Ex-Minister of Finance of Russia, the former Pro-governmental and oppositional politician, now considered to be an informal adviser to the President on the economy, Finance Minister Alexei Kudrin has urged to raise the retirement age in Russia immediately after the elections.
The pension topic of great concern to the 55-year-old native of Latvia. Just a few days ago, he lamented the fact that the timing for raising the retirement age was missed in 2010 when they managed to noticeably raise yourself pensions:
“Let me remind you that in 2010, the pension was increased by 50% within one year. It was. Then was the most opportune moment to move to increase the pension age. It would be viewed by society quite balanced”. Kudrin himself in that moment for ten years he held the post of Minister of Finance, but to push his idea he could not: stronger players in the power of the cherished reputation of Russia as a social state.
Compared to 2010 Alexei Kudrin of the rights. Russia has recovered from the 2008 crisis, all economic indicators were going up, people are more relaxed after the recent turmoil and is well packaged the idea of gradually raising the retirement age could be accepted by the society. However, the same period saw the rise of protest activity, for which such a solution would be dry brushwood into the fire. Then, we will remind, in mass street walks out people with different views, United only by the belief that power is bad. And although virtually all countries beloved by liberals of the West where the retirement age above the Russian, and beloved by nationalists of the Russian Empire on pensions, hardly anyone heard it — the government did not dare to tease the street. The idea was shelved, however, and WEBB, who were entrusted with the funds of the Pension Fund, slowly but surely went to the bottom.
Soon I had to patch the hole: it was found that the storage system operates only under condition of growth of the economy. Once it stopped, it became clear that to pay pensions to old people too expensive for the budget; at the same time in 2009-2012 year investigators opened a criminal case on large-scale embezzlement in Pension Fund, but they went to court only in the regions. Hence “freezing” (actually extraction) of the cumulative part of the pension and return to the discussion of reducing the number of pensioners by changing the age of retirement.
In 2010, this procedure is really been more painful than now. Nevertheless Alexey Kudrin considers that even in present conditions it is necessary to raise the retirement age. Let’s consider the most famous Russian economist.
THE CURE FOR POVERTY
A clear picture in your brain Kudrin has not yet been established: “As, for example, would be a transfer within, say, 10 or 16 years? If you raise the retirement age for women from 55 to 63 each year for a year, then it will take 8 years. If we take the scenario that the increase will amount to six months per year, then the transition will be stretched already for 16 years.” But with dates it all clear to announce the decision after the parliamentary elections, to begin improving after the presidential. A vile habit to appease the electorate before the elections and loot it immediately after them and was not blown away from the head of the former Minister for five years of rest from work in the government.
At a time of high oil prices, Russia managed to raise the standard of living of the population to a very decent, quite European level. However, to distribute the income anything like evenly, no one even tried, and the gap between weak and strong grew with each passing day. While Moscow clerk changed credit “Nexia” to the credit “Tricks”, took a mortgage and vacationing in Spain, in the province children’s homes were vandalized, burned psycho-neurological boarding schools and pensioners rummaging in the dumpsters of restaurants. “Ensk — city of contrasts”, is routinely quoted and we continued to live without thinking of unpleasant things. Thus daily approaching old age, disability, and many to poverty.
Of course, the Russian authorities have been working on ways to reduce the number of poor and achieved notable success. So, Prime Minister Dmitry Medvedev recently for the second time in a row reduced the level of poverty in the country by reducing the subsistence minimum. But objectively this problem every day more and more acute and will increase in the retirement age lifesaver?
WHERE GOES RUSSIA?
Let’s see what will change after the increase of the retirement age for the average scenario Kudrin — annually for one year, to 63 years for both sexes. If you start this process in 2019, it will end in 2029. to make forecasts for such term in our terms is meaningless. The world is unstable, the potential force majeure galore: open war with Russia, the collapse of the global dollar system, the discovery of new sources of energy — all this can significantly affect the situation. However, to formulate the baseline scenario is quite possible.
First — we conduct structural reforms of the economy, achieve food self-sufficiency, reducing the share of revenues from hydrocarbon exports to 15%, hit the hands of natural and other monopolies, shoot embezzlers, stop robbing the business. The number of jobs is growing, not enough hands, skilled specialists are in demand, people aged 55-63 years, according to Rosstat, get paid one and a half times above the national average.
Second — economic situation remains stable complex of Russia for some reason or someone’s fault you cannot get out of the crisis, the unemployment rate is not reduced. In anticipation of a modest pension people sit in their seats until at least 63 years old, a new generation of for this reason can not find a job, young energy spilled out on the street, transforming into political speeches and street crime.
The second scenario is already now realized before our eyes without raising the retirement age. “Option Kudrin” will be just an additional catalyst for the destructive processes in society. Before you raise the retirement age, you need to be sure of the availability of work for older army specialists.
We would be happy if the retirement age in Russia began with, say, 70 years, and before that people could lead a full working life, realizing their potential for the benefit of the family and the nation. But to throw people out of the pension system without offering anything in return (and now we objectively have nothing to offer them, and so unemployment rises), is simply the implementation of the military principle of “they shoot horses”.
Thank you, Mr Kudrin, century will be remembered.