Support Global Action on
pensions to be increased by 6%-7%
By prime-tass agency staff
Russia Journal Daily, Apr
TAMBOV - To ensure timely wage payments
to state employees it is necessary for regional budgets to allocate no
less than 40% of their revenues for that purpose as the government
recommends, Russian President Vladimir Putin told reporters late
Putin said that currently 63 out of Russia’s 89 regions do not have any
wage arrears to state employees.
This, Putin said, testifies to the fact that there are either no
contradictions between governors and municipalities or they are not being
resolved at the expense of the people.
Speaking on the issue of pensions Putin said that it is possible that
pensions will be raised once again in addition to the index-linked
increase planned for August.
He said that from August 1 pensions are planned to be increased by 6%-7%,
which, coupled with the April 1 index-linked rise, will result in an
average monthly increase of 265 rubles this year.
Putin also said that taking into account new amendments to the pension
law, the law “has turned out to be a good one” because it provides
government guarantees on the insurance part of pensions, which may
otherwise be lost.
Russia uses two systems to make pension payments: the base pension does
not depend on past contributions, while the insurance pension is paid from
current contributions and has a limited dependence on the past
contributions of the pensioner. (31.2860 rubles – U.S. $1)
© 2002 Global Action on Aging
Policy | Contact Us