Ljubljana, February 26, 2015/ Independent Balkan News Agency
Review Hari Stefanatos
The highest body of the manager of Slovenia’s pension purse (ZPIZ) approved Thursday, with 11-7 in favour, a trade union proposal to implement a special increase in pensions in 2015. The motion was put forward by trade unions which argue that the growth of the economy last year should be translated to an increase in pensions this year.
This decision, however, does not appear likely to go through since it is contrary to the government’s plans to implement an increase at the start of the next year, and has already made it clear that it will veto the motion, which is within its rights.
“The government cannot and will not endorse a special increase in pensions if it wants to stick to commitments given to its citizens and adhere by international documents,” Prime Minister Miro Cerar said after a government session on Thursday, do add that “we would face an unacceptable and inappropriate deficit,” said Cerar, who called the motion “irresponsible to the country and its citizens to the point of ignorance”.
The government is fighting hard to keep the budget deficit under 3% of the GDP this year, a promise given to the EU, and as such any pension rise would deviate from that line. Cerar said that there is going to be an increase in pensions at the start of next year.
This solution was adopted by government partners last week as parliament passed the supplementary budget following some complaints from the coalition Pensioners’ Party (DeSUS), which however, eventually had to settle for promises of a raise in early 2016.
The ZSSS trade union association said that the national budget would not be directly impacted from the EUR 50 million that would be needed for such a raise, because the money would come from the state-run pension fund KAD, which was confirmed by KAD chairman Bachtiar Djalil, who however was quick to note that the long-term future of KAD remained uncertain.