A political spat between ruling New Democracy (ND) and main opposition PASOK party erupted on Thursday over the prospect of how a four-day workweek could be implemented in Greece, reflecting a broader debate on labor reforms and productivity in the east Mediterranean country.

Government spokesperson Pavlos Marinakis first criticized a proposal put forward by PASOK leader Nikos Androulakis, describing it as “superficial, hasty and populist.” He warned that adopting such a model would “with mathematical certainty” lead to business closures, rising unemployment and higher prices for consumers.

Marinakis argued that the government has already introduced a more cautious framework, allowing a four-day workweek on a voluntary basis through agreements between employers and employees. He stressed that this differs fundamentally from what he described as PASOK’s broader proposal.

According to the government, the opposition plan overlooks the realities of small businesses, which make up roughly 95% of the Greek economy. Marinakis cited the example of a small firm with seven employees needing to hire additional staff to maintain productivity under reduced working hours, arguing that such costs would ultimately be passed on to consumers.

In response, PASOK defended its plan, outlining what it described as five key arguments supporting the introduction of a four-day workweek. Party officials clarified that the proposal αφορά a pilot program, targeting larger companies with more than 20 employees and focusing on knowledge-intensive roles rather than manual labor.

The measure would be implemented through agreements with participating businesses and supported by initial tax incentives. PASOK links the proposal to a broader strategy aimed at reshaping Greece’s production model, emphasizing the integration of new technologies and artificial intelligence.

Party officials also argue that Greece has invested in a highly skilled workforce suited to a knowledge-based economy, but that the current production model fails to fully utilize this potential, contributing to the emigration of young professionals.

Citing research from the Organisation for Economic Co-operation and Development (OECD), PASOK claims that increased productivity driven by artificial intelligence could offset around 10% of existing jobs in Greece.