European Alliance proposes three models for more sustainable pension growth in Montenegro

The European Alliance has proposed amendments to the Law on Pension and Disability Insurance in Montenegro, presenting three alternative models for pension indexation that would apply only if they were more favorable to pensioners.

MP Boris Mugoša said one of the models would, in addition to general inflation, take into account rising prices of food, medicines and utility costs, while another would allow comparing annual inflation instead of quarterly inflation.

The third proposal provides for pensions to be indexed to net wage growth if that proves more favorable to pensioners.

The European Alliance stressed that the goal is protecting pensioners’ living standards and a model that is sustainable for public finances as well as the economy.

Mugoša called on all political actors to engage in dialogue to reach an agreement on an extraordinary pension increase by the end of the year.