ATHENS (MNI) – The Greek government Sunday unveiled a four-year
deficit-cutting and structural reform package aimed at shrinking the
budget gap by E30 billion, or 11% of GDP, by the end of 2014.

Below is a quick look at some of the key measures included in the
package:

–Abolition of two extra monthly paychecks per year in the public
sector, a widely beloved perk among government workers. Those with
pre-tax income of over 3,000 euros per month will not receive any
bonuses or benefits at all. Those below, will get an annual bonus
totaling E1,000.

–An additional 8% pay cut in benefits in certain public sector
divisions. Those with no benefits on top of their base salaries will get
a 3% pay cut.

–The abolition of the two extra monthly pension checks per year
for public sector retirees. Those with pensions below E2,500 per month
will get a E1,000 annual bonus instead.

–A four-year freeze on any increase in wages or pension payments.

–An increase in the value-added tax to 23% from 21%

–A 10% increase in taxes on tobacco, fuel and beverages

–A special new tax on businesses (no further details given)

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