Rally Protests Against Pension Reform

88-year-old Nikoloz Omiadze (right) says he needs at least GEL 150 per month to survive.

More than two thousand pensioners gathered on Friday outside the Parliament to protest against planned changes in the pension system. The rally was organized by the opposition parliamentary faction Democratic Front, which unites the Republican and Conservative parties.

The reform envisages increasing the minimal pension from the current GEL 28 (USD 15.5) to 38 (USD 21) and a decrease of the maximum pension from the current GEL 5000 [approximately USD 2700] to 560 (USD 311) starting from next year. The maximum pensions are reserved for former high-ranking officials. Amendments will also introduce a new retirement age – 65 for both men and women. Currently the retirement age for men is 70 and 60 for women.

But the protesters outside the Parliament were demanding the introduction of a pension system based on years spent working.

Officials say that the increase of the minimal pension by GEL 10 will cost GEL 35 million to the state budget next year. The draft of the 2006 state budget envisages a total of GEL 584.6 million for pensions and allowances.

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