The news in Czech
Vláda v České republice navrhuje důchodovou reformu. Chce zlepšit život důchodců a snížit deficit . Kontroverzní částí je, že roky studia nebudou započítány do důchodu pro většinu studentů. Nový návrh také plánuje zvýšit důchodový věk postupně na 67 let. Tato změna je důležitá pro ekonomiku.
Translation
The government in the Czech Republic is proposing a pension reform. It aims to improve pensioners' lives and reduce the deficit. A controversial aspect is that for most students, years spent studying will not count towards their pensions. The new proposal also plans to gradually increase the retirement age to 67. This change is significant for the economy.
Exercise: Text comprehension
Question 1: What is one of the controversial parts of the Czech pension reform?
One controversial part is that years of study will not be counted towards the pension for most students.
Question 2: What is the proposed increase in the retirement age according to the new reform?
The retirement age is planned to gradually increase to 67 years old.
Exercise: Vocabulary
navrhovat - suggest
důchodce (m.) - pensioner
deficit (m.) - deficit
kontroverzní - controversial
započítat - include
postupně - gradually
Read the full story
▌28/10/2024
The proposal for a comprehensive pension reform in Czechia has drawn significant attention and generated mixed reactions, particularly concerning its implications for students and future retirees. The government aims to overhaul the system to ensure long-term sustainability, reduce the burgeoning deficit, and improve the living conditions of pensioners.
Among the most contentious parts of the reform is the exclusion of study years from contributing to pension entitlements. Initially, the ruling coalition, led by Prime Minister Petr Fiala, promised that years spent in higher education would count towards pension insurance, a nod to past practices. However, the current proposal, spearheaded by Labour Minister Marian Jurečka, omits this inclusion for most students, leaving many feeling neglected. Only those pursuing doctoral studies will see their educational period counted as substitute insurance time, a condition reinstated after being phased out post-2009.
This change means that today's students face a 'gap' period with no pension security contribution, unlike their predecessors. They must either earn enough during their studies to pay insurance fees or opt to make voluntary contributions. This adjustment poses challenges for those who extend their university tenure, potentially impacting early retirement eligibility, should they desire it later in life.
Czech Pension Reform Sparks Controversy Among Students (Illustration)
In tandem, the pension reform debate has also focused on raising the retirement age incrementally to 67 years, affecting those born after 1988. This aspect has seen backing from the parliamentary social committee, although it sparked debate, especially regarding those in physically demanding jobs. The proposal suggests that workers in high-risk jobs could retire earlier, with employers covering additional contributions, though the exact scope of eligible professions remains contested within the ruling coalition.
Despite opposition from some MPs advocating for more gradual retirement age increases and returning to previous retirement benefit calculations, the social committee rejected these counter-proposals. The reform's passage hinges on coalition consensus, which currently remains fractured over specifics, such as early retirement terms for different job categories.
The government maintains that these reforms are critical to stabilising public finances, currently facing a potential shortfall exceeding five percent of GDP if unaddressed. While stakeholders align on the need for reform, aligning on the specifics remains a challenge, reflecting broader economic and social dilemmas faced by Czechia.
Info: 'Czech Learner News' is a service from 'Let's Learn Czech', a dedicated language school offering a variety of online courses to help students master the Czech language. For insights and resources on how to learn Czech, our platform provides comprehensive learning tools tailored to your needs.
