According to the Ministry of Labor, the current document provides for the transition from the basic pension payment to the minimum guaranteed pension as of 2028.
The mechanism for assigning a minimum guaranteed pension is being currently worked out providing for the following:
- the minimum size is proposed to be increased from 54% to 70% of the subsistence minimum (34.3 thousand tenge);
- the minimum length of service should be reduced from 10 years to 5 years;
- remove the maximum pension limitation (currently the maximum limitation is one minimum wage with a 33-year and more employed service).
“Another important area of modernization is the introduction of 5% of mandatory pension contributions by employers as of 2023. Employers will at their own expense transfer mandatory 5% pension contributions from the employee's income to their employees,” the Ministry of Labor concluded.
Photos are from open sources.