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30% shrinking of government spending anticipated

14 July 2012 / 12:07:28  GRReporter
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After the end of the meeting, Minister Manitakis repeated that not a single employee would be discharged, but transfers of employees would take place. For this purpose, all the resources, foreseen in the existing  legislation, related to the transfer of employees, would be used. The Minister of Administrative Reform added that the authority relies on the preliminary work, done by the Greek services, together with the European Commission's Task Force, for supporting the reforms in Greece in order to shrink the state expenses.

Therefore, it is expected:

Firstly, to use "Pangalos's list" (in which the ex-minister had included 390 state employees to whom he had sent letters requesting to be informed about what services they perform and what expenses they have), as well as to scrutinize the proposals for the closure or merger of state structures. According to sources, the Ministry of Administrative Reform already has a list of 60 organizations which have to be closed immediately.

Secondly, together with the acceleration of the structures' assessment procedures, use will be made of the work executed by the former Minister of Administrative Reform Dimitris Repas and related to the changes in the structures and the functions of the ministries through the closure of departments, which are thought to be unnecessary, or those with overlapping functions.

Thirdly, the need will be emphasized to lessen bureaucracy. For this purpose, a forthcoming 1 million contract will be signed with the Organization for Economic Cooperation and Development. This contract foresees that employees of the Organization will offer measures for the diminishment of the administrative burden in 13 economic sectors by 2013. Bearing in mind that the bureaucracy in Greece costs 20 billion, it is expected that the benefits for the country's development and investments will be huge.

Tags: state expenses shrinking reforms laying off Troika Task Force
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