Privileged pensions

Gov't moves annulment of privileged pensions for state officials

19.01.2012 u 15:03

Bionic
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The government on Thursday decided to move draft amendments to the law on entitlements and responsibilities of deputies to the national parliament, Constitutional Court judges and the Chief State Auditor, paving the way for the annulment of privileged pensions for them and for the introduction of a pension scheme which applies to all other citizens, under the Pension Insurance Act.

The changes stipulate the annulment of a possibility for the above-mentioned state officials to be granted a pension of over 17,000 kuna provided that they have 40 years of service. Instead, the upper limit for pensions for those categories will be HRK 8,872, the same as other pension recipients.

Prime Minister Zoran Milanovic said these changes would not make big savings, however, privileged pensions were "a pebble in a shoe" annoying a majority of the population.

PM Milanovic said his cabinet would see to it that parliamentary deputies aged 50 and above could continue working after the expiry of their term in parliament, instead of being retired.