The government is expressing widespread optimism about a positive outcome on the Automatic Cost of Living Adjustment (CoLA/ATA), predicting results within a short timeframe, even as employers and trade unions remain publicly at odds following the rejection of the government’s proposed framework.
Behind the scenes, contacts and consultations are taking place between the government and social partners, but publicly, the picture suggests that after employers’ organisations KEVE and OEV rejected the government’s solution framework, trade unions and employers have moved further away from a possible agreement.
President Nikos Christodoulides expressed optimism yesterday that positive results on the ATA will emerge very soon.
Speaking as he arrived at the Union of Municipalities General Assembly, the president said there are no dead ends regarding the ATA, and he is optimistic that very soon there will be positive results.
Finance Minister Makis Keravnos also appeared optimistic, expressing the government’s intention to continue dialogue on the ATA and stressing that there will be an outcome in the end.
Speaking on state radio, the finance minister said that in such cases with negotiations, various issues may arise, but what matters is that mutual concessions were made from all sides and a conclusion had been reached.
Employers and unions await government moves
As for the two sides, employers and trade unions are placing any initiatives for developments in the government’s hands. However, according to statements from officials on both sides, the current situation will not be easy to reverse.
KEVE General Secretary Philokypros Rousounides noted characteristically that the employer side has rejected the government framework in its entirety and not selectively, reinforcing information suggesting KEVE wishes to restart dialogue from the beginning based on specific parameters.
In response, PASYDY General Secretary Stratis Matthaiou noted that dialogue has ended and will not restart from the beginning.
Speaking to CNA, Matthaiou said trade union organisations are awaiting initiatives from the government. He said that for them, dialogue has ended and been exhausted after six months of discussions.
The last meeting with employers remained at a small point of difference, and they will not start discussions from the beginning, he stated.
He also expressed surprise at KEVE’s position as expressed in an announcement, noting it essentially reintroduces the issue of abolishing the ATA, as references to International Monetary Fund recommendations point in that direction.
KEVE seeks parameters for new talks
From the employers’ side, KEVE General Secretary Philokypros Rousounides told CNA that internal processes are taking place at the chamber, in conjunction with OEV.
He said they have issued an announcement outlining the framework for which they wish to continue discussion and social dialogue regarding IMF and European Central Bank parameters, as well as modernisation elements with fairer distribution through the so-called scaled allocation, which they believe should be revisited with a constructive approach with trade union organisations, whom they are calling for social dialogue.
Asked whether dialogue should start from the beginning, he said they have rejected the framework in its entirety and not selectively but added that there are possibly points of convergence on which they can build so that through mutual concessions, common ground can be found for the good of the country and the economy.
Union meeting today
The four trade union organisations participating in dialogue will meet this afternoon at SEK headquarters to assess developments and determine their next steps. They may decide to convene a new pan-union meeting at a later date.
