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daniela loaiza

on 14 November 2012

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Transcript of MUN

The current government, formed by the New
Democratic Left political parties, while devoted to keeping Greece in the euro zone, makes no secret of its allegiance issue statement saying that 2The general aim is no more cuts to salaries and pensions, no more taxes," and added that it would not carry out any public sector layoffs. Conclussion Employment So today, for every seven private employees who have been laid off, only one has left the public sector. this leaves fewer and fewer workers in a country where the unemployment rate now hovers around 25 percent to pay the taxes that provide the salaries for the people who work for the government. For generations, political power in Greece has been based in large part on providing public sector jobs in exchange for votes. to protect workers from being thrown out when a rival party came to power, virtually ironclad job protections fro government workers were enshrined in the Constitution. Painful salary, pension cuts a higher taxation could have been avoided had the public sector been downsized from the outset of the crisis. Had the rate of public sector layoffs been doubled, the country may have been close to a surplus in 2011 and would have likely achieved one in 2012. The pension system could have been in better shape, and taxpayers could have avoided paying more while earning less The cost of protecting greece´s public sector Political pressure remains fierce. Many analysts say that the new found strength of Syriza, the formerly fringe leftist group that is now the main opposition party in Parliament, came as support eroded for the governing coalition that is trying to reform Greece. The two parties, which alternated in power in power in the decades since the end of military rule in t1974, "Increased the taxes to unhealthy levels and risked a recession to protect their clientele in the state apparatus," Manos said.
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