The federal government’s pension system has undergone modifications to lessen the fast increasing weight of pension payments on the budget, finally authorized by the ECC after years of bureaucratic resistance. The proposed changes to the federal pension system include modifying the formula for calculating gross pension, penalizing voluntary retirements, altering the process for future pension increases, adjusting family pension entitlements, doing away with multiple pensions, creating a pension fund, and launching additional initiatives to bring savings. The biggest change being implemented is probably the implementation of the contributing pension plan for new civilian hires and active military personnel. Although numerous modifications were previously declared in this year’s budget, they were not yet put into practice. This is especially true given that the ongoing economic crisis has made the need for fiscal consolidation even more urgent.

Source: The Patriot June 29, 2024 19:20 UTC