NICOSIA: Bank workers in bailed out Cyprus staged a work stoppage yesterday over fears that pensions may be at risk, as more details emerged of biting austerity measures imposed on the cash-strapped island.
The brief strike, followed by a protest march on parliament by around 1,000 smartly dressed bankers, comes despite reassurances by President Nicos Anastasiades that every effort would be made to preserve pension funds at the two banks in the eye of the financial storm.
Bank employees’ union ETYK called the two-hour stoppage over concerns that pension funds at failed Laiki and at the Bank of Cyprus are not being protected under the ¤10bn bailout deal with the IMF, European Commission and European Central Bank. Protesters who marched through Nicosia yesterday carried banners reading, “Wake up Cyprus,” “Hands off our jobs, hands off our provident funds” and “We are paying for mistakes of bankers.”
“Many, many thousands will come to protest against the verbal commitment,” said George Georgiou, 35. “We want written commitments for safeguarding of our provident funds and jobs.” The work stoppage had little effect on the public, timed as it was towards the end of usual banking hours.
But some customers were taken by surprise and found the doors locked 45 minutes ahead of the 12:30 pm scheduled time.
Iraklis Andreou, a 60-year-old who works in an office near Eleftheria Square in the city centre, had come as he had every day since banks reopened a week ago to cash a ¤300 cheque at a Laiki branch.
He walked off with an air of resignation, saying he would return today.
Nigerian Godsun, 38, who works in the tourism industry, was unhappy. He had noticed some anomalies in his balance, and wanted some answers.
“This is unbelievable. The whole thing is getting worse. The more complicated it becomes, the more it hurts,” he said.
There has been no significant labour unrest in Cyprus so far, but the bailout will force painful reforms, including higher taxes, downsizing the public sector, privatising some state-owned firms and drastically reducing the size of the bloated banking sector. According to details of the bailout deal that emerged yesterday, Cyprus must still adopt ¤351m in austerity measures in its 2013 budget before receiving the EU financial aid expected in May.
“Over 2013, the authorities will rigorously implement the 2013 budget law with additional permanent measures of at least ¤351m (2.1 percent of GDP),” says the memorandum of understanding. AFP
