Greek Court Upholds Ban on Holiday Bonuses for Public Employees

Greece's highest administrative court, the Council of State, has definitively ruled that the non-reinstatement of holiday and leave bonuses for public employees is constitutional. This decision effectively ends the possibility of public sector workers receiving their 13th and 14th salaries, which were abolished by a previous austerity law.

The ruling came in response to a test case filed by a public employee seeking the return of these bonuses, citing an EU directive on minimum wages in the private sector. The employee argued for equality between public and private sector workers. However, the court, aligning with established legal principles and previous decisions, rejected this argument.

Labor law expert Giannis Karouzos explained that the Council of State, like the European Court of Justice, adheres to the principle that public and private sector employees cannot be directly compared. He noted that public employees have constitutional protections, creating a different legal framework that prevents invoking equality principles in this context.

Karouzos highlighted that the court's decision also referenced "fiscal stability." This term, which he found notable, suggests that maintaining the country's financial health and the existing benefits for public employees requires preventing any disruption that could destabilize the national economy. The court's full reasoning is expected to elaborate on this aspect.

This latest ruling by the Council of State reinforces at least ten previous negative decisions on the matter. While a single positive decision was issued in 2018, it was overturned by the plenary session in 2019. The current decision confirms the legal status quo, denying the return of the abolished bonuses for public sector workers in Greece.