entrants into an industry and reductions in employer contributions in the event of insolvency and for staff undergoing military service.

The employers' confederation places great emphasis on dismissals. It is seeking to reduce the severance pay for white-collar workers to the equivalent amount for blue-collar workers. The employers also advocate the right to seek dismissals without previous authorisation from the Prefect or the Minister of Labour. They also propose increasing the duration of the period of lay-off from three months to six months over a 12-month period, and increasing the number of permissible collective redundancies to five within any one calendar month, in the case of enterprises with up to 250 employees.

Another important issue for SEV is the adjustment of working time patterns, whereby working hours can be averaged out on an annual basis.

Employers' priorities appear to centre on restricting trade union rights and restricting the scope of collective agreements. SEV proposes abolition of the right of trade unions to have unilateral recourse to arbitration. It also proposes less time off for training in union affairs and seeks to restrict the extension procedure for collective agreements, so that extension may take place only when 60% of employees in the industry or occupation are already covered by the agreement (the current figure is 51%).

The text that SEV has released to the press also includes some proposals relating to the management of unemployment. SEV advocates the establishment of a dual system to subsidise unemployed people. This will include the principal benefit, to be paid by the Labour Force Employment Organisation (OAED) for six months, and the supplementary benefit, which, paid by the state, will be very low but last much longer. It also suggests the creation of private employment agencies to subsidise the recruitment of employees by non profit-making organisations in "socially useful" jobs.