Title: Iran’s Social Security Organization Announces Major Plan to Settle 80% of Pensioners’ Arrears by Late September
In a significant move addressing pensioners’ financial concerns, the CEO of Iran’s Social Security Organization (SSO), Mostafa Salari, has announced a comprehensive plan to settle approximately 80% of outstanding pension payments across the country. The commitment was made during an interactive meeting with representatives of the labor and retiree community in Fars province, part of a series of “Consultative Meetings for Transformative Action.”
A Three-Phase Payment Plan
Mr. Salari detailed that the settlement of these financial claims would be executed in three distinct phases, with the entire process slated for completion by the end of the Iranian month of Shahrivar (late September). This initiative is a central part of the organization’s broader strategy to ensure the financial stability and future viability of the national pension fund.
Reforms Essential for Fund Revitalization
Emphasizing the critical need for structural reform, Salari stated that paying “real wages” is essential for the revitalization of the Social Security pension fund. A proposal to this effect has been submitted to the government and the parliament. The successful implementation of these reforms is projected to resolve a significant portion of the fund’s financial challenges and requirements.
“The implementation of reforms in this organization, an intergenerational fund belonging to a vast segment of the country’s population including workers and retirees, is an unavoidable necessity,” Salari remarked. He acknowledged that such necessary changes, while in the best interest of the SSO, would inevitably be met with pressure and criticism from certain quarters.
Navigating Financial Challenges
The CEO provided a transparent overview of the organization’s financial standing, outlining an unprecedented historical imbalance between resources and expenditures. The SSO’s costs for the current year stand at 1,500 Hamt (a unit of currency), while contributions from insurance premiums are expected to cover 1,200 Hamt. This gap necessitates sourcing additional funds from other avenues, such as investments.
Salari also addressed the role of the Social Security Investment Company (SHASTA), clarifying that even under the most optimal and hypothetical scenario where its profitability tripled, it would only cover about 5% of the organization’s required resources. While improving SHASTA’s performance is a priority, its contribution remains a small part of the larger financial picture.
Protecting the People’s Trust
A recurring theme in Salari’s address was the unwavering commitment to protect the assets of retirees and insured individuals. He described the SSO’s resources as a public trust (“Hagh-ol-Nas”) and vowed to stand against any pressures that threaten its sustainability.
“We will stand against pressures to safeguard the endowment of retirees and the insured,” he asserted. “Safeguarding this reserve and the future of a vast segment of society who have their hopes pinned on this organization’s actions is a human, national, and religious duty.”
The meeting also covered other pertinent issues raised by worker and retiree representatives, including medical infrastructure, pilgrimage trips for retirees, loan facilities, the status of SHASTA companies, insurance for construction workers, and matters concerning the Bank of Workers’ Welfare. Salari assured that all raised issues would be professionally examined, with necessary decisions taken and announced transparently.