Future retirees will receive less from pension fund, say UNFE projections

Retirement pensions are expected to be much lower in the future, and may even not reach 50% of the last wage earned by a retiring worker, revealed the Pension Fund Supervisory Office (UNFE) in a recent report. Assuming a yearly wage increase ratio of 3% and 1.25% per year from job experience, a 25-year life expectancy for a 60-year old woman and 16 years for a 65-year old man, the agency estimated pensions granted in a few decades' time at 43% of the last wage of a male worker and a mere 30% for women. Similarly startling results were obtained by the Institute for Market Economy Research (IBnGR). Meanwhile, Labor Minister Jerzy Hausner, aiming at unemployment reduction, proposed three ways to limit working possibilities for pens ioners: A full ban on employment of retirees, introduction of more strict income restrictions for working pensioners, allowing them just zl. 500 of additional salary, or increasing contributions to the Labor Fund paid by employers of pensioners from the current rate of 2.45% to some 25%. (Gazeta Wyborcza, p. 4, Rzeczpospolita, pp. A1, A2, A3) M.K.