Greek betting monopoly OPAP (OPAr.AT), 34 percent state-owned and one of the cash-strapped country's most valuable assets, has clinched a deal with employees who will take an average 14 percent pay cut.
Under a three-year labour contract which ends December 2013, employees at OPAP, Europe's biggest betting company, will work 8 hours a day, up from 7.5 hours.
Analysts did not expect the wage cut to significantly boost OPAP's profit and make it more attractive to investors.
The deal concerns OPAP's 240 full-time employees, while the rest of its workforce, about 700 people are on individual labour contracts. "We estimate the total cost saving at 4 million euros per year," IBG analyst Dimitris Birbos said in a note.
Debt-laden Greece has asked state firms to curb wage costs to save money and share the pain of austerity-hit civil servants and pensioners, whose income was slashed as part of a 110 billion euro ($158 billion) EU/IMF bailout.
"Showing once again their responsibility, employees evaluated the general economic climate and OPAP's need to stay competitive and reached an agreement," OPAP labour union chief Marina Massara told Reuters.
Under fierce pressure from international lenders to sell state assets, Greece plans to divest its stake, worth about 1.5 billion euros, next year to cut debt.
Massara said the trade union opposed the government's planned stake sale, saying it would run counter to Greece's interests.
OPAP, with net profit of 576 million euros last year, is one of Greece's most profitable firms, offering millions of euros for cultural and sports purposes through sponsorships. The state also receives hundreds of millions of euros from the company in annual dividends and taxes.
"Workers will try to reverse any (privatisation) plans because OPAP ... is the pillar of culture and sports and offers a lifeline to the state budget," Massara said.
Workers in other listed state firms with much higher labour costs, including telecom operator OTE (OTEr.AT) and refiner Hellenic Petroleum (HEPr.AT), have been refusing to see their wages curbed.
REUTERS
