Politics

Pensioners' Associations Demand 10% Pension Rise

By 21 April 2022
Pensioners' Associations Demand 10% Pension Rise
Image: Pixabay

ZAGREB, 21 April 2022 - Two pensioners' associations on Thursday asked the government to raise pensions by 10% and change the pension indexation model, due to the rise of inflation and food prices, for seniors shortchanged in the pension reform.

In an open letter to Prime Minister Andrej Plenković, they say that in February the average pension was 35.5% of the average pay, which puts Croatia at the bottom of the EU. Last year two in three pensions were below the poverty live at just over HRK 2,900.

Since the rise of inflation and food prices poses an additional blow to pensioners' low living standards, the associations expect the prime minister to take action to protect the oldest citizens.

The associations demand that by the end of June, pensions be raised by 10% for all those who retired after 1 January 1999, saying that this would total HRK 308 million a month for 1.14 million pensioners.

The associations don't want the 10% increase to be in force only until prices on the world market are put under control, but a lasting intervention for seniors whose pensions have been cut by 10% by the then pension reform.

They also demand that pensions up to HRK 2,000 be indexed by 120% and those from HRK 2,000 to 4,000 by 110%.

The government has announced that as of next month it will pay an energy allowance for seniors whose pensions are below HRK 4,000.

The associations welcome that, but propose that seniors whose pensions are below HRK 1,500 be entitled to a HRK 400 monthly energy voucher, to which only those receiving national and guaranteed minimum allowances are entitled.

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