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Pension revision
temporary: Chen
CONTINGENCIES: When questioned by lawmakers, the
premier said the policy to narrow the coverage of year-end pension benefits
would be decided year-by-year
By Shih Hsiu-chuan / Staff reporter
Contrary to the general perception that the year-end pension benefits for
government retirees had been permanently revised to cover only the
disadvantaged, Premier Sean Chen yesterday said the revision will only be
applied this year.
¡§The policy regarding pension distribution will be reviewed on an annual basis,¡¨
Chen said when fielding questions from Democratic Progressive Party Legislator
Chiu Chih-wei (ªô§Ó°¶) and several others at a question-and-answer session in the
legislature yesterday.
Amid mounting criticism of the pension benefits over concerns about unfairness
in the system and the nation¡¦s fiscal strain, Chen announced on Oct. 19 that the
coverage of the benefit would be narrowed to two groups of people: retirees
whose monthly pre-retirement salary was less than NT$20,000, and families of
deceased retirees and retirees who were killed, injured or disabled in wars or
on military exercises.
The reduction of the coverage, which currently encompasses about 432,000 retired
civil servants, teachers and military personnel, would slash the budget to
one-nineteenth of its original size and the number of recipients to about
40,000.
Chen won approval from some opposition lawmakers when he revised the policy,
with DPP Legislator Pasuya Yao («À¤å´¼) last week applauding Chen for his
¡§bravery.¡¨ Yao took his praise back yesterday.
Saying that he has been consistent since the first time he made the
announcement, Chen added that an annual review of the pension system was exactly
what was stipulated in the notification which governs the distribution of the
year-end bonus for active government employees and year-end pension benefits to
retired officials.
Chen said that whether the government reinstates the pension for government
retirees will be contingent on the nation¡¦s fiscal situation, which he said is
not something he can predict.
When Yao repeatedly asked Chen if he has the ¡§will¡¨ to make to reform the
system, Chen dodged his questions.
Meanwhile, Chen said the repeated calls from opposition lawmakers for President
Ma Ying-jeou (°¨^¤E) to donate half of his salary to honor his 2008 campaign
pledge that he would do so if he fails to materialize the ¡§6-3-3¡¨ goals ¡X GDP
growth 6 percent, an unemployment rate of less than 3 percent and per capita
income of US$30,000 ¡X led him to raise the issue with the president.
Chen said Ma told him that he already donates more than half of his wages to
charities each year, adding that Ma said he will report to the public about his
donations when the time is right.
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