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The following article was published in our article directory on December 16, 2010.
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Strike Make Greece Long-term In Nervous Status

Article Category: Business

Author Name: xia zihui

Greek government proposed labor reform bill was passed by Congress after the next day, December 15, expected in the general strike followed. Flights, rail and ferry services were canceled, news programs interrupted, the newspaper ceased publication, hospitals, public transport and other public service system is also greatly affected. Tens of thousands of workers gathered in front of the hall in the Greek Parliament on the streets, heavily armed police on both sides of the street breakdown, did not imagine the tension, and even chatting with the police officers march. Perhaps the two sides have long been familiar, as it broke out in Greece this year, the seventh nationwide strike. Not surprisingly, the eighth day after tomorrow will hold a nationwide strike.

The weight of high welfare

High budget deficits, heavy debt, the weight of the birth of the "democratic ideas" the wisdom of country hobbled the brink of bankruptcy. May 2010, the Greek government leaders actively running in the U.S. and Europe and obtained a 110 billion euros of international loan assistance only to obtain breathing space. But the attendant is, how economic reform and rejuvenate the economy, restore fiscal health to make the debt of the tide receded? More importantly, how to obtain the material to enjoy a "high benefit" of public support, it is only through higher taxes, lower wages, lower pensions and the public is closely related to these financial measures to achieve this purpose.

Local time on December 13, the Greek government in Parliament to vote on new labor reform to win, the state enterprise reform, including measures of the new pay cut, salary cap and mandatory staff mobility. Greek opposition parties have all expressed opposition to the government's reform plan, saying it would make labor relations "back to the Middle Ages."

Not just Greece, 2010 European, national strike after another. The reason is nothing more than to protest the government cut wages and benefits, raising taxes and raising the retirement age.

Tight labor pains

Since the Greek sovereign debt crisis, many people are asking: Why Greece into the plight of today? Why the sudden or Europe into the morass of a strike?

June started to protest the Government to reduce salaries, Spanish workers strike in a row; in September, raising the retirement age because of protests, the outbreak of a national strike in France; this November, the government introduced austerity Portugal almost 22 years, the largest outbreak of size of the strike, resulting in the transportation, medical care and other fields not work; 12 months, because of rising costs and the British students protest after another.

Some experts believe that European countries generally face a dilemma of choice: a high welfare cuts in the past to reduce the deficit and deal with the debt crisis; or to high welfare, until the debt pressure body, the government bankrupt.

Greece, the real reason for this strike is to blame the high welfare it? Several experts have failed to take a negative attitude. Cui Xinsheng, chief researcher at the Chinese value of the index, said the strike is the Western norm, the Greek main reason the strike or because of economic recession. Shanghai University of Finance and Deputy Director of Financial Research Center of Modern Xi Jun Yang also pointed out that Greece's most important reason for the outbreak of the strike or economic reasons, the government deficit too much debt, welfare is only one aspect of the reduction. Jun Yang Xi said, "Greece is not the welfare of the best European countries, so the reduction in the welfare of local people on the one hand, it is not the hardest hit."

The Way it hard

Although the reduction in welfare caused by the Greek strike is not the real reason, but high evils of the welfare system is obvious. Jun Yang Xi said, "both advantages and disadvantages for a country benefits from the positive side, high welfare can promote social stability and to avoid public confrontation with the government. The downside is the lack of high welfare also makes the public momentum. "

Over the years, Europeans have high welfare and medical care desirable, not with the busted their ass to work, but also enjoy the long holidays, even if the government does not work can receive payment of unemployment insurance payments. But the premise of high-welfare policy is a strong national economic strength. Lack of financial support being it was just a castle in the air high in the world are tightening their belts to survive the time, Europe can only give up their high welfare, because welfare policies that continue to persist, will one day facing the country the threat of bankruptcy.

Today, being relatively high in Europe as the world economy has entered a vicious circle: on the one hand national deficit too much, too much debt, the state decided to cut benefits and wages, creating a people's discontent; the other hand, the public face of reduced benefits and began a strike on the economy and losses. In this regard, Jun Yang Xi said the final solution is quite difficult. He said, "the public should maintain a rational attitude negotiations with the government to ease the current situation. But if the Government can not solve the conflict with the public, the situation will further deteriorate. People want to maintain a high level of welfare policies of the government's ability to will be weakened as the economy weakened, and finally result in a lose-lose. "

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