Written declaration by Charis Pashias, Coordinator of the Social Affairs Bureau of the C.C. of AKEL On the debate in the Parliamentary Finance Committee on the Budget of the Ministry of Labour, Welfare and Social Insurance
AKEL C.C. Press Office, 25th October 2016, Nicosia
During yesterday’s debate in the House of Representative’s Finance Committee on the budget for the Ministry of Labour, Welfare and Social Insurance, the government attempted to give the impression that all is well with regards social policy and that social justice has been delivered via the “reform” of the Guaranteed Minimum Income (GMI).
Even the official figures reveal the inadequacy of the government’s social policy, which certainly does not lead to social justice and a fair redistribution of wealth, but instead to growing inequalities.
The social policy model of Cyprus is in need of a progressive modernization; a modernization that will, inter alia, include:
- The restructuring of the tax system by taxing luxuries and wealth, the effective combating and stamping out of tax evasion, as well as the channeling of these revenues for social policies.
- The radical reorganization of structures for promoting social policy through their decentralization and assigning a role to local authorities in social policy.
- The amendment of existing laws such as those for child benefits, student grants and the GMI so that the criteria are substantially improved and the distortions that exist are corrected.
- The operation by the state and local authorities of the necessary structures and programs to provide social support and protection for people with disabilities, children, infants, and the elderly.
- The substantial improvement of services and benefits that are provided to persons with disabilities.
Consequently, so long as the government remains fixed on the dogma for less state intervention and to GMI-type policies, Cyprus will continue to record the worst figures across Europe as regards expenditure on social protection and inequalities will widen.