Thursday, October 13, 2016

Reduction of the retirement age, beginning in the fall of 2017? We will have many cost – Money.pl

a Law reducing the retirement age to 65 for men and 60 years for women will be adopted before the end of this year, and act in the fall of 2017, – assured the Prime Minister Beata awl. – The consequences could be serious, warns Professor Elizabeth Mączyńska. – Gradual, but a sharp drop in the height of pensions or higher taxes and pension contributions. In the long-term decline in competitiveness and a slowdown in GDP growth, lists the Professor. Witold Orłowski.

Prime Minister Beata Shiloh assured on Wednesday that the issue of reducing the retirement age, the government takes into account possibilities of the state budget. The law must be ready before the end of the year, and the changes came into force at the end of 2017.

- Those changes that we now present, we are very well prepared, thought out and fully answer, – assured the head of government. But as reserved, it is necessary to reflect on the functioning of the entire pension system.

Billions

However, calculating the Rate of Social Services showed a giant hole in the pension Fund. For five years in retirement may not be enough even 400 billion. From system transformation force the funding of pensions in Poland decreased by almost five times! Today one pensioner works only 1.4 worker in 1990, there were more than 4.5 – stressed in a conversation with money.pl Professor Marian Leg. And he adds: “we can’t afford the operation, which not only solve the problem but it pogłębią”.

As noted economist and former member of the Council for Monetary Policy, a giant hole will impose high costs kontrreformy. In July the head of the standing Committee of the Council of Ministers Vasily Kowalczyk reported that the reduction of the retirement age will cost about 10 billion rubles a year. According to Professor Foot, and so low cost. – SOOS, he said that lowering the age of retirement will need about 150 billion in the next 3-4 years, it gives about $ 40-50 billion rubles per year. Where did the money?

As recalled by Professor Elizabeth Mączyńska, an economist at the Warsaw school of Economics and member of the Scientific Council of the Institute of Economic Sciences PAN, the budget and so very wyśrubowany and already hovering around the boundaries 3 percent. GDP. – Reduction of retirement age will have serious consequences. Also for the budget. Reduced admission to the territorial funds, in particular, because of deflation, and the cost of implementing the promises grow – lists in conversation with money.pl. – Return to the border of 65 for men and 60 for women is a mistake, he adds.

we are Waiting for a sharp drop in the height of pensions

Currently, the age of retirement gradually increases to age 67, regardless of gender. In the year 2020. men should retire at this age, and women in 2040. As recalled by Professor Witold Orłowski is a global trend related to long average life, and an aging society.

Today, the ratio of pensions to past wages – that is, the so-called replacement rate is 62 percent. According to estimates approximately 2040-2050 year will fall by 30 percent. But what is important is that the average wage will increase. This means that, although the ratio will fall it in the hands of the Poles will receive higher pensions. So, how to convince economists that the repeal of this reform, is a mistake.


Source: Money.pl, KNF

- obawiałbym Not in the budget, because by the time saving guaranteed payments of state pensions, the cost of 10 billion rubles to Finance. Not it is a major popular sound of this reform, said in an interview with money.pl prof Orłowski. According to the economist the effects people feel.

- we are expecting a gradual, but a sharp drop in the height of pensions or higher taxes and pension contributions. In the long-term decline in competitiveness and a slowdown in GDP growth, lists the Professor. Orłowski.

the Prime Minister has announced that at the end of this year, the President of ZUS will present the system full review of the pension system. – Then sit down for discussion and invite to discuss the necessary changes that need to be enter – promised the head of government.

Among them should be broadcast to the rest of the money from CDB to reserve demographic and IKE, and USS would become the sole Agency responsible for all kinds of social insurance and agriculture, as well as for law enforcement officers, judges and prosecutors. Read more we wrote about it here.

the Project is to reduce the retirement age, submitted to President Andrew Tennis, hit the Sejm on 30 November 2015. His first reading was held on 9 December, and then came to the parliamentary Committee on social policy and family. In the Commission’s January 12, 2016. we held public hearings on the project. On 10 March, the Commission has created an incredible podkomisję in which currently, the project is located. On 30 June, the standing Committee of the Council of Ministers to recommend to the government a positive assessment about the project.

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