Gov’t to raise pension contributions to 10pc

Budapest, November 6 (MTI) – The Hungarian government’s plan to raise pension contributions from 9.5 percent to 10 percent will help finance earlier retirement options for women, the governing Fidesz party’s spokesman said on a television programme on Saturday.

Peter Szijjarto said the rise would translate into just a few hundred forints in the case of average salaries. He added that Fidesz had promised to give women the option to retire after 40 years of work and that the move would cost 20-40 billion forints.

    ”This is why we need to raise pension contributions by a small amount,” Szijjarto said.

    Opposition parties have criticised the move, the Socialists pointing out that the planned rise was “hidden” among other budget-related bills submitted to parliament. The green LMP party said Fidesz’s move was a way to “underhandedly take back tax cuts”, while the radical nationalist Jobbik party called the move “sneaky and cowardly”.