Thursday, July 2, 2015

Pensioners on the brink of financial disaster. Valorisation of 2016 … – GazetaPrawna.pl

Minister of Labour and Social Policy has already prepared a draft of next year’s indexation of pensions. If nothing changes, all benefits will be increased by 0.52 per cent. Experts warn that they will lose on that persons receiving benefits below the average gain while extracting the highest payouts. A pensioner who currently receives 880.50 zł, in March next year will receive 885.07 zł; that the provision in the amount of 5 thousand. zł after indexation will have five times the increase.

Bad proportions

Assured, where you can prove seniority entitlement to the minimum pension, currently receive ZUS amount of 880.45 zł. Such people in Poland is 149 thousand. and for 15 years the amount charged by them benefits decreased compared to the minimum wage. While in 2000. This ratio was 67.72 per cent., Whereas they currently receive just 50 percent. the minimum wage.

– In Poland, the minimum pension is not related to the minimum wage. As a result, people receiving benefits from the Social Insurance Institution did not really benefit from economic growth. Moreover, for several years the government in the valuation takes into account only one-fifth of salary increases. This means that people receiving the lowest benefits each year are becoming worse situation – explains Andrzej Strębski, an independent pension expert. – It’s time to change that – he added.

In contrast to the case approached Jeremi Mordasewicz of Lewiatan Confederation and member of the Supervisory Board of Social Insurance Institution. In his opinion there is no reason to minimum pension followed the minimum wage.

– The standard of living of pensioners is not reduced, because the valorization takes into account inflation. If we compare the cost of living seniors and people working, spending the first group are lower. The reason? People already are not burdened with non-performing loans for the purchase of housing – says Jeremi Mordasewicz.

In his opinion, the retiree will get a fuller picture when we compare the average pension paid by ZUS to average wage. At these values ​​- as opposed to the minimum wage set by the government – they do not affect the politicians. It turns out that for 15 years the average pension is approximately half the average wage. While in 2000. Average pensioner receives 52 percent. the average salary, whereas in 2006 it was 50 per cent., in 2013. – 51 per cent., and this year may reach 52 percent.

According to experts, such a proportion is correct and should apply to all retirees.

Threshold scarcity

Trade unions have no doubt that thousands of pensioners live in abject poverty. Minimum pension for years is lower than the subsistence minimum. And so in 2000. Lowest provision constituted only 59.44 per cent. the minimum subsistence figure, in 2006. – 60 per cent., in 2014. – 64 percent.

– Meeting the vital needs of pensioners consistently maintained at a level much lower than the subsistence minimum. And yet these minimum sets a threshold below which begins shortage area or even poverty – remarks Andrew Strębski.

The trade unions are demanding a change in indexation. – It is necessary to introduce the principle that the lowest benefits should be raised by a certain amount. In such a case should be permanently introduced a rule that indexation is mixed – explains Tadeusz Chwałka, chairman of the Forum of Trade Unions.

On the other hand Wieslaw Taranowska, Vice-President of OPZZ, a member of the Supervisory Board of ZUS, he adds, that the problem of people in a difficult situation can only be resolved by aligning the lowest pensions to the subsistence minimum.

– Part payments from the Social Insurance Institution should be increased by 200 zł – he added.

Dr. Joanna Staręga-Sand, deputy director of the Institute for the Development of Social Services, points out that retirees now are increasingly forced to turn to social welfare centers.

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