German trade unions: SYRIZA win 'a chance for change'

The statement below was published on Transform-network.org on February 3.

It has been signed by seven out of nine presidents of Germany's trade unions, all members of the executive boards of DGB and IG Metall, and mainly Social Democratic Party politicians in Germany's parliament and the European Parliament, including two vice-chairs of SPD, as well as numerous academics.

* * *

The political landslide in Greece is an opportunity, not only for that crisis-ridden country but also for a fundamental reassessment and revision of European Union (EU) economic and social policy.

We highlight once again the criticism already voiced on many occasions by the trade unions: right from the outset, the key conditions under which Greece receives financial assistance did not deserve the label “reform”.

The billions of euros that have flowed into Greece have been used primarily to stabilise the financial sector. At the same time, the country has been driven into deep recession by brutal cutbacks in government spending that have also made Greece the most heavily indebted country in the entire EU.

The consequence is a social and humanitarian crisis without precedent in Europe.

One third of Greece's population is living in poverty, the welfare state has been hugely weakened, the minimum wage cut by 22% and the collective bargaining system and other protections for those still in work dismantled.

At the same time, the burden of taxation on lower income groups has grown. Unemployment now stands at 27%, while youth unemployment is as high as more than 50%.

Many people do not have the means to pay for food, electricity, heating and accommodation. A large share of the population no longer has health insurance and can only access medical care in emergencies.

The election result is a devastating verdict on this failed policy.
All this had nothing to do with reforms designed to address Greece’s actual problems.

None of the country’s structural problems has been solved, but extra ones have been created. This has been a policy of cutback and destruction, not rebuilding.

Genuine structural reforms worthy of the name would have led to the emergence of new chances for economic development, rather than driving a highly qualified generation of young people abroad.

Genuine structural reforms would have included serious bids to tackle tax evasion. Genuine structural reforms would have tackled clientelism and corruption in public procurement.

The new Greek government is being challenged to draw up its own reconstruction and development plans, which have to become part of a “European Investment Plan” ― as has long been demanded by trade unions ― and to create the conditions in which such plans can bear fruit.

Serious negotiations with the new Greek government must get under way, without attempts at blackmail, to open up economic and social prospects for the country beyond the failed austerity policy.

This applies, in particular, to the ruinous obligations agreed with the previous government, now voted out of office, that were the prerequisites for payment of the international loans.

Europe must not persist in pursuing, at the expense of the Greek population, a policy that has been decisively rejected by the majority of Greek voters. Just carrying on regardless is no longer an option.

The rejection at the ballot box of those responsible for the previous policy in Greece is a democratic decision that must be respected at the European level. The new government must be given a fair chance.

Anyone who now demands that the country simply continue along the previous, so-called “path to reform” is denying the Greek people the right to a democratically legitimised change of policy in their country.

And if they add that such a change of policy is, at best, possible only if Greece leaves the European currency union, then that is tantamount to saying that the European institutions are incompatible with democratic decisions taken in the member states.

Such statements will merely give a shot in the arm to the burgeoning nationalist movements across Europe.

The democratic deficit at European level, oft-lamented but still not yet overcome, must not be even more firmly entrenched by constraining democracy in the member states.

Rather, as many of us emphasised in 2012 in a call for action entitled “Founding Europe anew!”, democracy at the EU level must be strengthened if the European project is to gain renewed credibility.

The European project will not be furthered by austerity dictates, but only by a bottom-up democratic initiative in favour of economic regeneration and greater social justice.

This initiative must be supported now in the interests of the Greek people. At the same time, it will help to kick-start the process of policy change across Europe as a whole.

The political upheaval in Greece must be turned into an opportunity to establish a democratic and social Europe.

If you like our work, become a supporter

Green Left is a vital social-change project and aims to make all content available online, without paywalls. With no corporate sponsors or advertising, we rely on support and donations from readers like you.

For just $5 per month get the Green Left digital edition in your inbox each week. For $10 per month get the above and the print edition delivered to your door. You can also add a donation to your support by choosing the solidarity option of $20 per month.

Freecall now on 1800 634 206 or follow the support link below to make a secure supporter payment or donation online.