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 PM Hroisman says majority of Ukrainian pensioners live below poverty line

Ukraine’s PM has presented the Cabinet a new law on pension reform providing for the minimum pension increase up to 3,764 hryvnia ($144) from Oct. 1.

As reported by Censor.NET, Prime Minister Volodymyr Hroisman said that the new law on pension reform that would allow raising payments to Ukrainian pensioners was considered at today's meeting of the Cabinet of Ministers.

The presentation, which Hroisman has demonstrated at the government meeting, states that the majority of pensioners live below the poverty line today receiving 1,312 hryvnia (about $50) per month while the average pension in the country is 1,820 hryvnia.

"No one in Ukraine can predict the exact amount of one's pension. In fact, it does not matter how much you earn today as you will still receive a minimum pension," Hroisman said.

Read more: Ukraine will not receive another IMF tranche without pension reform, - Minister Danyliuk

"8 million people in Ukraine receive minimum pensions while the system does not allow to increase them," he said.

"Retired people become poorer every year," the MP said and explained that pensions in the country are being raised much less often than salaries.

According to the prime minister, the pension reform will modernize pensions. The Cabinet intends to introduce new regulations that will increase the minimum pension from 1,312 to 3,764 hryvnia as early as Oct. 1.

Read more: Minister Reva: Pension reform bill ready but still to be harmonized with IMF before being submitted to parliament

Hroisman said that the constantly increasing Pension Fund shortfall jeopardizes further payment of pensions.

According to the PM, the unified social tax revenues will grow after raising the minimum wage, which will allow increasing pension payments.

Besides, the official said that the retirement age for Ukrainians would remain unchanged. The pensionable service term will only undergo changes - it will be 25 years.

Read more: Ukraine's pension system on the brink of collapse, social policy minister says

Members of the Cabinet of Ministers supported the bill on pension reform. The initiative also got strong support of Minister of Sports Ihor Zhdanov, Acting Health Minister Ulana Suprun, and Deputy Prime Minister Pavlo Rozenko. The Cabinet unanimously approved the bill.
Источник: https://en.censor.net.ua/n440201
 
 
 
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