Lower house approves higher pensions amendment

The lower house of Parliament has approved a government proposed amendment to the pensions’ law which would increase old age pensions for all, with a special focus on people over the age of 85.

The bill would increase the fixed component of old-age pensions to 10 percent of the average salary from the current 9 percent, and a further increase would be linked to the merit-based component of the pension.

The pensions of people over 85 would be increased by 1,000 crowns a month on the argument that they need to spend more money on medical care.

All pensioners should get an increase of at least 540 crowns per month in addition to the regular pensions' indexation.

The cost of the pensions' increase would reach 14.5 billion crowns. The bill still needs to win approval in the Senate and be signed by the president.