Reaction of the Prime Minister's Office: It is incorrect that pensions will be smaller in the future

"In the text, the calculation of pensions is exclusively explained on the basis of only one parameter for calculating the pension, while the second part of the calculation and the movement of other parameters is deliberately bypassed, which indicates that it is a matter of tendentious and malicious information to the public"

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Malicious information to the public: Milojko Spajić, Photo: Luka Zekovic
Malicious information to the public: Milojko Spajić, Photo: Luka Zekovic
Disclaimer: The translations are mostly done through AI translator and might not be 100% accurate.

Prime Minister Milojko Spajić's Cabinet reacted to the text published in "Vijesti" yesterday under the title "Higher salary now, lower pension tomorrow".

We transmit the reaction integrally.

"The information that pensions will be smaller in the future is incorrect.

In his text, the journalist starts from the calculation according to which the employee's earnings remain unchanged until the end of his working experience (he assumes that there will be no increase in the employee's earnings at least based on past work and trends in the economy), which is not even theoretically possible according to the existing legal solutions.

In the text, the calculation of pensions is exclusively explained on the basis of only one parameter for calculating the pension, while the second part of the calculation and the movement of other parameters is deliberately bypassed, which indicates that it is a matter of tendentious and malicious information to the public.

So, in the text, the annual personal coefficient is taken as a factor for calculating the pension, and on that basis it implies a reduction of pensions for future retirees, which is not true for the simple reason that the amount of the pension is calculated on the basis of two other important parameters, namely: length of service and the value of the personal point, which undoubtedly only increases due to this reform (due to the increase in average earnings).

Namely, the value of the pension increases three times a year due to the obligation of regular legal adjustments based on the average earnings and inflation, which affects the amount of personal points, which is not mentioned anywhere in the text itself.

The method of calculating the pension, shown on the front page of the "Vijesti" newspaper, contradicts the Law on Pension and Disability Insurance, since the pension is calculated in the amount of 359,6e, while the minimum pension prescribed by law in Montenegro is €450 and cannot be lower than that amount.

Just as the 44th Government announced during the increase of the minimum pension from January 1 of this year, that after the measure with which the implementation of the "Europe Now 2" program began, the growth of other categories of pensions will be the result of the growth of average earnings, i.e. the adjustment of pensions by on that basis.

The concern of the anti-government coalition regarding the growth of the minimum and average wages in the case of the implementation of the "Europe Now 2" program is particularly surprising, which clearly indicates that they have the goal of returning us to the old times, when the average wage in Montenegro increased by €40 in ten years, and pensions adjusted annually by a couple of euros," the response states.

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