14:35 24.02.2015

Government proposes restricting payment of pensions to working pensioners

2 min read
Government proposes restricting payment of pensions to working pensioners

The Ukrainian government has proposed that 85% of pensions, at no less than the subsistence wage set for persons with disabilities (UAH 949 a month), is paid to working pensioners.

Draft law No. 2212 on amendments to some Ukrainian laws on the pension system was submitted by the government to parliament on February 23.

According to an explanatory note, it is also proposed that special pensions are not paid to working lawmakers, civil servants and persons equaled to them, ie, judges, prosecutors and other persons who have the right to obtain special pensions. The only exceptions are civil servants in the Defense Ministry, Ukrainian Armed Forces personnel and law-enforcement agents during the special period.

The cabinet also initiated the gradual increase of the beneficial pension age for women (by six months every five years), the extension of the length of pensionable service for persons who have the right to receive beneficial pensions, and the gradual increase of the length of pensionable service required for assigning pensions due to superannuation during five years.

According to the explanatory note, it is proposed to use the average wage (income) in Ukraine for which taxes are paid for 2012, 2013 and 2014 to calculate pensions.

If the draft law is passed it will take effect on March 1, 2015.

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