TNBiz (TNBiz)
Pension insurance  |  September 10, 2012 13:55:06

The state pays the pensions next year despite the slowdown valorization almost 12 billion more

PRAGUE (MEDIAFAX) - The government on Wednesday to discuss the draft state budget for next year are to increase money for pensions by 3.1 percent compared to this year, will pay a total of 394.1 billion crowns. Thus, the state pays 11.8 billion more, despite reduced indexation, which last week approved the deputies.

The lower house of parliament voted last week despite the Senate rejecting a law reducing pension indexation rate of inflation and the third third of the growth in real wages. The law still awaits the signature of President Vaclav Klaus, Finance Minister Miroslav Kalousek (TOP 09) in its draft state budget already counts with the approval of the changes.

By reducing the rate of indexation for three years only in 2013 will save the state 9.5 billion. On indexation and gives a 5.1 billion more than this year.Against the speed reduction indexation in May demonstrated at Jan Palach Square, and after a march against Government several thousand seniors. It was the first such protest pensioners in the Czech Republic.

Total of social benefits worth nearly 503 billion crowns, which is 3.7 percent more than in 2012. The fastest relative growth awaits assistance benefits in material need, which should lift 72.2 percent to 12.4 billion crowns. Benefits for the disabled will peak at 2.33 billion crowns, which is an increase of 64.5 percent. Unemployment benefit should go according to the proposal by 22.8 percent more money than this year, they should climb to 11.3 billion. The Ministry anticipates that the average registered unemployment rate will rise next year to 8.6 percent, raising also the calculation base of the benefits."Given the legislative shifts between these batch files, which are managed and paid office work, their dynamics can be assessed only in whole-year growth," Finance Ministry officials point out the fact that the state pays them together 46.3 billion, which is only about 1 , 8 percent more than in spending this year.

The draft state budget envisages a total deficit of 100 billion, the amount of expenditure as presented reduced year on year five billion crowns.

Jan Drahorád,

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