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HUS proposes leaving Social Economic Council over proposed pension scheme reform

Autor: mses
ZAGREB, Aug 12 (Hina) - The Croatian Association of Trade Unions (HUS) will propose to other union federations to leave the Economic and Social Council (GSV) if the government does not withdraw from parliamentary procedure a bill on pension insurance, HUS president Ozren Matijasevic told a news conference on Thursday.

HUS will propose that another condition for the continuation of social dialogue with the government be the annulment of privileged pensions for parliamentary deputies and government members.

HUS proposes that unions do not participate in any kind of meetings in the event the government turns down this federation's proposals, according to Matijasevic.

He expects other trade union federations to make decisions to this effect on Monday

HUS criticised the government for continuing the practice of not consulting with social partner before pushing amendments to the pension insurance act.

At the end of July, the government sent to parliament for consideration a bill on pension insurance.

Under the bill, the age for normal retirement for men and women (age 65) will be made the same, in accordance with the Constitutional Court's ruling on gender equality.

The current gender-related retirement age difference will be eliminated gradually over the next ten year, according to the proposed legislation.

Currently the age for old age pension for women is 60 years, and for men it is 65 years. The government proposes in its bill that in the period from 2011 to 2019 the age for women be increased by six months every year, so that by 2020 the age for normal age pension for men and women is made the same.

Those opting for early retirement would see a 4.08 percent decrease in their pension for every year of early retirement, or a maximum 20.4 percent decrease for five years of early retirement. At the same time, the bill envisages benefits for postponed retirement.

HUS proposes that age for retirement be based on years in service rather than on the age of prospective retiree.

(Hina) ms

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