Iranian Cabinet Approves Significant Pension Increase for 2024, Allocates Billions in Support
In a major move to bolster social welfare, the Iranian Cabinet has officially ratified new regulations that substantially increase pension benefits for millions of retirees and beneficiaries under the Social Security Law.
Key Details of the Increase
The directive, proposed by the Ministry of Cooperation, Labour, and Social Welfare and based on the country’s existing Social Security Law, outlines a two-tiered increase structure effective from the start of the current Iranian year (March 20, 2024).
For Lower-Income Pensioners: Retirement, disability, and survivor pensions that were equal to or less than the previous year’s minimum wage will see a significant 45% increase compared to their 2023 pension amount.
For Other Pensioners: Those whose 2023 pension was above the minimum wage will receive a 32% increase plus a fixed sum of 9,316,050 Rials.
The regulations also specify a 45% increase for those receiving partial disability pensions and extend additional benefits, such as family and child allowances, in line with the provisions of the national budget law.
Government Commitment to Social Welfare
The announcement underscores the government’s ongoing commitment to its social responsibilities. Ms. Benafsheh Mahmoudian, Director General of Pensions at the Social Security Organization, confirmed the implementation of these adjustments, known as “pension proportionality.”
In an interview, Mahmoudian emphasized that executing these pension adjustments is a legal duty of the Social Security Organization. She reported that over 5,500 billion Tomans are being allocated monthly for the 2024 adjustments, with a total of more than 32,000 billion Tomans earmarked for pensioners and beneficiaries this year.
The process, which began in 2023, is part of a multi-year framework established under the country’s Seventh Development Plan law. The plan is designed to methodically address pension values over a three-year period, ensuring sustainable and structured support for retirees.
