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Monday, November 28, 2022

The SDS parliamentary group submitted a proposal to the Act on Amendments and Supplements to the Pension and Disability Insurance Act

By: C.R.

The SDS parliamentary group submitted a proposal to the Act on Amendments and Supplements to the Pension and Disability Insurance Act in the parliamentary procedure. With the proposed legislative changes, we want to enable employers to retain workers even after they have fully retired due to work needs, and to motivate workers who meet the conditions for full retirement to accept employment.

The system is currently arranged in such a way that an individual cannot work full-time and receive a full old-age pension at the same time, the SDS parliamentary group explained. The legal regulation, which was valid until December 31st, 2012 (ZPIZ-1), knew the institute of the so-called exemption from insurance, which under certain conditions allowed individuals to retire and enjoy a full old-age pension in such a way that they could continue to work independently.

According to the current regulation, workers are therefore not enabled to continue working after fulfilling the conditions for old-age pension without this affecting the amount of their pension, which also puts employers in a bad position. Namely, the latter cannot keep a worker that they need and is satisfied with his work when he fulfils the conditions for old-age retirement, without the latter being forced to give up a significant part of his old-age pension. In addition, partial retirement is limited in time to a maximum of 3 years.

Due to the current legal arrangement, employers find themselves in a position where they have to look for new workers, which is very difficult to do in certain cases. Certain workers have experience and knowledge that are (in a short time) very difficult to replace (e.g., structural engineers, certain specialisations in healthcare, etc.).

“The proponents propose to change the existing legal regulation in such a way that insured persons who meet the legal conditions for full old-age retirement and for whom the employer expresses an interest in re-employment due to work needs even after their retirement, will be able to simultaneously receive the old-age pension in the full amount (100% ) and performing work in a full-time employment relationship (dual status),” the SDS parliamentary group also announced.

They are convinced that due to the provision of qualified labour, the draft law also brings long-term positive consequences for the economy.

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