The Greek government is weighing the reinstatement of the 13th salary for public sector employees and a 13th pension for retirees—longstanding demands that have remained off the table due to fiscal constraints.
While officials have dismissed the proposals for now, citing a lack of budgetary room, the government expects a stronger economic performance by September that could open the door for these long-awaited benefits.
A key argument in favor is the potential activation of a European Union “escape clause”, which could allow Greece to bypass strict spending limits due to military expenditures.
Despite denials from his administration, Prime Minister Kyriakos Mitsotakis is widely expected to unveil a major economic relief package at the Thessaloniki International Fair in September.
According to government insiders, discussions are underway about not just reinstating the 13th salary but also restoring the 13th pension—or at least issuing a substantial financial bonus to retirees.
This shift in strategy follows the recent rejection of an opposition-backed proposal in Parliament to restore the 13th salary, with the government insisting that "the Prime Minister is responsible and will not gamble with the economy."
Initially, such benefits were projected to be reintroduced in 2026, ahead of the next election cycle. However, mounting political pressure and shifting dynamics may be accelerating the timeline.
The ruling party is eager to avoid a repeat of PASOK’s 2012 collapse, which paved the way for SYRIZA’s meteoric rise.
To counter accusations of election-driven policymaking, the government is likely to frame these moves as a result of faster-than-expected economic growth. It may also lean on the EU’s military spending “escape clause”, should Brussels officially extend this fiscal flexibility to Greece.
The months following the Thessaloniki International Fair will be pivotal. If, by the end of 2025, the ruling New Democracy party manages to regain ground in opinion polls and stabilize, Mitsotakis could proceed with a long-term political plan, potentially targeting elections in May 2027.
However, if challenges continue to mount, all scenarios remain open—including the possibility of a leadership transition within the ruling party before the next election. Such a move would mirror the 2004 PASOK handover, when Kostas Simitis stepped aside for George Papandreou in a last-ditch effort to refresh the party’s image before voters went to the polls.
While the government is laying the groundwork for significant economic announcements, the unpredictability of global and domestic events makes long-term political planning a gamble. As the old Yiddish proverb goes, "Man plans, and God laughs."
