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In the next year, recipients of small pensions will receive more than double the compensation for inflation. Senior representatives and Caritas are very satisfied with the planned pension adjustment.
10:04 am, September 27, 2020
Will be next year Payments of up to 1,000 euros increased by 3.5 percent. The increase falls linearly to 1,400 euros, from 2,333 euros it has a fixed cap of 35 euros. The government will increase this, on average above the legal adjustment. decide on Wednesday in the Council of Ministers. the The adjustment averages 1.8 percent.
That at least for smaller pensions more ÖVP and the Greens have already assured the senior representatives when the legal adjustment factor of 1.5 percent calculated on the basis of the inflation rate was announced. The adjustment announced by the government on Sunday, without a large round of public negotiation, is even higher on average, that is, 1.8 percent.
Small and medium pensions benefit the most
Pensions for small and medium-sized companies are increasing especially sharply The compensation is increased to 1,000 euros. Exactly the most legal 1.5 percent is available with a pension amount of 2,333 euros, with the fixed amount of 35 euros, which also applies to all higher incomes. The costs of the adjustments will amount to around € 1 billion in 2021.
Federal Chancellor Sebastian Kurz (ÖVP) called him, according to a press release, a “A question of equity that the pensions of small and medium-sized companies in particular should be increased more”. After the crown bonus for families and employees, the older generation will now also be relieved. Finance Minister Gernot Blümel (ÖVP) stated that the increase means a “crown bonus for pensioners” for whom the current phase is “particularly challenging”, and provides relief for those who do not benefit from the lower tax bracket. .
Vice Chancellor Werner Kogler He claimed credit for special lower-income support for his party, the Greens: “In negotiations with the coalition partner, we managed to increase the minimum pension by three and a half percent with the matching allowance.” Minimum pensioners would receive 1,000 euros for the first time, and two thirds would benefit women. “This increase is an important step to support and alleviate those most affected by poverty.” Minister of Social Affairs Rudolf Anschober firmly. He will take the corresponding motion to the Council of Ministers on Wednesday.
Positive reactions to pension adjustments
the The senior representatives of ÖVP and SPÖ are very satisfied with the 2021 pension adjustment, which will be decided in the Council of Ministers on Wednesday. ÖVP president of the association for the elderly Ingrid Korosec he was pleased Sunday by the “special recognition of the older generation.” President of the SPÖ Pensioners Association Peter kostelka the purchasing power of pensioners is assured. He too Smilies praised the increase in compensatory damages.
It came after talks with Chancellor Sebastian Kurz (ÖVP) the weekend for the “quick deal”Kostelka described in a broadcast and claimed credit for the sharp increase in minimum pensions for the retiree association. This prevailed with the demand to raise the compensation limit to 1,000 euros. That is why the negotiations were “particularly tough”, as this group did not receive any relief from the tax reform. A loss of purchasing power for pensioners would currently be a “catastrophe for the economy,” Kostelka noted.
In these crown times, which are financially difficult for many, who Increasing the compensatory allowance to 1,000 euros provides effective social security and real help for those who need it most now, Korosec said. She also sees an economic stimulus package in increasing pensions, as almost half of the purchasing power is in the hands of the elderly. And in the case of small pensions in particular, almost all of the increases go to consumption.
the Smilies He also welcomed in a broadcast that there is an increase in compensatory compensation to 1,000 euros, which he has also requested since the start of the Crown crisis. That is to say an “encouraging sign,” said President Michael Landau. Because the Corona crisis requires not only decisive health policy measures, but also strong socio-political responses. In her opinion, the next step would be a greater commitment in view of high unemployment.
