Social Security Funds and EOPYY Edging to Collapse

Social Security Funds and EOPYY Edging to Collapse

Organizational, functional chaos and total collapse threaten the social security system in Greece, as revealed in recent data from Social Funds Employees Union in the fields of pensions and health care.

The data forecast social funds budget deficit of more than EUR 2 billion for 2014.

Specifically:

  • SII – Social Insurance Institute: €807,9m
  • ΟΑΕΕ – Insurance Organization for the Self-Employed:  €462,7 m
  • OGA -Agricultural Insurance Organization: €181,3 m
  • MTPY- Share Fund of Political Officials €91,3m
  • TPDY –Civil Servants Welfare Fund €66,2m
  • ETAA- Self Funded Employees Fund €39,5 m
  • ΕΤΕΑ – Unified Auxiliary Insurance Fund €274,0m

These deficits do not include the estimated reduction in contributions by 3.9%, the expected cut in social funds, or the reduction in state subsidy that is decreasing every year, let alone assess the amount of pensions due (principal-auxiliary-lump sum).
Lower than 1000 euro 76% of pensions

The same disappointing are the data concerning the amount of allocated pensions, where 76.5% of principal pensions are below €1.000 and 99% of auxiliary pensions are well below 500,00 €, close to  €190.

EOPYY- National Organization for Health Care to stop payments

EOPYY risks to be deemed unable to pay its debt, which, up until April of 2014, forms as follows:

  • Private providers: € 2.738.685.166
  • Policy holders: € 100.000.000
  • General Government Entities (hospitals, etc. ) € 4.900.597.884 (part of  it is expected to be erased by ministerial decision)

Total Debt:  € 7.739.283.050

Click here for the Greek article.

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