Liberal and Social Democrat leaders Nicolae Ciuca and Marcel Ciolacu announced on Facebook that their ruling coalition found the solution to solve the problem of special pensions, and they submitted accordingly amendments to the bill currently under debate in the Chamber of Deputies.

The bill is key for the third disbursement under the Resilience Facility (the second not being yet disbursed).

"These amendments are aimed at eliminating the abuses and inequities that have lasted too long….The target is the principle of contributivity to prevail throughout the public pension system! Thus, from now on, no one will be able to build parallel systems [of benefits], to derive huge arbitrary pensions, higher than their income when employed," Social Democrat leader Marcel Ciolacu wrote on Facebook.

The proposals, outlined by Ciolacu, include gradually increasing the retirement age to 65 years for all employees [until 2034]; levying a 30% tax on the portion of special pensions above the average gross wage; and no longer indexing the magistrates' pensions to the rise in the current benefits of magistrates.

The special pensions awarded in the past will not be reduced (except for the 30% tax levied on the part exceeding the gross average wage).

iulian@romania-insider.com

(Photo source: Inquam Photos/Octav Ganea)