Greek Deputy Labor and Social Security Minister Yiannis Koutsoukos resigned on Thursday as a sign of a protest against the government’s decision to cut wages and pensions in exchange for European financial assistance.
Greek political leaders finally struck a deal on Thursday on new austerity measures demanded by creditors to secure a 130-billion euro bailout to avoid default and keep the country afloat. The deal included pension and wages cuts.
“Our creditors ignored arguments and balanced proposals from the labor and finance ministries, used blackmail and acted inappropriately and insolently,” Koutsoukos said in a statement commenting on his resignation.
The troika of international lenders comprising the European Central Bank, the European Commission and the International Monetary Fund demanded from Greece to introduce pension budget cuts as well as to cut additional income in private sectors, to reduce minimal wages and insurance payments.
Finance ministers from the 17 euro countries will decide on Thursday night in Brussels on the bailout package for Greece, which is teetering on the brink of financial collapse.
Greece has been receiving financial support from the EU and the IMF since May 2010 to reduce the country's large budget deficit. However, the austerity measures approved by the government have sparked numerous riots and strikes, and the Greek government has missed its targets.
