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In Greece, the Prime Minister increases the minimum wage and pensions to tackle inflation

“Our goal is for Greece to recover the ground lost during the Memorandum era by 2027. (austerity plans during the financial crisis from 2010 to 2018)and that the next generation can live better than the previous one”said Greek Prime Minister Kyriakos Mitsotakis on Saturday, September 7, from the podium of the Thessaloniki International Fair.

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Although Greece is no longer in the eye of the storm and the country has returned to growth (2% in 2023, a rate higher than most other countries in the European Union), Greek households are still struggling to make ends meet due to inflation.

In August, the price increase in Greece was still 3.1%, compared with the 2.2% average in the euro area, according to Eurostat. And even though the conservative government has already raised the minimum wage from 780 euros to 830 euros gross and taken some measures to combat rising energy prices, real household incomes have not changed. According to data from the Greek Ministry of Labour, 53% of private sector employees still earn less than 1,000 euros per month. According to Eurostat, the real income of Greeks is still, on average, 28% lower than in 2010.

Bonuses for doctors

Faced with this observation, and after less encouraging than expected results in the last European elections on June 9, the conservative leader announced a series of measures aimed at boosting purchasing power. at 1Ahem In January 2025, around 2 million pensions will be increased by almost 2.5% to take account of inflation. In April 2025, the minimum wage will be re-evaluated, with the aim of reaching 950 euros gross in 2027, i.e. at the end of the conservative government’s term. At the same time, Kyriakos Mitsotakis decided to reduce social security contributions by 1%, a measure welcomed by employers.

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The government’s other priority is to improve the state of the public health system, which has deteriorated significantly during the economic crisis. Bonuses will be paid to doctors who agree to work in isolated areas, especially on islands. The Prime Minister also promised that new health centres will be built and additional surgical blocks will be put into operation in hospitals to avoid patients waiting months before being treated.

With only 73,000 births expected in 2023, a figure that continues to fall, Greece is facing a serious demographic crisis. Between 2011 and 2021, the population has already decreased by 3%. After increasing the birth bonus last year, the government has already increased the number of births.

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Anthony Robbins
Anthony Robbins
Anthony Robbins is a tech-savvy blogger and digital influencer known for breaking down complex technology trends and innovations into accessible insights.
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