In Belarus, pension payments will increase from February

On February 1, Minsk /Elena Prus - BELTA/. Pension payments in Belarus will increase from February of the current year, BELTA was informed by the Ministry of Labour and Social Protection. Thus, in February, labour pensions will be increased on average by 24% as a result of recalculation. This increase will be felt by over 2.4 million people receiving labour pensions from the labour, employment and social protection bodies. As a reminder, in accordance with Decree No. 35 "On Pension Increases", recalculations of labour pensions due to the growth of the average wage of employees in the republic in 2012 will be carried out quarterly. As for the recalculation from February 1 of the current year, it was made based on the average wage of employees in the republic for the IV quarter of 2011 (according to the National Statistical Committee, it amounted to Br2 million 543 thousand 832). The average size of the labour old-age pension in February is estimated to increase to Br1 million 252 thousand. It should be noted that the pension amount of each specific pensioner depends on the individual parameters of their work record, earnings, and other data recorded in the pension case files, including the eligibility for supplements and increases to the pension. The maximum size of the labour old-age pension for non-working pensioners with a record of 40 years for women and 45 years for men, and an individual coefficient of 4.0 or higher, has reached Br1 million 879 thousand 260 since February. For working pensioners with a record of 40/45 years and an individual coefficient of 1.3 or higher, the maximum size of the labour old-age pension has been Br1 million 364 thousand 130 since February.

Furthermore, Decree No. 35 "On Pension Increases" of 1 January 2012 introduced an additional targeted supplement to pensions for elderly citizens, which will be paid monthly to non-working pensioners aged 75 and over. Supplements have been established for the pensions of nearly 600,000 individuals receiving pensions from labour, employment, and social protection bodies: for persons aged 75 and over, the supplement is 75% of the minimum old-age pension; for persons aged 80 and over, it is 100% of the minimum old-age pension. Thus, the amount of the January longevity supplement is Br107,770 and Br143,700, respectively. From February of the current year, the minimum old-age pension will increase to Br176,720. Consequently, the pension bonuses will amount to Br132,540 and Br176,720 from February, respectively. The January supplement payment will be made in February 2012, along with the February pension and its supplement, the Ministry emphasised.

Financing for this targeted payment to the oldest pensioners is to be provided from the funds of the Social Protection Fund of the Ministry of Labour and Social Protection. Estimated expenses for these purposes until the end of 2012 will amount to Br876 billion.

From 1 February, there will also be a regular recalculation of minimum labour and social pensions, as well as supplements and increases established for the pensions of certain categories of pensioners. The recalculation is carried out in connection with the change in the subsistence minimum budget per capita (SMB). By government resolution, for the period from 1 February to 30 April 2012, the SMB has been set at Br706,880, which is 23% higher than the rate effective from 1 November 2011 to 31 January 2012 (Br574,790).

Additional expenses for the payment of recalculated pensions and bonuses will amount to Br603.3 billion in February of the current year, and a total of Br3,036.3 billion will be allocated for pension payments this month.

As previously reported by BELTA, three recalculations of labour pensions were carried out in Belarus in 2011, based on the growth of average wages of employees (in June, August, and November). Minimum and social pensions, as well as supplements and increases to pensions, were raised four times (in February, May, August, and November) in connection with the growth of the subsistence minimum budget per capita (SMB). Taking into account the economic situation, priority attention in 2011 was given to supporting recipients of low pensions. Thus, from June, the supplementary payment to minimum labour pensions was increased from 15% to 20% of the average employee wage. From August, the amounts of social pensions relative to the SMB were increased. Twice – in July and September 2011 – non-working pensioners received one-time financial assistance.

BELTA