Confirmation of Retirement Age Increase; Controversial Legislation to Take Effect in Two Weeks

As the end of the year approaches and with the approval of the increase in retirement age within the framework of the seventh development plan, this controversial legislation will come into effect at the beginning of the year 1403. Meanwhile, Iranian media have reported that in recent years, the age of new retirees has been higher than the average age of all retirees. The website 'Economy 100' has stated that the latest statistics from the Social Security Organization indicate that the average age of all social security retirees in the year 1401 was 56.3 years, while the age of new retirees in that year was higher, at 57.6 years. Government reports indicate that one of the main reasons for increasing the age for new retirees is the continued implementation of the law determining the status of individuals eligible for retirement with 10 years of service or less. It has also been reported that last year, the average age of new male retirees was about 1.6 years higher than the average age of all retirees, while this increase in the female retiree group was less, at one year. Additionally, it is noted that in 1401, the average age of the disabled was 43.3 years, while the average age of new disabled individuals was higher, at 48 years. Experts and labor activists believe that the low age of disability is due to the non-compliance with age and service conditions for establishing pensions for the disabled in the event of an accident or work-related illness. Critics of the retirement age increase believe that this action will reduce job opportunities for young people and expose some older individuals to greater physical and mental challenges. The newspaper 'Jomhouri Eslami' reacted to this legislation on December 12, stating that it represents 'anti-employment' and means delaying the vacancy of positions and jobs. Earlier, the 'ILNA' news agency reported on January 26, citing labor activists, questioning why the government did not address the accumulated debts owed to the social security fund to resolve the imbalance crisis of the funds. This news agency added that the government wants to place the burden of all crises on the shoulders of hardworking workers living below the poverty line. The Free Journalists Association of Tehran also described the pension fund crisis as being on the 'verge of explosion' and emphasized that this crisis will not be resolved by the officials' reductionism to a mere increase in age and service for retirement. The Free Workers Union of Iran also strongly criticized the approval of the retirement age increase plan, calling it an act of 'exploiting the corpses of workers and wage earners.' A review by Voice of America on the retirement age increase law indicates that according to this law, workers with 25 to 28 years of service will receive two additional months of employment for each year until retirement. Those with 20 to 25 years of service will receive three additional months for each year until retirement, and those with 15 to 20 years of service will receive four additional months for each year until retirement. The most important part of this legislation pertains to those with up to 15 years of service, who will have five years added to their employment duration.