Caixa Geral de Retirações Pensions recalculated will increase by an average of 100 euros – The Jornal Económico

The average increase in pensions of the 2,237 pensioners of Caixa Geral de Aposentações (CGA), who had their pensions recalculated after a ruling by the Constitutional Court, is around 100 euros, a source from the Ministry of Labor told Lusa.

"Payment of pensions with retroactive payments will take place on August 19" and "the average increase in the value of pensions around 100 euros", said the official source of the Ministry of Labor, Solidarity and Social Security.

At stake are 2,237 CGA pensions that have been recalculated following a Constitutional Court ruling published in April that required a review of the reforms granted since 2013.

Labor Minister José António Vieira da Silva said in parliament in May that the measure will have an impact of 13.5 million euros this year, so in August there may be pensioners receiving amounts of a few thousand euros due to retroactive payment.

These pensioners should already be covered by the new tax rule, which prevents income from previous years from being taxed in IRS plus income earned this year.

The Constitutional Court decided to declare the unconstitutionality, with general binding force, “of […] which provides that voluntary retirement shall be governed by the law in force at the time the order is issued recognizing the right to retirement, on the basis of Articles 2 and 13 of the Constitution ”.

At issue is a standard, proposed by the previous government, which came into force on 1 January 2013, which determined that henceforth, voluntary entries into retirement were to be calculated on the basis of the rules in force on the date of reply. not – as was the case by the end of 2012 – based on the rules in force on the date of the request.

The difference may be relevant in cases where there is a significant time lag between request entry and response.

The article was considered unconstitutional for violating the principles of trust and equality and, as the Constitutional Court did not restrict the effects of the judgment, the decision has retroactive effect on January 1, 2013.

In 2013, the age of unpaid retirement in the civil service increased to 65.

The following year, the previous government aggravated the sustainability factor and indexed the uncut retirement age to the average life expectancy. The new level has been set at 66 years, but since then there has been an average increase of one month for each year, which means that in 2019 you need to be 66 years and five months old to be right to 'full' retirement.

In addition to these changes, and also by the former executive, it was decided to increase from 4.5% per year to 0.5% per month the penalty for early retirement due to the legal age in force and the time bonus that was given was eliminated. who asked for early retirement and had years of discounts beyond the minimum required.

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