2011/791/EU: Council Decision of 8 November 2011 amending Decision 2011/734/EU addressed to Greece with a view to reinforcing and deepening fiscal surveillance and giving notice to Greece to take measures for the deficit reduction judged necessary to remedy the situation of excessive deficit

‘6a Greece shall adopt and implement the following measures without delay: (a) a reduction in tax exemptions, in particular the tax-free personal income thresholds, with the aim of increasing revenue by at least EUR 2831 million in 2012; (b) a permanent levy on real estate, collected through electricity invoices, with the aim of collecting at least EUR 1667 million in 2011, and EUR 1750 million per annum from 2012 onwards; (c) an immediate implementation of the revised wage grid for civil servants, thereby contributing to a reduction in expenditure of at least EUR 101 million in 2011, and with a carry-over of at least EUR 552 million for 2012, additional to savings provided in the MTFS through 2015. This reform shall cover all general government employees, except those covered by special wage regimes. These net savings take into account the impact of this measure on income tax and social contributions, as well as bonuses to be paid to specific employee categories; (d) a cut in main and supplementary pensions, as well as in lump sums paid on retirement, with the aim of saving at least EUR 219 million in 2011 with a carry-over of EUR 446 million in 2012, additional to savings provided for in the MTFS; (e) capping at 5 % of its deposits spending by the Green Fund, with the aim of saving EUR 360 million in 2012; (f) ministerial decisions or circulars concerning the measures on excise on natural gas, heating oil and vehicle taxes provided for in the MTFS; (g) ministerial decisions to uniformly regulate health benefits provided by the several social security funds; (h) legislation for the collection of the solidarity surcharge through withholding tax; (i) ministerial decisions that initiate the closure, merging or substantial downsizing of entities. This affects KED, ETA, ODDY, National Youth Institute, EOMEX, IGME, OSK, DEPANOM, THEMIS, ETHYAGE and ERT, and 35 other smaller entities; (j) a ministerial Decision specifying the disability criteria on the attribution of disability pensions, consistent with achieving the MTFS saving objectives; (k) a law to freeze the indexation of main and supplementary pensions through 2015; (l) finalisation of the positive list for pharmaceuticals that establish prices charged to social security funds; (m) transferring to the privatisation fund "Hellenic Republic Asset Development Fund" (HRADF) the following assets: Alpha Bank (0,619 % of shares); National Bank of Greece (1,234 % of shares); Piraeus Bank (1,308 % of shares); Piraeus Port Authority (23,1 % of shares); Thessaloniki Port Authority (23,3 % of shares); Elefsina, Lavrio, Igoumenitsa, Alexandroupolis, Volos, Kavala, Corfu, Patras, Rafina, Heraklion port authorities (100 %); Athens Water and Sewerage Company (27,3 %); Thessaloniki Water and Sewerage Company (40 %); Regional state airports (transfer of concession rights); off-shore natural gas storage facility "South Kavala" (transfer of rights of current and future concessions); Hellenic motorways (transfer of economic rights of current and future concessions); Egnatia odos (100 %); Hellenic Post (90 %); OPAP, SA (29 %); four state buildings; (n) appointing the legal, technical and financial advisors for at least 14 of the privatisations that are planned until end-2012; (o) based on a dialogue with social partners and taking into account the objective of creating and preserving jobs and improving firms’ competitiveness, adopting further measures to allow the adaptation of wages to economic conditions. In particular: the extension of occupational and sectoral collective agreements and the so-called favourability principle shall be suspended during the period of application of the MTFS in such a manner that firm-level agreements take precedence over sectoral and occupational agreements; firm-level collective contracts may be signed either by trade unions or, when there is no firm-level union, by work councils or other employees’ representations, irrespective of the firms’ size.’;

‘(9 Greece shall adopt the following measures by the end of June 2012: (a) Preparation of the measures to be adopted at the same time as the 2013 budget and at the same time as the 2014 budget, initiation of a review of public expenditure programmes, with the aim of identifying measures amounting to 3 % of GDP. The review shall draw on external technical assistance and shall focus on pensions and social transfers (in a manner that will preserve basic social protection); reduction of defence spending without prejudice to the defence capability of the country; and restructuring of central and local administrations; adjustments to special wage regimes; specification of further rationalisation of pharmaceutical spending and operational spending of hospitals, and welfare cash benefits.’.

This Decision shall take effect on the day of its notification.

This Decision is addressed to the Hellenic Republic.