Greek civil servants protest before parliamentary vote

ATHENS - Greek anti-austerity protesters took to the streets of Athens on Sunday evening ahead of a parliamentary vote on an omnibus bill aimed at securing further bailout aid this spring.

"We say no to the destruction of public services and the welfare state," chanted demonstrators outside the parliament building during the rally organized by the main labor union of civil servants ADEDY against the planned new tax hikes and unprecedented job cuts in civil services.

The contentious bill foresees the dismissal of some 4,000 civil servants and 15,000 by 2014, overturning for first time in the country's modern history a constitutional guarantee of a job for life for employees in the public sector.

Under the plan aimed to reduce costs and upgrade civil services, incompetent and corrupted public servants will be gradually replaced by younger and better skilled employees.

The new legislation, which comes after a new deal with international auditors earlier in April, will also open up more professions and markets and facilitate taxpayers with debts to tax authorities and social security funds to pay them off in up to 48-month installments.

In combination with a planned reduction by 15 percent on a controversial emergency property tax, the aim is to ease the burden on households and businesses suffering from a six-year long deep recession.

"The measures included in this multi-bill will boost the competitiveness of Greek economy. They will lead to an increase in exports and investments and restore liquidity," Greek Finance Minister Yannis Stournaras said while addressing the assembly during Sunday's debate ahead of the vote scheduled for after midnight.

The conservative-led coalition government, which holds a 167-seat majority in the 300-member strong body, argues that the adoption of the new set of austerity and reform policies is a one-way road to the disbursement of further vital tranches of financing under bailout deals clinched since May 2010.

Athens expects that the ratification of the draft law with the latest "prior actions" requested by EU/IMF lenders this spring will unlock the delayed aid worth 2.3 billion euros ($3 billion) as early as Monday during the Euro Working Group meeting and the rest of aid installments totaling 8.8 billion euros later in May.