Strikes brought much of Greece to a standstill Thursday with the government in disarray after backing off proposals to overhaul the nation's sagging pension system. In central Athens, a protest drew about 20,000 workers, including laborers, teachers and firefighters. Schools and government offices closed and journalists joined the work stoppage, forcing television and radio stations to cancel news programs. Most tourist sites, including the Acropolis, were shut. Even Greek Orthodox priests, who are technically civil servants, stayed away from their duties.
Officials now say all options to reform the pension system are open for discussion.
Last week, the Socialist government outlined sweeping proposals it says are necessary to prevent many pension funds from going bankrupt. The measures included pension cuts and an increase in the minimum retirement age to 65. Under the current system, some women with children can receive state retirement benefits at 55. Greece's powerful unions immediately rejected the steps, forcing the government into an embarrassing reversal. Some critics assailed Premier Costas Simitis for caving to labor interests at a time when Greece is facing a budget crisis over funding for social programs and rising costs for the 2004 Olympics.