Tuesday, June 29, 2010

Greek Unions Strike Over Pension, Labor Reforms

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By Alkman Granitsas

Dow Jones Newswires

ATHENS -(Dow Jones)- Public services were disrupted across Greece Tuesday as the country's two major unions staged a 24-hour strike ahead of a key debate in parliament over proposed pension and labor reforms.

The strike, by private sector umbrella union GSEE and its public sector counterpart ADEDY, is the latest general strike called by the two unions this year as the government moves to implement tough austerity and reform measures.

The reforms are part of a three-year austerity program being undertaken by the Greek government in exchange for an EUR110 billion bailout package agreed last month with the European Union, the European Central Bank and the International Monetary Fund.

But the move to reform Greece's pension and labor laws in particular is seen as a major test for the ruling Socialist party which is facing discontent in its own ranks as well as the resistance of the unions. Later Tuesday, the Greek parliament will begin debate on the reforms which includes measures to raise retirement ages, cut pension benefits, lower minimum wages and make it easier for employers to lay off workers.

"GSEE and ADEDY say no to the unjust, harsh, anti-social, pension reforms," GSEE said in a statement. "The workers and the community demand the strengthening, and not the weakening, of their social, pension, economic and labor rights."

Local and central government offices were closed, while hospitals, ambulance services and state-owned companies were operating with skeleton staff. Local transport in the capital, Athens, was disrupted by a series of work stoppages in public transport, while rail services around the country were suspended.

Dozens of domestic flights were canceled as air traffic controllers at smaller, local airports walked off the job, but international flights into and out of Athens were not affected. Greek journalists were also taking part in the strike, with regular morning news shows replaced by alternative programs.

The Communist-affiliated dock workers also said they would disrupt ferry services Tuesday, even though their protest has been ruled illegal by a local court.

The two umbrella unions are scheduled to hold a rally in central Athens at 0800 GMT, while the Communist-backed PAME union will hold a separate protest at the same time.

Previous protests in Greece have been marred by violence, most recently on May 5, when a group of anarchist youth rampaged through central Athens setting fire to a local bank branch and killing three workers.

Union Web sites: www.gsee.gr; www.adedy.gr

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