Greek Pension Fund Reserves for 2015, are About to Collapse



social insurance

According to a study of  GSEE’s Labor Institute, it has been made crystal clear that the Greek State must find alternative financial resources in order to be able to carry on the subsidy of the pension scheme within the frame of social insurance. Otherwise, by the end of 2015 it is predicted that the Greek State will not be able to afford to pay the cost of pension funds reserves, causing them to collapse.

GSSE’S Labor Institute suggests that the alternative resources in order for the social insurance system to be viable could be the increase in the fair market value of public property, the lottery, the prosperity of the banks and the state-owned enterprises etc.

According to the study, a factor that speeds up the collapse of the pension fund reserves is the increase in life expectancy. This fact along with the reduced number of births leads to an increase in the pension cost.

Another factor that makes the situation worse concerning the viability of the pension fund reserves, is the high rate of unemployment according to GSEE’s Labor Institute data. In fact, unemployment has increased by 200 percent compared to the 2009 unemployment rate and the unemployment problem is not expected to be solved in the near future.

Last but not least, another factor that aggravates the system of social insurance and puts its viability in danger, is that Greece is entering its fifth year of economic recession.


11 COMMENTS

  1. There is no need for us to make cuts. If we just vote for communists and fascists we’ll be fine. They’ll make up for any shortfalls by angrily waving their arms in the air and chanting like savages to the money gods.

  2. Oh look. Another negative over generalization of Greeks by Tedi the bigot.

    Where are all those that claim to be against racism? Too busy deleting posts in the name of free speech?

  3. Dean Plassaras ,you should be grateful that the “bigots” are still paying your free Internet.Say Thank You.

  4. If the doctors keep on striking and austerity continues, longevity will no longer be a problem.

  5. Clearly you didn’t study economics 101, because if you did, you would wonder where the pension ones first came from since Greeks don’t pay taxes & the country exports fark all.

  6. Ha ha ha you wish,fat Greek troll,Just because you are poor and miserable does not mean the other people are too!

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