Chart of the day: Greek working class miseries


From the Hellenic Statistical Authority, the grim nrews about paychecks yunder the reign of the Austerians:

Kathermini adds some detail:

More than half of private sector employees in Greece are paid less than 800 euros per month, compared with just 11 percent in the public sector, while the real unemployment rate is more than 30 percent, the country’s biggest union claimed in its annual report published on Monday.

The Labor Institute of the General Confederation of Greek Labor (INE-GSEE) noted in its 2016 report on the Greek economy that crisis-induced inequalities among different groups of workers and the decimation of the labor market have had a negative impact on productivity. The increase in labor market flexibility last year translated into 51.6 percent of private sector salary workers receiving less than 800 euros per month at the same time as half of all civil servants were being paid more than 1,000 euros per month.

After processing the salary data in the private sector, INE-GSEE found that net pay was up to 499 euros per months for 15.2 percent of workers, between 500 and 699 euros for 23.6 percent, and 700 and 799 euros per month for 12.8 percent. Just over one in six (17.3 percent) received between 800 and 999 euros. Meanwhile, 38.5 percent of civil servants had net earnings of between 1,000 and 1,299 euros and 15.7 percent collected more than 1,300 euros per month.

The large decline in private sector salaries and the fact that the institute’s economists estimate that the unemployment rate is much higher than the official 23.1 percent are particularly ominous developments which could erode social cohesion and lead large parts of the population into poverty.

The report highlights the increase in the rate of households unable to cover some of their basic needs from 28.2 percent in 2010 to 53.4 percent in 2015. This is due to the major decline in disposable income and the drop in savings. A rise was also noted in the rate of households delaying loan and rent payments (from 10.2 percent in 2010 to 14.3 percent in 2015). Worse, households’ inability (or unwillingness) to pay utility bills soared from 18.8 percent in 2010 to 42 percent five years later.

Life is bitter under the dominion of the Troikarchs

The Wall Street Crash that triggered the Great Recession was followed immediately by the decisions of governments, central banksters, and the money lords of the International Monetary Fund to bail out the banks, and not the lenders.

Those decisions weighed hardest on indebted nations, and proved especially onerous in Southern Europe, where reckless lending by German and other banks had undergirded economic expansion during the boom.

To ensure repayment, the European Central Bank, European Commission, and the International Monetary Fund mandated ongoing wage cuts, pension and healthcare benefit reductions, new taxes, and sellff of large sectors of public infrastructure and resources, most notably in Greece.

The measures have brought no real relief, and Greeks are continuing to pay a high price.

Woman workers hit especially hard

From Kathimerini again:

Women, especially young women, have been hit particularly hard by Greece’s economic crisis, Labor and Social Insurance Minister Effie Achtsioglou told the Parliament in Athens on Wednesday on the occasion of International Women’s Day.

Of all the registered unemployed in Greece, 61 percent are women, Achtsioglou said, noting that although joblessness has dropped 3 percentage points over the past two years of the SYRIZA-Independent Greeks coalition, more needs to be done to curb unemployment generally, and in particular among women.

Cuts in social welfare spending over the years have fallen most heavily on the shoulders of women, Achtsioglou said, adding that the current government remains determined to ease austerity as soon as possible.

And a foreclosure epidemic rocks the nation

Because of lost jobs and smaller paychecks, many Greeks are faced with a hard choice.

From Kathimerini again:

The austerity measures introduced by the government are forcing thousands of taxpayers to hand over inherited property to the state as they are unable to cover the taxation it would entail. The number of state properties grew further last year due to thousands of confiscations that reached a new high.

According to data presented recently by Alpha Astika Akinita, real estate confiscations increased by 73 percent last year from 2015, reaching up to 10,500 properties.

The fate of those properties remains unknown as the state’s auction programs are fairly limited. For instance, one auction program for 24 properties is currently ongoing. The precise number of properties that the state has amassed is unknown, though it is certain they are depreciating by the day, which will make finding buyers more difficult.

Financial hardship has forced many Greeks to concede their real estate assets to the state in order to pay taxes or other obligations. Thousands of taxpayers are unable to pay the inheritance tax, while others who cannot enter the 12-tranche payment program are forced to concede their properties to the state. Worse, the law dictates that any difference between the obligations due and the value of the asset conceded should not be returned to the taxpayer. The government had announced it would change that law, but nothing has happened to date.

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