New date for increase in pensions: Pensioners will be happy
In the state budget framework approved late last year, important steps were taken to support civil servants and retirees. The 2023 consolidation included an update to the payroll based on the consumer price index. This change translated into an 8.5 percent increase for pension contributions from the Social Security system, covering survivors, disability, and retirement pensions, without the need for premium payments or pay slips. A minimum living standard was maintained, while price growth was addressed through 2023 with a targeted 5 percent adjustment starting from July 2022.
These decisions are aimed at stabilizing the economy by shielding purchasing power from the effects of inflation. Citizens are the ones most affected when prices rise, particularly those with the lowest incomes who often struggle to save, face unexpected expenses, or simply struggle to make ends meet. The overarching goal is to preserve household resilience in the face of economic fluctuations.
Additionally, measures were introduced to inject liquidity into family budgets. Among these, a one-time €200 check was issued to support households with dependent children, reflecting a broader strategy to ease the financial strain on families during months of higher living costs.
Refunds to retirees
On March 16, reforms were outlined to expand the rights of retirees, reduce gender disparities in pension benefits, and adopt a new sustainability framework for the public health system. A crucial component of these reforms is the reimbursement of income that was improperly deducted from retirees. This initiative is designed to rectify past errors and restore funds to those entitled to them, reinforcing trust in the public pension system and its administration.
There are specific eligibility criteria that determine who qualifies for the refunds. Retirees earning less than €5,365 with an annual income under €11,200 and who do not need to file an income tax return are exempt from medication copayments. This exemption covers a substantial portion of the retiree population, with millions of individuals qualifying under these thresholds. The reform acknowledges the financial realities faced by retirees living on modest pensions and seeks to remove unnecessary burdens on access to medicines.
The issue of incorrect copay charges arose from an error in the drug co-payment system. Those who previously exercised their right not to pay for medications found themselves billed incorrectly. The central administration is now preparing to rectify these charges through Social Security, ensuring that the proper reimbursements are delivered. Eligible refunds will be issued over the next six months and will be deposited into the same bank accounts used for pension payouts. The exact amount of each refund will depend on the total medicines expense incurred by each retiree, and the process will be handled with careful attention to accuracy and fairness.
These steps reflect a broader commitment to social protection and fiscal responsibility. By aligning pension adjustments with inflation, offering targeted family support, and correcting previous copayment errors, the authorities aim to strengthen financial security for retirees and reduce inequities within the health and social protection systems. The reforms are designed to be practical and transparent, enabling retirees to plan more confidently for the months ahead and to rely on public institutions that stand by their side in times of need.