Proposed Changes to Reduced Pensions for Early Retirees – A Continuing Dialogue
The proposed change to reduced pensions for early retirees is to exempt the basic pension from the current 12% reduction for those who have contributed to the pension system for a total of 40 years. Labour Minister Yiannis Panayiotou has presented this proposal, but it has faced opposition from the Sek union due to concerns about increased costs jeopardizing the social insurance fund’s stability. Minister Panayiotou has expressed concerns about the potential loss for pensioners if the proposal is rejected, emphasizing the need for immediate action to meet the current needs of those affected. The outcome of the ongoing discussions will have a significant impact on early retirees.