“The survey data show that 93 percent those who spoke agree that serious illness (…) or disability (…) would be considered important reasons (…) A considerable number say that these could be circumstances when you face the risk of losing your only home”, M. Šiurkus told LRT radio on Wednesday.
According to the vice-minister, the 1.5% allocated by the state should be destroyed at the moment. support in the amount of the average wage (VDU) is not considered for those accumulating support in the second tier of pensions.
“That encouragement is a good thing, it encourages people to contribute anyway, because basically, the demographic situation and all the things that are coming up, related to economic insights (…) People must understand that they need to think about themselves as early as possible to take care of themselves in old age.” In our opinion, there is no need to destroy that second stage, it is necessary to think about its development and improvement”, emphasized M. Šiurkus.
However, according to Inga Ruginienė, chairwoman of the Confederation of Trade Unions, abolishing the second tier of pension accumulation would encourage residents who pay taxes transparently, and not private accumulation systems that “make a business out of it”.
“We should also encourage those who save for their pension in the first state system, “Sodra”. Because today we really have a considerable shadow and those who work legally, pay taxes honestly and transfer a considerable percentage to the state system are really worthy of respect”, emphasized I. Ruginienė.
Saving extra for old age is important, she said, but the current auto-enrollment system isn’t fair.
According to economist Romos Lazutka, the current system of pension accumulation seems attractive to managers of large pension funds, who are pressuring politicians not to change it.
“The pension fund managers think that the system is good. Because they receive now about 30 million per year. euros for administration, this is huge money (…) Already now people see that the results are poor, people (want – ELTA) to leave, stop payments to those pension funds, when a person needs to borrow for many things with one hand, and pay with the other hand and he does not have enough funds from paycheck to paycheck,” emphasized R. Lazutka.
According to the economist, the CT decision is a welcome first step, but it will not be enough.
ELTA reminds that the Constitutional Court decided that the limited possibility to withdraw from pension accumulation funds in the Pension Accumulation Law violates the Constitution. At that time, according to the institution, different types of payments based on the amount of accumulated assets do not violate the main law.
KT notes that the right to funds accumulated in pension funds is related to the protection of his property rights, therefore the current regulation has no basis.
The Constitutional Court indicated that the reasonableness and appropriateness of determining the amount of assets accumulated in the pension fund and the amount of pension payments depending on them is not a matter of constitutional control, because there is no reason to claim that the values enshrined in the Constitution, defended and protected, are obviously negated by such legal regulation.
39 opposition members of the Seimas submitted to the CT to examine the conformity of the Pension Accumulation Law with the Constitution. They questioned the constitutionality of the law, as it does not provide for any option to opt out of pension accumulation in pension funds. They also raised the question of the possibility of a pension fund participant for up to 12 months. suspending participation in pension accumulation, changing the pension accumulation company or pension accumulation fund, corresponds to the individual’s right to dispose of his property.
in 2023 in October, the Seimas did not approve the changes initiated by the Presidency in the pension accumulation system. The head of the country, Gitanas Nausėda, suggested that the Law on Pension Accumulation should provide for a pension accumulation participant’s right to receive a lump sum of no more than 25% once during the entire period of participation in the accumulation. payment of the amount of accumulated assets.
However, after the presentation, the parliament approved the proposal of the liberal J. Varkalis to provide an opportunity for both pension fund participants who have reached and those who have not reached retirement age to receive not only periodic payments, but also to withdraw 10.8 thousand from their accumulated assets once. euros.
The submitted project provides that both persons who have reached and those who have not reached retirement age, but who have accumulated more than 10.8 thousand has the right to receive a one-time (or periodic) payment of up to 10.8 thousand euros. euros.
However, the Seimas decided not to consider the project further until the decision of the CT was received.
Tags: Residents asked money withdrawn pension tier important reason illness
