The outbreak of the crisis in 2007 led to many states having to take out emergency loans in order to save banks. Money was tight and interests were increasing. Therefore, some EU countries had to face serious economic problems up to illiquidity. The usual response of relevant institutions and many economists is that this undesirable development can only be corrected by wage reductions and by cutting welfare expenditures. Based on this idea, their solution strategy consisted of strict austerity policy and put high pressure on labour markets and welfare systems which impacted the living conditions of people in a massively negative way.
For this reason, many institutions demand to cut public spending, be it pensions, wages and salaries or unemployment benefits. This policy of savings leads to a permanent repetition of cuttings of public and private expenses and therefore to reduced social security. It is not, however, a solution for the actual problems of rising inequality, unregulated financial markets and recession, but reinforces the negative social impacts of the economic and financial crisis.
We demand solutions which do not consider the economy as an end in itself but serve us, the people.