The Greek economy, once a beacon of hope after the 2009 financial crisis, is now facing a stark reality. Despite the conservative New Democracy party's promises of a work-driven economic boom, Greeks are still among the poorest in Europe. This paradoxical situation raises important questions about the effectiveness of their policies and the underlying factors contributing to this disparity.
The Promise and the Reality
In 2019, Kyriakos Mitsotakis, the then-prime minister, envisioned a future where Greece would grow by 4% annually and enjoy elevated living standards. However, five years later, the numbers tell a different story. According to Eurostat, Greek workers had the second-lowest annual salaries in the European Union, trailing only Bulgaria. This is despite the economy growing at almost twice the EU rate since the COVID-19 pandemic.
The situation is even more concerning when compared to other Eastern European countries that became free-market democracies and EU members around the same time as Greece. These countries have significantly outpaced Greece in terms of economic growth and living standards.
The Missing Link: Collective Bargaining
One critical factor that stands out is the lack of collective wage bargaining agreements. In 2018, Greece had more such agreements, but after the crisis, the situation worsened. Only 20% of workers are now covered by these agreements, which is far below the EU directive of 80%. This lack of coverage means that workers have limited leverage in negotiating wages and working conditions.
Safety Concerns and Unconscious Bias
The issue of worker safety is another area of concern. Greece's track record on worker safety is much worse than the government acknowledges. The Federation of Workers' Unions in Technical Enterprises (OSETEE) reports significantly higher numbers of work-related deaths than the official statistics. This discrepancy suggests that certain categories of workers, such as maritime professions, security bodies, and freelance workers, are not adequately protected.
Furthermore, there is a suspicion of an unconscious bias towards immigrant workers in safety protocols. A quarter of last year's work-related deaths occurred in construction, agriculture, and tourism, industries with a high proportion of migrant labor. Greece's plans to recruit another 200,000 foreign workers in these sectors raise questions about the enforcement of safety rules and the potential for further accidents.
The Way Forward
To address these issues, Greece needs to prioritize collective bargaining agreements and ensure that all workers, including immigrants, are adequately protected. Additionally, the government should re-evaluate its labor regulations to prevent excessive working hours and prioritize worker safety. By taking these steps, Greece can work towards a more equitable and prosperous future for its workers.
