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IMF bailout fallout: Greece to cut 15,000 jobs

CNN-IBN
Feb 07, 2012 at 10:20am IST

New Delhi: Labour unions in Greece have called for a strike after the Government said it would cut 15,000 public sector jobs by the end of the year. Greece is under pressure from its eurozone partners to accept another round of strict austerity measures in exchange for the $171 billion bailout loan that was promised in October.

German Chancellor Angela Merkel told Greece on Monday to make up its mind fast on accepting the painful terms for the new EU-IMF bailout.

Failure to strike a deal to secure the $171 billion rescue - much of which Germany will fund - risked pushing Athens into a chaotic debt default which could have threatened its future in the eurozone.

IMF bailout fallout: Greece to cut 15,000 jobs

German Chancellor Angela Merkel told Greece on Monday to make up its mind fast on accepting the painful terms for the new EU-IMF bailout.

EU officials said on Monday the full package must be agreed with Greece and approved by the eurozone, ECB and IMF before February 15 to allow time for complex legal procedures involved in the bond swap to be completed in time for a March 20 bond redemption.

In some eurozone countries, including Germany and Finland, parliamentary approval is required to raise the bailout money.

Greek Finance Minister Evangelos Venizelos, who met the lenders for another round of talks to reach compromise on wage, pension and job cuts, warned the stakes were rising as time ran out.

With additional information from Reuters

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