Insights on the greek National Elections by Burson Marsteller

1. In elections on 6 May the people of Greece gave a stunning rebuff to the two mainstream political parties and turned to the radical
left and extreme right in an election that has highlighted discontent in the country with punishing austerity measures.
The Socialists (PASOK, who had previously been the largest party in the Greek Parliament) finished third on just 13.2%, behind
radical left-wing party SYRIZA (16.8%) and the centre-right New Democracy (ND - 18.9%). Together, PASOK and ND, the mainstays
of Greek politics, won less than a third of the vote - a historic low. In the previous elections in 2009, they won the votes of more
than three-quarters of voters. Two new parties from the right and left - ANEL and DIMAR respectively - entered Parliament, and the
Communists (KKE) increased their score. Most shockingly, the extremist Golden Dawn party scored nearly seven per cent. Nearly
20% of votes went to parties that did not reach the three per cent threshold for entering Parliament.
The composition of the assembly mean that it will be extremely difficult to form a government: ND has already failed, and SYRIZA
has now been given a small window to seek to form a coalition. It seems likely that there will be new elections. The results have
plunged Greece - and the eurozone - into fresh turmoil.
passed to SYRIZA (which, on 9 May, is halfway through the three-
day period it is granted to find partners). There is an increasing
likelihood of fresh elections on 17 June.
These elections mark the end of the de facto two-party system
that has reigned since 1974. The two traditionally main parties,
New Democracy (ND, centre-right) and PASOK (centre-left), saw
their share of the vote drop dramatically. The electorate seems to For the first time since the restoration of democracy in 1974,
have punished the two parties for their support of tough austerity seven parties will form the Parliament. Other parties won nearly
measures agreed with Greece’s international creditors. one-fifth of the vote, but failed to overcome the three per cent
threshold for entry into Parliament. New Democracy (ND), as the
leading party, won a bonus of 50 seats, with the remaining 250
allocated proportionately. This electoral law is designed to allow
These elections had the shortest election campaign in modern
the formation of a government by a single party gaining around
Greek history. Although it had been decided in December to
40% of the vote. Given the support for parties that failed to enter
delay elections until at least late April (to allow the technocratic
Parliament, it was theoretically possible to form a government
government to pass austerity measures), the official date was not
with 35-37% - but no single party won more than 19%.
announced until 11 April. This left parties with less than four
weeks to persuade voters. Against the backdrop of austerity
measures and the spectre of the country’s bankruptcy, campaigns
were run on whether parties were for the bailout and reform Coalition of the Radical Left (SYRIZA): led by Alexis Tsipras, this
programme (’memorandum parties’, referring to the agreements coalition of several left-wing political parties is pro-European but
between Greece and the International Monetary Fund (IMF) and anti-memorandum - a stance that seems to have won the favor of
the European Union) or against (’anti-memorandum parties’). many voters, who were unhappy with the Socialists (PASOK). It is
the only left-wing party that has openly proposed a left-wing
coalition government. SYRIZA has quadrupled its share of the
vote in comparison to the 2009 parliamentary elections.
The short, single-issue campaign resulted in radicalisation:
disaffected ND and PASOK voters deserted these once-dominant Golden Dawn: This extreme-right party has links to neo-fascist
parties who had formed a unity government and accepted the movements around the world. This is the first time it won enough
unpopular terms and austerity of the second bail-out. Support for votes to enter the Parliament, with an impressive 21 seats. The
these parties fell to its lowest level since 1974, when Greece result can be attributed to increasing security concerns and anti-
emerged from a seven-year dictatorship. immigration sentiments that are prevalent among many citizens.
Smaller parties benefitted: in an overwhelming ‘anti- Independent Greeks (ANEL): Founded less than two months
memorandum’ vote, the biggest winner was the Coalition of the ago by an ousted ND MP, Panos Kammenos, this right-wing, anti
Radical Left (SYRIZA), which finished second, winning 52 seats in -memorandum party focused on the preservation of national
the Greek Parliament. The extreme-right Golden Dawn (which sovereignty and attracted conservative voters from ND and LAOS.
denies being neo-Nazi, insisting it is nationalist and patriotic) won
Democratic Left (DIMAR): Founded by dissident SYRIZA MPs,
21 seats; the right-wing Independent Greeks (ANEL) won 33 seats
later joined by disaffected members of PASOK, DIMAR represents
in their first election. The radical right-wing Popular Orthodox
a milder left-wing approach than SYRIZA and wants to play a
Rally (LAOS) was punished for its brief participation in the three-
constructive role in the governance of the country. Led by Fotis
party caretaker government led by Lucas Papademos, and saw its
Kouvelis, it opposed welfare cuts and the deregulation in the
vote shrink below the three per cent needed to enter Parliament.
labour market while advocating that Greece stay in the euro (with
The results highlight the anger and despair of the Greek people, a renegotiated economic adjustment and growth programme).
who called for a drastic change in the political landscape and
Communists (KKE): the KKE played a key part in recent anti-
disengagement from the bailout agreement with the IMF and EU.
austerity protests in Athens and was hoping for an increase on its
No party won enough votes to form a government. ND already previous score of 7.5% (it actually achieved an increase of less
stated that it could not form a coalition, and so the baton was than one percentage point, and lost its leadership of the radical

2. Parliamentary elections
Several other parties did not win enough support to enter
Votes Parliament, including the Green Ecologists, a pro-euro party that
is represented in the European Parliament, and Popular
 Orthodox Rally (LAOS), a right-wing party that withdrew its
support from the coalition at the time of the second bailout

programme. Other liberal, right-wing parties in favour of the
 memorandum and structural changes also failed to enter
Parliament, including Democratic Alliance (DISY), led by a

former ND MP and former foreign minister, Dora Bakoyannis,
Drasi (Action), led by a well-known liberal politician, Stefanos

Manos, and Recreate Greece, a newly-formed party of non-
professional politicians, who managed to achieve 2.15% in their
first elections.
Composition of Parliament On Monday 7 May the President of Greece gave Antonis Samaras,
the leader of New Democracy (ND), a mandate to lead talks to
form a government. Despite having a three-day window to
negotiate with other parties, Mr Samaras said on the same day
that he was unable to form a government. The baton has now
been passed to Alexis Tsipras, the leader of SYRIZA. He has
already rejected calls from ND and PASOK for a so-called
‘national salvation government’ and will instead seek the support
of other Left parties, such as DIMAR. While DIMAR’s leader, Fotis
Kouvelis, seems positively disposed towards this idea, it is unlikely
to see the light of day as the Communists (KKE) have said that
they will not participate in any coalition government.
Given the fragmentation of the Greek Parliament, it is very likely
that fresh elections will follow. If SYRIZA or PASOK (which is next
Key facts from an extraordinary election
in line) fail to form a government, Parliament will convene on 17
 32 political groupings participated in the election May to appoint a transitional government to lead the country to
 Turnout was 65.1%, down from 70-75% up to 2009 new elections within one month.
 PASOK scored only a third of their usual vote (13.18% in A second election will show whether the results of 6 May were a
2012, compared to around 40% up to 2009)
 The vote for New Democracy (ND) halved from around 35-45%
conscious choice of the Greek public or whether emotions
pre-2009 to just 18.85% in 2012 controlled voters’ choices. Ahead of new elections, parties are set
 PASOK and ND had previously won around 75-80% of the vote; to take the time to form alliances in an effort to improve the
in 2012, they won less than a third of votes chances of forming a government. Mr Tsipras is set to approach
 Nearly 20% of votes went to parties that failed to enter other left-wing parties, as well as the Greens, with the aim of
Parliament
potentially joining forces. ND and PASOK will also come under
 44.5% of 18-24-year olds voted for SYRIZA, Golden Dawn or
increased pressure - not least internationally - to cooperate and
ANEL
 40% of the voters made their choice in the last three days to form a grand coalition in favour of the memorandum.
of the campaign; 20% made a decision on polling day
International creditors - and EU leaders - will be looking to this
 The inability of the three liberal parties to join forces
prospect as the best way of shoring up support for the euro and
before the election left them all outside Parliament
for the bailout measures. However, the people of Greece have
made a clear statement that they are deeply unhappy with the
current austerity measures that are the price of keeping Greece in
left). It has been a consistent advocate of withdrawal from the EU. the eurozone.
Greeks may look to the election of François Hollande as President
of France as a positive step in turning back the tide of austerity
New Democracy (ND): the main conservative centre-right party,
and an opportunity to persuade the German government -
it has been led by Antonis Samaras since 2009. Despite winning
popularly perceived as the instigator of the harsh economic
the most votes, ND saw its share decline to unprecedented lows.
conditions in Greece - to change course, or at least to modify it.
Mr Samaras had insisted on the need for elections as soon as
However, the signals from Berlin are that the Greek reforms are to
possible and for an “autonomous New Democracy government”,
continue. If Sunday’s vote is confirmed in new elections, the
rejecting pre-election agreements with other parties.
prospect of Greece leaving the eurozone may become
Pan-Hellenic Socialist Movement (PASOK): the main centre-left increasingly real.
party, it was led into this election by Evangelos Venizelos, a
former finance minister. PASOK carried the ‘political cost’ of the Original text by the team at Advocate/Burson-Marsteller, Burson-
austerity measures implemented during its time in government. Marsteller’s affiliate in Greece. Visit www.advocate-bm.gr