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PM urges mandatory pension system opponents to start dialog

PM urges mandatory pension system opponents to start dialog

PanARMENIAN.Net - Prime Minister Tigran Sargsyan urged representatives of I am Against civil movement protesting against the new mandatory cumulative pension system in Armenia to start a dialog, Aysor.am said.

In this context, the official welcomed the fact that a civil society is taking shape in Armenia

"The civil society dictates its rules and the government is ready to adjust activities in promoting its establishment."

"We are ready for a dialog since the ‘all or nothing’ stance is unacceptable to us and the young people representing the civil society," Sargsyan said.

The representatives of the civil movement stated they will accept the Prime Minister’s proposal to start a dialog if the word ‘mandatory’ is removed from the draft law.

“Welcoming the prime minister’s proposal, we say that our struggle will continue until the compulsory nature of the law is changed,” the statement says.

The law that became effective on January 1 obligates all employed citizens under 40 to allocate 5% of their monthly salaries to cumulative accounts, with the government to add another 5%.

Armenia’s leading opposition parties challenged the legality of the law at the Constitutional Court. On February 4, Armenian parliament voted down suggestion of a year-long delay for introduction of a mandatory cumulative pension law, with 46 votes in favor and 56 against. he suggestion was initiated by the Prosperous Armenia, Armenian National Congress, Heritage and ARFD parliamentary groups.

On January 24, the Constitutional Court suspended the provisions of the law envisaging sanctions for not complying with it at least until March 28 when it is due to proceed with consideration of the matter.

Government agencies, however, have continued to force employers to make deductions from the salaries in favor of the funds, which activists and non-government political forces insist is contempt of the Court’s decision.

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