President signs amendment slowing old age pension growth

Czech President Václav Klaus has signed into law legislation slowing the growth of old age pensions over the next three years, the president’s spokesman Radim Ochvat revealed. By doing so, the president declined calls by the opposition Social Democrats and the country’s Senior Citizens Council to reject the bill. Last week, the Chamber of Deputies passed the bill again, overriding a veto by the Left wing-dominated Senate. Under the amendment, pensions will be indexed over a period of three years starting in 2013 with one third of the growth in prices and one third of the rise in real wages. The amendment is part of the government’s austerity measures aimed at decreasing the deficit.

Author: Jan Velinger