Azerbaijan to Introduce Labour Pension Accounting Selective System
Azerbaijan, Baku, Dec.11 / Trend corr. U. Ismayilova/ "In Azerbaijan, pensioners will have a legal right to choose
the method of labour pensions accounting," Chief of the State Social Protection
Fund Salim Muslumov said on Dec. 11.
"Within full automation of social protection we intend to introduce uniform rules for calculating seniority, but if a retiree wants accounting be based on salary we will do that," Muslumov said.
According to Muslumov, when pension accounting is based on the salary of last two years of work, complete information [certificate of salary] for this biennium is required to determine amount of pension by average salary.
Automation of pension system in Azerbaijan is also envisaged in the Law on the Budget of the State Social Protection Fund for 2009, which was approved by the President on Dec 10, and the work in this direction will be strengthened next year.
"The main purpose of
the automation of pension system in Azerbaijan is to eliminate red tape
(collecting of information on salaries) and to reject the old methods. This will
ensure fairness in pension calculating," Muslumov stressed.
Revenues and expenditure of the budget of the State Social Protection Fund are forecast at AZN 1.775bln in 2009, which is 26.3% more than this year. A total of 93.5% of Fund's expenditures will be used to pay off labour pensions.
On Dec. 11, exchange rate totalled 0.8068 AZN/USD.
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