Kerameos: 5,000 additional positions in the employment program for unemployed women

The expansion of the business subsidy program for the hiring of 10,000 unemployed women, with an emphasis on mothers of underage children, and its reinforcement with 5,000 additional full-time jobs was announced by the Minister of Labor and Social Security Niki Kerameos speaking on Mega television.

As the minister stressed, “in the program for women's employment, while initially 10,000 full-time and part-time positions had been announced, due to the great response it had, we are adding another 5,000 full-time jobs”.

Ms. Kerameos pointed out that unemployment in our country has decreased significantly; however, in specific groups there is room for improvement.

“We go and see where we have room for improvement. Let's say among women. Among women unemployment has already decreased a great deal, but do we have room for improvement? We do have room for improvement. So what do we go and do? We launch a subsidized employment program, especially for women. If a business hires an unemployed woman, it can be subsidized with up to 70% of the salary and contributions. If this unemployed woman is the mother of a child up to 15 years old, then the subsidy can rise to 80%. Why? Because we want to send a clear message to all those women listening to us, who have stayed at home to raise their children and who want to take the step to return to the labor market, that we are there to support them,” she said on the matter. The program lasts 12 months with the possibility of an extension of 3 additional months.

At the same time, Ms. Kerameos referred to DYPA's new subsidized employment program for mountainous and island areas.

“Why are we doing this? Because we see unemployment decreasing and we see where we have room to boost employment, and the truth is that in the regions, in certain areas where it is more difficult to find work, high up in the mountains, in villages in the mountains, on remote islands and so on, where it is difficult to find work, we come and what do we say? If a business hires someone from these specific areas that are very isolated and remote, for remote work, a subsidy of 90% of the salary and contributions for one year. Why for one year? To give a boost and then obviously if this employee proves his worth, they will keep him.”

Referring to the employment programs in municipalities for our fellow citizens aged 55 and over and our fellow citizens with disabilities, Ms. Kerameos pointed out that “we have the 55+ program, which we have discussed a great deal here, we have approximately 40,000 beneficiaries of the 55plus program. And recently a new one came out for another 8,500 positions. Another one is also coming out for our fellow citizens with disabilities. Fellow citizens with disabilities who objectively have greater difficulty entering the labor market. When these programs first came out, they did not have a great response; there was, wrongly, distrust as to whether these fellow citizens of ours could be utilized. And now this has been completely reversed. And I cannot describe to you how quickly the positions for our fellow citizens with disabilities disappear, so much so that while I started with 1,000 positions initially, we have gone to 4,000 positions.”

The minister referred to the new unemployment figures, where Greece now holds the second-best performance it has ever had in the country's history, from 17.9% in 2019 to 7.4. “We are only 0.1 away from the lowest unemployment ever recorded, which is 7.3. As for young people, however, I have to tell you that according to the figures announced yesterday by ELSTAT, youth unemployment from last August, when it was at 21%, this August fell to 15%. But this is only one indicator; what matters to me is that behind the indicator are people. This means that there are approximately 600 thousand people who were not working and are now working. Obviously, while unemployment has decreased a lot, we are trying to reduce it even more, we are trying to find even more jobs for people, that is what we want,” Ms. Kerameos said.

Referring to the new measures announced by the prime minister, including among others the 120 installments for debts to EFKA, she stressed that “there is no magic wand here nor a magic solution, clearly, but it is something that society as a whole had been asking for very much, small and medium-sized businesses had been asking for it, many who have debts to EFKA had been asking for it. And it was announced yesterday by the Prime Minister that we are going from 72 to 120 and in fact the scope is also being extended. Whereas until recently the arrangement concerned overdue debts up to the end of 2023, this is being extended by one year. So we are going up to the end of 2024.”

Answering a question about fiscal space, the minister stressed that “each time it depends on what fiscal space we have achieved. And the more fiscal space we achieve, the more it gives us the possibility to proceed with arrangements that relieve and support society even more. When we first announced the support for pensioners every November, if you remember, it was for 250 euros. And it was with specific income criteria. As the economy progressed, it did better, POS worked more, even more, they brought more fiscal space. The digital work card brought a great deal of fiscal space. This allowed us to go to 300 euros. And then to 400, and now the perimeter and scope of application of the November support has gone to 400 euros without an income criterion. How did this happen? Or, for example, how did we go from 1 billion at the TIF to 2 billion? We went because we implement policies that have results. Take the digital work card. With the digital work card alone, last year 2.7 million more overtime hours were declared compared to the year before last. And we are, in fact, on the threshold of a new expansion.”

Speaking about the support for pensioners that is scheduled to be paid every November, she recalled that initially it amounted to 250 euros and the beneficiaries had income criteria. Subsequently, given that there was an improvement in fiscal space, the support increased to 300 and then to 400 euros without an income criterion. As she pointed out, this became possible thanks to the revenues from the Digital Work Card. She also noted that the same happened with survivor's pensions, as the abolition of their reduction imposed by the Tsipras-Katrougalos law became possible thanks to the revenues from the Digital Work Card.

She also pointed out that equally important are the revenues from the pensioners' solidarity contribution, which amount to 700 million euros, while, as the minister recalled, the solidarity contribution has been established to support future generations since “we will have fewer and fewer workers in the labor market and more and more pensioners, and indeed life expectancy will continue to rise. Positive, of course. But do the math. How will pensions be paid every month? Shouldn't the government chart every step with very great care?”. 

The minister also referred to the recent law on Occupational Insurance Funds, which provides the possibility, with very strong tax incentives, for a second pension. “That is, you will receive the pension from EFKA but at the same time either only you as an employee, or only your employer, or both, will set something aside every month, which will grow.” As she explained, the new law gives self-employed professionals and small and medium-sized businesses the possibility to join the institution of occupational funds and also provides for full portability. “So this comes as a second supplementary pension, which is built by you and your employer or possibly only your employer, while you work,” she said.

Asked to comment on the claims of ministers' arrogance, Ms. Kerameos noted that ministers are judged daily by the Prime Minister and their final judge is the Greek people. “The Greek people judge us at every moment, they judge us even now as we speak, they judge us with every action we take, they evaluate it, they analyze it, and above all they judge us at the ballot box. That is the ultimate judge of everyone.”