The Greek government has to take back bills and amendments that were unilaterally decided after the February 20 bailout extension agreement was signed.
One of the creditors’ many requirements attached to the new bailout package says that “with the exception of the bill on the humanitarian crisis, the Greek government will review, with a view to amending, bills passed in opposition to the February 20 agreement and led to the cancellation of previous commitments, or will clearly identify equivalents.”
The Greek government’s biggest problem is that it has to decide what to do with public sector employees who were laid off by the previous government and rehired by the SYRIZA-ANEL coalition. This applies to about 2,600 national broadcaster employees, 2,400 educators whose teaching subject was abolished, about 1,600 Ministry cleaners, 1,500 school guards and 1,500 municipal police officials who were laid off by the previous government and several other employees who were laid off for disciplinary offenses.
Another issue is the debt settlements of citizens with outstanding tax debts to the state. The 70% debt haircut given to many of them has to be reevaluated for those with large debts.
The three major areas where legislation has to be reversed are:
1. Debt settlements: About 770,000 citizens received favorable settlements, with the state aiming to raise 5 billion euros in revenue and just 500 million collected so far. Most large debtors paid a small amount of what they owed and benefited from the amendment. Now the state has to go back and claim the debt’s full amount. The 100 installment plan should be reevaluated too.
2. Rehiring employes in the public sector: The bills that led to the rehiring of tens of thousands of employees in Greece’s public broadcaster ERT, school guards, cleaners and others must be reversed.
3. Privatizations: The new Greek government froze or reversed a series of privatizations that were in the process of completion. Privatizations of partly state-owned telecommunications company OTE, Public Power Corporation (PPC) and Independent Power Transmission Operator (ADMIE). Also, 12 acres of the former Elliniko airport that were given to neighboring municipalities for waste management must be returned to the Hellenic Republic Asset Development Fund (HRADF).
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