Title: Pension Policy Under Review: Calls for Permanent Adjustments to Retiree Benefits
Introduction
A prominent retirees’ rights advocate has raised concerns regarding the current method of calculating pension adjustments for Iranian retirees. Yadollah Faraji, a former head of the Islamic Labor Council at General Steel Company, has called for procedural changes to ensure that approved increases are permanently integrated into the base pension amount, providing long-term financial stability for retirees.
Advocate Highlights Discrepancy in Payment Slips
In a recent interview, Faraji pointed to a specific issue in the way pension increases are reflected on payment slips. He explained that while adjustments for the years 1403 and 1404 (2024/2025) are mentioned in the footnotes of the slips, they have not been incorporated into the foundational pension base. This means the increases are listed as separate, temporary additions rather than becoming a permanent part of the monthly pension calculation.
“The total pension, including the adjustments from 1402 and 1403, is stated in the explanation section,” Faraji noted. “However, the primary pension amount at the top of the slip has not been consolidated to include these figures, even several months after the adjustments were approved.”
A Push for Systemic Change
The core of the appeal from retiree representatives is a shift in administrative practice. They are urging pensioner associations and the Social Security Organization to advocate for the government to apply annual adjustments directly to the base pension. This method, they argue, would prevent the increases from being listed as isolated line items and would instead ensure their cumulative and lasting effect on retirees’ income.
Faraji emphasized the need for pressure to ensure that “these amounts are correctly recorded on the slips and that the annual adjustments are applied to the pension base, rather than being listed separately.”
Understanding the “40-30-30” Adjustment
The discussion often centers on a “40-30-30” adjustment plan, a mechanism designed to incrementally increase pensions over several years. Retiree advocates are not contesting the increases themselves but are focused on how they are implemented. Their goal is to have these increments permanently embedded in the base pension, which would lead to more substantial and sustainable growth in their monthly benefits over time.
Conclusion
This call for reform highlights an ongoing dialogue between retiree representatives and social security authorities aimed at refining the pension system. The focus remains on achieving greater clarity and permanence in benefit calculations to better serve the retired community, in line with the continuous efforts to enhance social welfare programs.