The restructuring events database contains factsheets with data on large-scale restructuring events reported in the principal national media and company websites in each EU Member State. This database was created in 2002.
Public Administration And Defence Public Administration And Defence; Compulsory Social Security Compulsory Social Security Activities 84.3 - Compulsory social security activities
500 - 530 jobs Number of planned job losses
Announcement Date
14 November 2012
Employment effect (start)
1 December 2012
Foreseen end date
31 December 2012
Description
The Social Insurance Institute (IKA-ETAM), the largest social security body in Greece, is about to dismiss over 500 employees following a Court ruling.
Various media sources announced November 14th, 2012 the dismissal of over 500 employees at IKA – ETAM due to the decision of the Athens Administrative Court according to which Law 3899/2010, under which they have been employed is anti-constitutional. According to the assessment, the aforementioned employees had succeeded in public sector exams to be employed at the Rural Bank (Agrotiki) in 2010, however the bank was privatized shortly afterwards, so the candidates were employed by IKA instead.
The decision has triggered a debate, as IKA is a very busy division of the public sector, and according to recent agreements between the Greek government and Troika, there will be no more recruitment in the public sector for the next few years, as it is currently undergoing restructuring (see here). This is reported to hinder the activities of IKA, as after the 500 dismissals the entity will be understaffed, at least until they transfer and train employees from other public sector divisions.
IKA is the state Social Security institute in Greece. The main mission of IKA is to offer insurance coverage to its members through various benefits and medical care. It covers 5,530,000 workers and employees and provides 830,000 pensioners with retirement allowance. Other beneficiaries are disabled and old age pensioners, as well as those receiving Death Pensions.
Sources
15 November 2012: Naftemporiki
14 November 2012: Imerisia
14 November 2012: Ethnos
Citation
Eurofound (2012), IKA - ETAM, Other in Greece, factsheet number 74539, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/74539.
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