Greece, creditors to discuss public sector layoffs

AP News
Posted: Mar 03, 2013 5:58 PM
Greece, creditors to discuss public sector layoffs

ATHENS, Greece (AP) — Officials say talks this coming week between crash-strapped Greece and its international creditors will focus heavily on the possibility of public sector layoffs.

Representatives of the creditors — the European Commission, the European Central Bank and the International Monetary Fund — held preliminary talks with Greek finance officials Sunday but reached no decisions.

Three Finance Ministry officials, speaking on condition of anonymity because they were not authorized to speak on the record, say the creditors insist civil servant layoffs are needed as part of a reorganization plan to make the Greek state more efficient. The creditors also would like to see progress in privatizations and tax collection.

The talks, expected to last a week, will affect the disbursement of €2.8 billion in financial aid to Athens during March.