Greece Proposes Payroll Cuts for State-Owned Listed Companies

Greek lawmakers will vote next week on forcing state-controlled publicly listed companies to reduce their wage bill to 65 percent of their 2009 level.

The measure will be included as an amendment to an austerity bill to be voted on in parliament before a European Union leaders’ summit on Oct. 23, Finance Minister Evangelos Venizelos told a parliament committee in Athens yesterday. The legislation includes a number of measures that need to be approved by lawmakers before disbursement of a sixth loan under last year’s 110 billion-euro ($152 billion) EU-led bailout.

Hellenic Petroleum SA (ELPE) will be exempt from the law, which will affect companies including Opap SA (OPAP), Europe’s biggest listed gambling company, Public Power Corp SA (PPC) and Piraeus Port Authority (PPA) SA, Kathimerini reported today, citing the legislation.

Venizelos and Prime Minister George Papandreou have said that parliamentary approval of the legislation and next year’s budget before the EU summit will help Greece in “difficult” loan negotiations.

To contact the reporter on this story: Marcus Bensasson in Athens at mbensasson@bloomberg.net

To contact the editor responsible for this story: Craig Stirling at cstirling1@bloomberg.net

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