Contentious labor issues return to the talks table

The focus of the negotiations between the Greek government and its creditors has returned to labor relations.

Group layoffs, legislation on unions and mainly the way strikes are called, as well as increased flexibility in the local labor market are the core issues in these latest talks.

The Greek side is seeking the involvement of the International Labor Organization (ILO), as well as of the European Parliament’s Committee on Employment and Social Affairs, while the creditors are eager to avoid the participation of the ILO and have already ruled out any involvement of the European Parliament in the negotiations. They are seeking to start talks based on the proposals of the Organization for Economic Cooperation and Development (OECD) and the World Bank.

The government is bound by the third bailout agreement not to make any changes to the existing labor framework without the creditors’ approval.