Minister of Labor and Pension System Marin Piletić presented a new pension insurance law to the Croatian Parliament aiming to increase the average pension from the current approximately 3,000 kuna to at least 5,000 kuna by the end of the mandate. The law introduces several novelties including a new pension adjustment formula, increase of the lowest disability pension, introduction of the 13th pension, recognition of service time for mothers for each born or adopted child, abolition of penalties for early retirement at age 70, and allowing pensioners to work full-time while receiving 50% of their pension. The opposition welcomed the improvements but considers them insufficient, while the minister rejected claims about raising the retirement age. The new law is expected to come into force on July 1 this year.
Political Perspectives:
Left: The left-leaning perspective emphasizes the need for more substantial improvements in pension amounts and criticizes the government for not doing enough to ensure a dignified life for pensioners. They advocate for a more generous pension adjustment formula and the abolition of pension taxation to increase pensioners’ net income.
Center: The centrist perspective acknowledges the positive steps taken by the government to increase pensions and improve the pension system’s sustainability. They focus on the balance between financial sustainability and social welfare, supporting gradual reforms and cautious optimism about the new law’s impact.
Right: The right-leaning perspective highlights the importance of maintaining the pension system’s financial sustainability and supports reforms that encourage longer working lives and personal responsibility. They emphasize the benefits of allowing pensioners to work while receiving partial pensions and view the reforms as a step towards a more efficient pension system.
