Jan 19, 2017CultureComments Off on Pension reform will not be backdated: VP
Vice President Chen Chien-jen says that the national pension reform will not become retroactive. Chen was speaking on Thursday in a radio interview. He said individuals will not be asked to pay back what they were paid in the past in excess of the preferential interest rate.
Chen said the contentious preferential interest rates for military personnel, teachers and civil servants will gradually be abolished over a six-year period. He said the reform will set upper and lower limits to the pension system.
The vice president also said the government will allocate NT$20 billion (US$630 million) a year for labor insurance for the next five years.
Chen said about 600,000 military personnel, teachers and civil servants will be affected by the pension reform, while about 10 million people will be affected by the new labor insurance system.