Point system for calculating pensions will allow not including periods with low salary when calculating pension

The point system for calculating pensions will allow not including periods with a low salary when calculating a pension.

Lidia Tkachenko, senior researcher at the Institute of Demography and Social Studies, announced this on the air of the telethon, Ukrainian News Agency reports.

"The point system is just a system of accounting and counting. There will be a more transparent and understandable indexing system... It is not yet known which point system model will be selected. Specific parameters and indicators are unknown," she said.

At the same time, Tkachenko noted that in relation to prescribed pensions, in any case, there will be no decrease in the transition to the point system.

"What will happen to new pensions, how will they accrue?.. The main danger we have is war, it is difficult for people to plan their lives and future. Crises are always accompanied by the fact that formal employment is decreasing. Now many people have a lower than average salary. These periods, the period of the pandemic and martial law, they can be excluded from the calculation of average earnings when a person is assigned a pension,” said Lydia Tkachenko.

As Ukrainian News Agency earlier reported, the Member of the Verkhovna Rada from the Servant of the People faction, the head of the parliamentary committee on finance, tax and customs policy, Danylo Hetmantsev, considers the point system when calculating pensions fair.

Earlier, Prime Minister Denys Shmyhal said that Ukraine plans to introduce a points system when calculating pensions, which will equalize the disparities between long-retired pensioners and those who have done so recently.