The progressive increase of “bonuses” for work without getting a pension after reaching retirement age demonstrates the wish of the state to slip the hand into the pocket of the pensioners.
This opinion was shared to the EuroBelarus Information Service by Tatsiana Zialko, the leader of Public Association of Belarusian Pensioners "Our Generation".
She commented on two novations introduced into the Pension Law of Belarus with the law “About pensionary payments”, signed by the President.
The first novelty presupposes progressive “bonus” increase for work without getting a pension after reaching a generally established retirement age. It transforms into a provision in the law, according to which for the first full year of uncollected pension it will increase by 6% of income received for its calculation, by 8% during the second year, by 10% during the third year, by 12% during the fourth year, by 14% during the fifth and every following year. When working without receiving pension less than a whole year, the increase for every two full months will be counted as 1% of the earnings.
Such mechanism of the postponed pension is aimed at stimulating people to the retirement in later life. I.e. if continue working without receiving state old-age pension after one has right for it, the scale of pension increases during the postponed citizen’s request for it.
- State policy consists in making people work longer without registration of the pension. But I don’t know any person who will refuse a well-earned pension in the hope that he will be paid more afterwards. Though pensioners may simply not see the pensionary payments, - says Tatsiana Zialko, who has economic education, has worked in a bank, where in her time she was involved in pension calculation. – The sum that the person hasn’t received if he has retired on coming of the retirement age he will reinstate for a very long time. In order to make a profit and receive a bonus, pensioner should live for about ten-fifteen years longer. Playing in these pension games makes sense if a person will live till the age of 80-90. But life expectance of Belarusans is much lower.
It turns out that to work after coming of the retirement age in Belarus so that to get bonus brings you no profit.
- Pension in Belarus is attached to the average nation salary. It is similar to the average temperature in hospital. Neither the minimum earnings, nor the subsidence minimum are taken into account. Any sum that is of benefit to the officials can be attached to this mythical figure of an average worker, and pension accounting is based on this number. Today Belarusans can’t calculate how much their pension will make. That’s why pension accounting should be made transparent, - Tatsiana Zialko is convinced.
The second novation of the Decree determines the unified approach to the working periods when calculating pension (with the premium payment and without it).
The periods with the premium payment are included into the length of service and are taken into account when calculating salary. Similar approach is provided for the working periods without premium payment (such as military service, studies, child-care, etc.). When included into the length of service they will be taken into account as well, and with the equal contingent gain at that – 40% of an average salary of workers in the country in the according months.
- The time during which a person is doing army service, is studying or is involved in child-care is included into service, - Tatsiana Zialko explains. – But this norm was in force earlier, in the early 90s, and it was cancelled after. So this is not an innovation but a well-forgotten past. Situation seems progressive, but we still need to look what will turn out of it eventually.
According to Tatsiana Zialko, Belarus should develop retirement insurance by letting foreign insurance companies be present on home market.