On Thursday, the SPÖ again argued for an increase in pensions from January by significantly more than the calculated legal correction factor of 5.8 percent. According to social spokesman Josef Muchitsch and chairman of the Pensioners’ Association Peter Kostelka, a new calculation method is needed that takes into account the last twelve months. That would mean plus 8.4 percent by 2023.
The Social Democrats argue in favor of basing future pension adjustments on actual inflation over the past twelve months. Currently, this is the period from August of the previous year to July of the previous year. In a subsequent pension adjustment, an overestimation or underestimation must then be taken into account.
“Weekly groceries have become 19.1 percent more expensive”
According to Muchitsch, the 5.8 percent calculated in the current mode is “clearly too little”. After all, Kostelka calculated, inflation is currently at 9.3 percent. Weekly groceries have become 19.1 percent more expensive. “It’s not about millions, it’s just about food, heating, life.”
For 2023, the new mode would result in an increase of 8.4 percent. According to Kostelka, this demand was unanimously supported in the impartial senior council. However, he still stands by his original requirement of plus ten percent, because there are, after all, “outstanding bills” from the past.
In addition to the new calculation method, according to Kostelka, the senior representatives also unanimously decided to cancel the current part-time scheme. Instead, the entire adjustment must also take effect when you retire.
SPÖ offers a limit
For benefit recipients, a draft resolution of the SPÖ provides for an increase of at least ten percent. At the same time, the SPÖ has provided for a ceiling for pension increases: up to 3700 euros there should be a full adjustment, with higher pensions only a fixed amount.
Kostelka blames the fact that the deal with the government, which was actually planned for mid-September, has not yet been reached on a “violent internal negotiation and discussion process”. After yesterday’s second round, there was still no offer from the government. “The ability to make decisions is obviously not available yet.”
Source: Krone
I’m an experienced news author and editor based in New York City. I specialize in covering healthcare news stories for Today Times Live, helping to keep readers informed on the latest developments related to the industry. I have a deep understanding of medical topics, including emerging treatments and drugs, the changing laws that regulate healthcare providers, and other matters that affect public health.
