Topilin told how to increase the average size of pension

Topilin told how to increase the average size of pension

MOSCOW, 10 APR — RIA Novosti. To reach the 40% ratio of pensions and average salaries in Russia primarily through the legalization of the labor market, improve will allow you to achieve previously implemented reform of the pension system, said the Minister of labour and social protection Maxim Topilin at the meeting with deputies of the state Duma.

The Minister noted that currently the average pension is 35-37% of the average wage in the Russian Federation.

“There are several ways (increase in pensions). The first is the increase in contribution rates. We are not doing that, because we understand that it will entail very significant changes in the economy. Therefore, we believe that the rates on insurance premiums that are now available allow you to keep the level of pension provision, which is”, — said Topilin, answering a question of Deputy Nikolai Kharitonov about what ways of increase of pensions exist.

“A key area, in my opinion, it’s something to do with the reform that was implemented. Now you just need to wait for the results… We believe is that there should be a legalization of salaries… And second, something to do with the whitewashing of the economy, legalization of wages… that is, if we will be able to solve the problem of legalization, so will be able to implement the theme associated with adequate growth of pensions”, — said Topilin.

He recalled that the indexation of pensions shall be carried out in full in 2017, which is a positive development.

“We believe that somewhere around 40% of the average pension to the average earnings — where it should reach 40%,” — said the Minister.