New regulation for retirement after EYT

Following the EYT law, a second regulation for retirement is on the way. The Development Plan covering the 2024-2028 period includes reform-oriented steps for the social security system. To increase retiree welfare, the social security system will be supported by supplementary pension and health systems.

PENSION CALCULATION SYSTEM TO CHANGE

According to a report by the pro-government newspaper Sabah, the scope of the social security system will be expanded and the premium base will be strengthened. Entry into the system will be made easier. To this end, new practices will be developed for different professional and income groups, and the simplified employer application will be expanded. The pension calculation system will encourage individuals to remain in employment longer and will not impose a financial burden. In order to ensure financial sustainability in the system, studies will be conducted on automatic adjustment mechanisms compatible with the increase in life expectancy at birth when determining retirement criteria.

Special social insurance programs will be created for groups such as low-income tradespeople, artisans, farmers, and seasonal workers. It will be adapted to changing labor market conditions and new-generation flexible working models. The legal infrastructure will be strengthened to harmonize new working models that emerge outside the traditional workplace concept with digitalization with the social security system. The compatibility of social security practices with flexible working models, especially part-time work, will be increased.

News Source: 12punto