Fair pensions for all beneficiaries

President Klaus Iohannis on Wednesday promulgated the law on the public pension system. The law aims to create a legal framework for a financially sustainable pension system. The main aspects regulated include a calculation formula based on the number of points earned by each beneficiary, mechanisms for indexing pensions in line with economic realities and strengthening the principle of contributory contributions.

The law aims to ensure adequate and fair pensions for all beneficiaries of the public pension system, reflecting professional activity and contribution to the system. It also introduces the principle of insurance stability in the public pension system,  the Presidential Administration reports. 

The draft was adopted by the Chamber of Deputies on 20 November, with 199 votes "for", 39 "against" and 17 abstentions. The law raises discussions on the budgetary impact, estimated at 25 billion lei for the coming year, of which 15 billion for the indexation of the pension point and 10 billion for the recalculation applied from September 2024. Prime Minister Marcel Ciolacu says he is firmly convinced that the amount needed to increase pensions will be found when next year's state budget is drawn up.