The valorization of pensions in 2018 following the pension system reform will cover 142,000 recipients of old-age pensions and 22,000 recipients of disability pensions. The rise in pensions by valorization will be differentiated depending on the year the pension was set and the incomes earned by the person, IPN reports.
Thus, as of April 1, 2018, there will be valorized the pensions set in 2012-2013, while from October 1, 2018 the pensions set between January 1, 2014 and March 31, 2017. Respectively, on April 1, 2018, following the valorization, the old-age pensions will rise by 272.17 lei a month on average, while the disability pensions will increase by 252.39 lei on average. On October 1, the old-age pensions will grow by 325 lei a month on average, while the disability pensions by 300 lei.
After the March 21 Cabinet meeting, Prime Minister Pavel Filip said the early valorization of pensions is possible owing to the economic growth witnessed in 2016 and 2017 and also because the revenues of the social insurance funds rose.
The valorization of pensions takes place in the context of the pension system reform and envisions the recalculation of pensions taking into account the devaluation of the money in the insurance period against the moment the pension was set. The first valorization stage covered the pensions set in 2001 – 2008. On November 1, 2017, there were valorized the pensions set in 2009-2011. The last two valorization stages set for April 1 and, respectively, on October 1 this year were initially planned for April 1, 2019 and April 1, 2020 respectively.
The persons who retired after April 1, 2017 will have the pension recalculated according to the new formula on which the pension system reform was based. “I understand that the pensions are still low, but I’m confident that the foundations for an equitable and correct pensions system were laid,” stated the Premier.
