The spokesperson for the Joint Commission of the 'Seventh Development Plan' deemed the government's proposal in the 2024 budget bill to increase pensioners' salaries by 20% as contrary to the 'Seventh Development Plan', stating: 'In the first year of the Seventh Development Plan, the government is obligated to bridge 40% of the salary gap between pensioners and official employees.' Mohsen Zangeneh's remarks come as the 'Seventh Development Plan' is set to be implemented from the beginning of 2024 until the end of 2027, and experts believe that the government will show minimal commitment to executing this plan, with no significant changes expected for pensioners. The Seventh Development Plan bill, prepared by the government and submitted to Parliament months ago, underwent changes during parliamentary review, leading to disagreements between the government and Parliament. Recently, Parliament has been pursuing the review and approval of this bill, which was completed a few days ago and sent to the Guardian Council. The Guardian Council must review the bill within its legal timeframe and express its opinion on its compatibility with 'Islam' and the 'Constitution'. Regarding the disagreements over pensioners' salary increases, labor activists argue that the government knows that if pensioners' salaries are increased by more than 20%, it would also need to raise the salaries of workers and employees in line with inflation and to meet basic living standards. Since the government's target is ultimately a 20% increase in salaries and wages, it will not implement the Seventh Development Plan from the outset. Additionally, the bankruptcy of pension funds, the government's lack of resources, and the low priority given to pensioners' conditions have led to delays in monthly payments to these individuals. Analysts believe that before increasing salaries, the source of funding must be identified. Consequently, some experts predict that the government will not take effective action in this regard and, contrary to public expectations, will insist on raising the retirement age to compensate for the managerial losses incurred by the funds. In this context, the Ministry of Cooperatives, Labor, and Social Welfare defended the decision to raise the retirement age in Iran on Thursday, December 9, to demonstrate the government's serious intent for this change, indicating that criticisms will not yield results. The Ministry also referred to this action as 'reforms', stating that this measure was necessary for what it termed 'overcoming the crisis of pension funds and fulfilling commitments' to the community of pensioners and beneficiaries. On Sunday, November 28, members of the Islamic Consultative Assembly approved an amendment to Article 29 of the 'Seventh Development Plan' bill, adding five years to the required work experience for retirement, increasing the maximum retirement period to 35 years. The slogan 'Six-class government, enough promises' was heard at the retirees' gathering in Yazd, while retirees in Hamedan chanted 'We have only heard promises, we have seen no justice.' The very difficult conditions expected next year indicate that workers' wages will rise by 30%, which is still below the inflation rate. The Ministry of Labor defended the increase in the retirement age, with labor activists stating that various governments have been responsible for the crisis. Criticism of the retirement age increase continues, with the goal seen as 'further plundering of wage earners'. Protests regarding the situation of pensioners are increasing, with media highlighting the necessity of maintaining the 'salary coefficient' at the time of retirement. Protests by telecommunications retirees in several cities in Iran echoed the sentiment: 'We have only heard promises, we have seen no justice.'
Parliamentary Joint Commission Accuses Government of Violating 'Seventh Development Plan' Regarding Pensioners' Salary Increase
The Iranian Parliament's Joint Commission has accused the government of violating the 'Seventh Development Plan' by proposing only a 20% salary increase for pensioners instead of the mandated 40%. This has raised concerns among labor activists about the government's commitment to pensioners and the potential for further financial strain on them. The situation reflects broader issues of economic management and social justice in Iran.
👥 Key Players
📰 What Happened
The Iranian Parliament's Joint Commission accused the government of violating the 'Seventh Development Plan' by proposing a 20% pension increase instead of the mandated 40%. This has led to disagreements and protests over pension reforms and retirement age increases.
- The government proposed a 20% pension increase, contrary to the 40% mandated by the 'Seventh Development Plan'.
- Parliament has approved an amendment to increase the retirement age, leading to public protests.
💡 Why It Matters
📚 Background
Iran's 'Seventh Development Plan' aims to address economic and social issues, but faces implementation challenges due to financial constraints and political disagreements.
🏷️ Entities Mentioned
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Translation confidence: 85%