Philenews

ATA: The 'Anachronism' That Survived

Published January 18, 2026, 08:14
ATA: The 'Anachronism' That Survived

The article discusses the Automatic Cost of Living Adjustment (ATA) in Cyprus, analyzing its historical trajectory and the reactions it has provoked from the employer side. The author emphasizes that ATA has been repeatedly accused of being an 'anachronistic' institution that undermines the competitiveness of the economy, while in reality it is an important mechanism for protecting wages from inflation. The long battle fought to maintain ATA, despite pressures for its abolition, is highlighted. The author mentions a televised debate with a representative of an employer organization, who had predicted the collapse of the institution, which did not happen. Instead, ATA was gradually restored after an agreement with the Christodoulides government and social partners. The article stresses the determination of the government and the unity of the trade union movement as key factors in the success of the agreement. At the same time, it recognizes the contribution of the article and the former Minister of Labor, Zeta Aimilianidou, to the protection of the institution. In conclusion, the author states that ATA, despite initial reactions, has survived and continues to play an important role in the Cypriot economy, protecting the purchasing power of workers.