Rewritten Title:
“Pension Reforms Promise Fairer Future: Retirees to See 90% Salary Parity in Three Years”
Government Unveils Landmark Pension Reform Plan
In a major step toward economic justice, the Iranian government has announced a progressive pension reform plan aimed at significantly increasing retirees’ benefits. Under the new policy, pensions will gradually rise to 90% of active employees’ salaries within three years. The initiative, part of the country’s development program, seeks to ensure fairness in payments without imposing financial strain on citizens.
Administrative Reforms to Boost Efficiency
Alaeddin Rafiezadeh, Vice President, emphasized that the reforms aim to reduce public dissatisfaction while enhancing productivity. “Restructuring the administrative system is essential,” he stated, noting that ministries like Agriculture play a critical role in safeguarding food security during implementation.
The plan also includes revising civil service management structures, with resolutions from the Supreme Administrative Council soon to be published on the Presidential Legal Deputy’s portal for greater transparency.
Performance-Based Pay & Workforce Rebalancing
Rafiezadeh clarified that performance-based payment systems—already piloted in agencies like the Postal Company and Meteorological Organization—will not cut salaries but instead reward efficiency. He also addressed workforce imbalances, highlighting shortages in some regions and surpluses in others. To optimize resources, the government proposes repurposing unused state-owned buildings.
Three-Phase Pension Adjustment Underway
Ahmad Meydari, Minister of Cooperatives, Labor, and Social Welfare, confirmed that the first phase of pension adjustments—implemented at 40% last year—has progressed, with 30% more this year and the remaining 30% slated for next year.
Under the Social Security Organization’s framework, retirees will see three key adjustments:
- 2023 Annual Pension Increase
- 2023 Adjustment Bonus
- 2024 Adjustment Plan
Additional support includes a 50% rise in living allowances (reaching 600,000 tomans) and family benefits, with child allowances doubling to 1,719,000 tomans per child.
A Commitment to Retiree Welfare
Meydari stressed that the reforms prioritize retirees’ livelihoods and income growth, with a published formula allowing beneficiaries to estimate their adjusted pensions. The measures align with the Seventh Development Plan, ensuring equitable implementation over three years.
This landmark initiative marks a turning point in securing dignity for retirees while strengthening Iran’s administrative and economic resilience.