At the 28th regular session of the House of Representatives of the Parliament of the Federation of Bosnia and Herzegovina, which will be held on Monday, January 19, the Proposal for Amendments to the Law on Pension and Disability Insurance, which the Government of the Federation of Bosnia and Herzegovina sent to the parliamentary procedure at the beginning of this month, will be considered in a shortened procedure.
Amendments to the Law on PIO were prepared in agreement and cooperation, and at the request of representatives of pensioners gathered in the Association of Associations of Pensioners of the Federation of Bosnia and Herzegovina. It was the pensioners’ representatives who initiated changes to Article 81 of the Act, which establishes the right to the lowest pension and the method of its protection, and if the changes to the Act are adopted, the amount of the lowest pension will be linked to the length of pensionable service, in order to protect pensioners, but also to value the full working life.
The bill also includes changes to the formula for adjusting pensions, which implies that adjusting pensions is carried out on the basis of a combination of the consumer price growth index and the wage growth index in the ratio of 60:40 percent, with the application of the indicator that is more favorable for pensioners in the given accounting period, with the aim of preserving the real value of pensions and their alignment with the growth of living costs and standards.
At the same session of the House of Representatives, amendments to three laws under the jurisdiction of the Ministry of Veteran Affairs, which regulate the retirement of veteran categories, will be considered. These changes were prepared in order to harmonize the regulations with the changes to the PIO Act and so that the fighters would not suffer any negative consequences due to the changes in the pension legislation.
By adopting these legal solutions under abbreviated procedure, the Government seeks to protect the rights of existing pensioners, value the work and contribution of future pensioners, preserve the stability of the pension system, and ensure its long-term sustainability, the Federal Ministry of Labor and Social Policy announced today.
