Indexation of pensions twice a year as seen by MPs

The recent Government decision on the indexation of pensions twice a year generated heated discussions between MPs. The Socialist MPs consider the formula is correct, while the opposition MPs believe that about 400,000 pensioners will benefit from lower indexation than the bill on the indexation of pensions that was adopted by Parliament last December provides. The Democratic MPs said they will seek details from the Government over this subject, IPN reports.

Deputy Parliament Speaker, PPPDA MP Alexandru Slusari said the persons with pensions lower than the minimum subsistence level under the previous formula would have benefitted from a 5% indexation on April 1 and a 5% indexation on October 1. “The formula proposed by Igor Dodon reduces this indexation for over 400,000 pensioners,” stated Alexandru Slusari. According to him, by the bill proposed by the Government, the social protection level for 400,000 pensioners is decreased.

Socialist MP Vasile Bolea said that Alexandru Slusari’s assertions are not correct as the pensioners will benefit from indexation two times a year. The indexation on April 1 will be based on the formula used during the last few years, according to the consumer price index for the previous three years. The average for the past six months of this year will be taken on October 1.

Deputy Parliament Speaker, PAS MP Mihai Popșoi said President Igor Dodon tried to create the impression that the double indexation of pensions means twice more. However, it is the same indexation that is divided into two. “It is as if you have the same salary, but receive it two times a month divided into two. The people will be able to spot such lies,” the MP stated in the program “Moldova live” on the public TV channel Moldova 1.

Democratic MP Nicolae Ciubuc said the Government that approved a decision to amend the law on the indexation of pensions is to present in Parliament a report for the first 100 days of work and then the minister of health, labor and social protection should explain what this decision provides. “We will then determine together if this Government decision run counter to that law. If it goes against the law adopted in December, there are the annulment, abrogation procedures and procedures for declaring this unconstitutional,” he stated.

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