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Sarajevo Times > Blog > BUSINESS > Basic Life necessities become Luxuries – How do Pensioners live?
BUSINESS

Basic Life necessities become Luxuries – How do Pensioners live?

Published January 6, 2024
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Of the 446 thousand pensioners in the Federation of Bosnia and Herzegovina, 66 percent of them receive the lowest pension of 538 marks. Although it was announced that from January this year the so-called pensions will be increased by 6 percent by accrual adjustments, given that the budget has not been adopted, only current liabilities will be settled. With an increase of 6 percent, the lowest pension would amount to 570, and the guaranteed one would reach the amount of 680 marks. How do pensioners live?

Every year on 15.4. based on GDP growth in the previous year and the consumer price index, it determines how much the pension adjustment will be for that year. This year, 6 percent is planned, but pensioners believe that it is not enough.

The Association of Pensioners’ Associations of the Federation of Bosnia and Herzegovina is aware of the unenviable position of pensioners. Therefore, they sent a request for a meeting to Federal Prime Minister Nermin Nikšić. Last year, the Government of the Federation started with the so-called by advance adjustment already in January, but according to the president of the Association of Federation of Pensioners FBiH Redžo Mehic, this year pensioners are skeptical.

“That was on December 21, when we sent the letter. There is still no news from the Government of the Federation, nor the will, nor the desire to receive it. I checked again whether that request came. It came on time, recorded,” he points out.

The Association of Pensioners states that pension for them has a social character. Considering that the consumer’s basket is three thousand marks, the basic necessities of life become luxuries. Energy poverty and high drug prices are an additional blow to pensioners’ pockets. And they are often forced to seek treatment privately.

“People have nothing to live on. You have seen at the market in Markale and others, that people take one pepper, one tomato, one cucumber each,” emphasizes Ahmet Bešić from the Novi Grad Sarajevo Pensioners’ Association.

They are grateful for the monthly assistance from the municipalities, and they set aside part of the membership fee for the most vulnerable pensioners. In addition, some are helped by children, and some also work.

“If people feel capable, and they don’t endanger anyone’s workplace, that represents an additional source of income, and we send our pensioners wherever they can,” says Redžo Mehić.

While waiting for pensions, which should have enabled them to live a dignified life, pensioners have a chance to turn to the labor market. The question arises as to how many of those who will be forced to work from job to job in the future in order to survive with insufficient income and the increasing departure of the workforce.

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