November 15, 2024

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Pensions, Three Years and Benefits: What’s Changing and Who Gets the Raises – Who Are the Big Losers – Newsbomb – News

Pensions, Three Years and Benefits: What’s Changing and Who Gets the Raises – Who Are the Big Losers – Newsbomb – News

Four new measures beyond the Personal Difference Allowance will be implemented, from 1 January 2024, to support pensioners.

Retirees will see increases in amounts Which they will receive as of January 1, 2024, for the second year in a row, as a result of the positive trend of the Greek economy.

The increase is estimated to range from 3% to 3.5% because it is indicative of inflation and growth.

Analytically:

Increases from 1.1.2024: 3%

Will appear: end of December 2023

Pocket increase: 1,900,000 retirees

Personal difference allowance: 100 – 200 euros

It concerns 750,000 retirees (instead of 1,112,000)

*Personal difference: more than 10 euros

* Monthly pension: up to 1,600 euros

*Payment: end of December

Total main pensions:

Up to €700: €200 allowance

€700.1 – €1100: allowance of €150

€1,100.1 – €1,600: €100 allowance

What benefits will the card offer?

Exclusively via direct debit cards:

* Benefit of the child

*Maternity allowance

*Unemployment benefit

* Disabled – social care

* Minimum guaranteed income

*grown ups

Excluded:

*Rent allowance

* Red loan allowance


What does the “thaw” bring during the three years?

The three-year plan stipulates the following:

  • Re-increasing the legal minimum wage with a seniority allowance (three years) for both employees and craftsmen, as of 01.01.2024
  • Lifting the suspension of the validity of provisions of collective labor agreements and arbitration awards, which currently provide or will provide for future increases in seniority (three-year, five-year and general multi-year employment benefits)
  • Recognition, in order to calculate the seniority allowance, of working time spent before 14.02.2012 as well as that to be spent after 01.01.2024 (and not a retrospective search for the years intervening for the period from 14.02.2012 to 31.12.2012). 2023)
  • Established as of 01.01.2024 to require payment of seniority allowance at the statutory minimum salary and multi-year bonuses for collective labor agreements.
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The three-year period “unfreezes” as of 1/1/2024

That is, the seniority allowance is restored at a rate of 10% every three years

It was “frozen” in February 2012

It can achieve an increase of up to 30%

There is no retroactive effect

It is mandatory for all employers to pay seniority allowance

2 main categories

Employees who entered the labor market after 2/14/2012 -> will begin to “build” their seniority as of 1/1/2024

Workers who entered the labor market before 2/14/2012 -> begin to complete the remaining period from 1/1/2024

Example 1 – An employee with a minimum wage of €780 was hired on 9/14/2003

Previous experience: 8 years and 5 months until 2/14/2012

As of 1/1/2024, the three-year period “unfreezes.”

On 1/8/2024 he completed his third three-year term -> +30% (€234) of his salary

New salary: 1,014 euros

Example 2 – An employee with a salary of at least 780 euros and was appointed on 1/5/2006

Seniority: 5 years, 9 months and 13 days as of 2/14/2012

As of 1/1/2024, the three-year period “unfreezes.”

On 3/1/2024 he completed his second three-year term -> +20% (€156) of his salary

New salary: 936 euros

Example 3 – An employee with a salary of at least 780 euros and was hired on 10/1/2020

Until 12/31/2023: Seniority: 3 years and 3 months

As of 1/1/2024, the three-year period “unfreezes.”

On 1/1/2027 he will complete his first three years -> +10% (+78 euros) in his salary New salary: 858 euros

Example 4 – The wages of a cook are paid from the Sectoral Social Security Fund for Hotel and Employment Employees 10/1/2005

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As of 12/31/2023: Basic salary €911.34 + multi-year allowance €33.6 = €944.94

On 17/8/2024: basic 956.91 euros + multi-year allowance 39.2 euros = 996.11 euros

So, +51.17 euros or 5.4%