Algiers: Retirement pensions rise 9%

The annual increase of retirement pensions and allowances is set at 9% for 2012 and will be applied from next August, interim Minister of Labour, Employment and Social Security Djamel Ould Abbes said Wednesday in Algiers. “This 9 % increase in retirement pensions and allowances for the year 2012 will be applicable from next August and with a retroactive effect from May 2012,” said Ould Abbes during the signing ceremony of the decree related to this rise between the Ministry of Labour and the National Fund for Retirement (CNR). The annual increase is added to the exceptional rise of 15 to 30 % of the whole minimum pensions of about 2,100,000 retired implemented on 1st January 2012, upon the decision of President of the Republic Abdelaziz Bouteflika, Ould Abbes added. “This measure has been taken on the eve of the holy month of fasting Ramadan and part of efforts aiming at improving purchasing power,” said the Minister, reminding of the various measures taken in favour of the retired over the past decade. Ould Abbes also recalled the measures taken for the exemption of the tax on total income (IRG) of retirement pensions below DZD 20,000 under the 2008 complementary finance act, and the reduction of IRG from 10 to 80 % for the pensions between DZD 20,000 and DZD 40,000 (2010 complementary finance act). Concerning the measure related to family allowances increase, Ould Abbes said that talks will be held in September.