Russian military pensioners will have benefits reduced in new Labor Ministry bill

Over 2.5 million Russian military pensioners will not receive a lump-sum payment of RUB 5,000 (USD 79.00). Military pensioners are not subject to the law on lump-sum payments following authorities’ decision to replace the indexation of pensions in 2016, RBC news agency reports.

"The payment is charged only to recipients of pensions from the Pension Fund," the relevant draft bill reads. The draft has been sent through a first reading in the State Duma and is being prepared for the second. Military pensioners receive benefits from law-enforcement agencies, and thus more than 2.5 million people will not receive their lump-sum benefits. 

A draft bill on the lump-sum payment was prepared by the Russian Ministry of Labor. Its press-service confirmed that the law does not apply to military pensioners. Originally the draft was intended to support pensioners who, as of December 31, 2016, receive benefits from the Pension Fund.

The Ministry of Labor did not comment on the reasons for excluding military pensioners from the recipients of the lump-sum payment. The press service of the Ministry of Defense, which makes the payments for most military pensioners, did not comment on the situation.

Only those who have retired from the military will earn the civil pension. Russian civil pensioners should receive a lump-sum payment of RUB 5,000 at the end of 2017. With this payment, the Russian Government compensated the incomplete indexation of pensions in 2016 of 4% instead of the legal 12.9% (last year’s inflation).

  Russia

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