A government spokesman described the Hellenic Broadcasting Corporation as a 'haven of waste'
Greece has said it would close down its state broadcaster almost immediately, planning to reopen it as a slimmed down operation as part of budget cuts.
Government spokesman Simos Kedikoglou – a former state TV journalist – described Hellenic Broadcasting Corporation, or ERT, as a "haven of waste" and said its TV and radio signals would go dead early on Wednesday.
He said its 2,500 employees would be compensated and the company would reopen "as soon as possible" with a smaller workforce. It was not immediately clear how long that would take.
Large crowds of ERT employees gathered outside its Athens headquarters, vowing to fight the decision and calling for a general media blackout in protest. Unions representing ERT workers at three terrestrial TV stations, one satellite station and its national and regional radio network said they would keep the stations on air. Protesting employees were joined by opposition politicians and union leaders. Both minority government partners of the ruling conservative coalition condemned the suspension.
Kedikoglou said in a televised statement aired on the state broadcaster: "At a time when the Greek people are enduring sacrifices, there is no room for delay, hesitation or tolerance for sacred cows." ERT's three channels and radio services would go off air after midnight and be relaunched at a later date as a leaner organisation, Kedikoglou said.
"ERT is a typical example of unique lack of transparency and incredible waste. And that ends today," Kedikoglou said. "It costs three to seven times as much as other TV stations and four to six times the personnel – for a very small viewership, about half that of an average private station."
It is the first mass public sector layoffs in Greece , which has pledged to cut 15,000 state jobs by 2015 as part of its bailout commitments.
Debt-stifled Greece has depended on rescue loans from its European partners and the International Monetary Fund since May 2010. In exchange, it imposed deeply resented income cuts and tax hikes, which exacerbated a crippling recession and forced tens of thousands of businesses to close, sending unemployment to a record 27%.
Greece's POESY media union accused the government of sacrificing the broadcaster to appease its creditors.
"Bailout creditors are demanding civil service layoffs and the government, in order to meet its obligations toward foreign monitors, is prepared to sacrifice the public broadcasting corporation," a union statement said.
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