site.btaCaretaker Labour Minister to Propose to NSSI Supervisory Board to Raise Pensions by 11%

Caretaker Labour and Social Policy Minister Ivaylo Ivanov said that he will propose that the pensions update from July 1, 2024 be set at 11% during Tuesday's meeting of the National Social Security Institute's (NSSI) Supervisory Board, as it was adopted by Parliament. "This is my right and I will make use of it without the need for anyone to advise me," Ivanov said, quoted by his Ministry on Monday, in response to public allegations that a lower pension increase was being prepared. 

Continue the Change-Democratic Bulgaria's demanded Sunday that an extraordinary sitting of Parliament is convened due to the NSSI draft report, according to which pensions will only be raised by 10% instead of 11%. Earlier on Monday, GERB deputy floor leader Denitsa Sacheva said that the NSSI Supervisory Board will meet Tuesday and decide to update pensions by 11%,

The 11% pension increase is provided for in the 2024 Public Social Insurance Budget Act, passed by Parliament, and is backed by the necessary funds. "In this sense, it is puzzling to exploit for other purposes a regulatory justified way of raising pensioners' incomes," Minister Ivanov said.

Under to the Social Insurance Code, pensions are increased according to the so-called "Swiss rule", but the final decision rests with the Supervisory Board of the National Social Insurance Institute. This creates a legislative possibility for pensions to be updated by a different percentage, although the calculations of the NSSI experts in charge of calculating the actual parameters - inflation and the increase in average social security income, show 10%.

"Each member of the NSSI Supervisory Board has the right to propose how much the pensions should be increased by and at the meeting tomorrow [Tuesday] I will take advantage of this right. Absolutely the same situation occurred before July 1, 2021, when the calculation of the parameters was lower than budgeted and on the proposal of the then caretaker social policy minister the NSSI Supervisory Board adopted a decision in the interests of pensioners. I will propose this with full conviction," the caretaker Minister said.