Pensions to rise as of August

Labour and Social Affairs Minister Petr Nečas has promised an increase in pensions as of August of this year. The centre-right government approved the decision in view of the unexpectedly high inflation rate. In January and February prices increased by 7.5 percent year-on-year, in March by 7.1 percent. Pensions are annually indexed on January 1st but the planned raise has been made possible under a newly-approved amendment to the law which stipulates that pensions can be indexed whenever inflation exceeds 5 percent.