The Government Council of Administrative Reform will convene on Tuesday afternoon in order to discuss the bailout commitment of 4,000 public sector dismissals by the end of the year. The future of defense industry EAS will be critical for the plans to be drafted.
On Monday evening the Minister of Finances Stournaras claimed that EAS must become “a viable business with export activities” and conceded that the company’s estimated debts of 1 billion euros and troika demands complicate the situation. At present, the government has proceeded with 2,800 dismissals which the troika has agreed: 2,000 ERT employees, 300 civil servants found guilty of misconduct and 500 who are retiring over health issues.
The troika representatives have accepted a further 700 employees from EAS to be included in the dismissals, meaning that the government is 500 dismissals short of its target. With the National Road Construction Fund scheduled to shut down, the government can carry out a further 150 dismissals and must find another 350 civil servants to dismiss. The plan is find small and medium-sized organizations with up to 30 employees that can merge or be abolished.
Furthermore, the Government Council of Administrative Reform will discuss the completion of public sector body review by early 2014, which about 32,000 are currently employed, in order to begin planning the 11,000 dismissals of next year which the government agreed to with the troika.
