Tuesday, April 14, 2009

Employment Protection: When the route to long-term unemployment is laid with good intentions.

Liberal Alliance press release 4 December 2008

Liberal Alliance (Greek Liberals) considers that following recent proposals by Mr. Mihalos (president of the Greek Chamber of Industry and Commerce), a broad debate should commence for the real causes of unemployment and the ways to reduce it.

It is disappointing that Mr Mihalos' proposals, were rejected without any dialog, from all the major political parties, despite the fact that serious economic studies (Alpha Bank, Financial Report), prove that the lack of flexibility of labor market in various countries create high and persistent unemployment.

In this context European Union, promotes of flexibility and security (Flexicurity) for Europe. This system, was applied, first in Denmark, and it has been recognized, even by Workers Unions, that it has significantly unemployment.

So if labour flexibility can be the main tool for reducing unemployment why, the political establishment, rejects any discussion even for the limited flexibility by Mr. Mihalos?

For Liberal Alliance it is obvious, that the political establishment, Government and opposition parliamentary parties, could not care less about the unemployed, instead, they only care about the preservation of work privileges, of few civil sector workers groups that believe that any flexibility no matter how small will jeopardize their comfortable life.

It is becoming more and more apparent that any muttering from the political establishment about ' employment protection', implies the protection of the privileges of a small minority that leaves more and more people to unemployment and poverty.

Liberal Alliance proposes the abolition of civil servants tenure, a minimum guaranteed income for every Greek citizen and more flexible labour markets which will contribute to the revitalizing of the economy, and reduce unemployment

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