2023-09-14 05:33:41
Landau: “An increase of 9.7% sounds like a lot – but for minimum pensioners it is still not enough to be able to cover the expenses of everyday life.”
Vienna (OTS) – Yesterday in the Council of Ministers, the federal government decided to increase pensions for 2024: uniformly 9.7 percent.
Caritas President Michael Landau: “I very much regret that the dramatic situation of many minimum pensioners was not given sufficient attention and that there was no disproportionate increase for particularly low pensions. Minimum pensioners in particular are suffering from the massive wave of inflation; they simply no longer have a hole in their belt to tighten it even further. 9.7% sounds like a lot – but for minimum pensioners this is still often not enough to be able to cover the expenses of everyday life or even to get out of the poverty trap.
The gaping gap between the minimum pension, i.e. the compensatory allowance, and the at-risk-of-poverty threshold in Austria will remain even following the increase in 2024: those affected are almost 200 euros short of a life without poverty or at-risk of poverty. Landau: “The federal government has once once more missed the opportunity to sustainably combat the problem of poverty in old age, especially among women. I think that is very unfortunate. This is regarding people who have accomplished a lot throughout their lives, have done a lot for their families and for our country, and who now, in their old age, have to ask for help from our social counseling centers or stand in line for food donations.”
By increasing the compensation allowance to the level of the at-risk-of-poverty threshold, a simple lever would be available to help minimum pensioners, but also, for example, social assistance recipients, accurately and quickly – and to enable them to live a self-determined life in Austria without poverty. Landau appeals once once more: “We must not resign ourselves to the hardship that still exists here in Austria.”
Those affected by poverty are hit much harder by inflation
The minimum pension in Austria does not guarantee a life without poverty – this was already the case before the high inflation, but has become worse over the years of inflation. The most urgent products for everyday use, summarized in the “micro shopping basket”, have become more expensive far above the average inflation rate – by 13.2 percent in the first half of 2023. People and families affected by poverty, and of course also minimum pensioners, are affected accordingly by the inflation even harder. The one-off payments from the government were important and helped. But they cannot replace a systematic improvement of the situation.
Landau: “It is true that a 9.7% increase is a lot, but record inflation is eating an even bigger hole in the wallets of minimum pensioners and people affected by poverty. It is therefore regrettable that these people were not given additional relief, as was the case last year. In my view, future adjustments will, last but not least, require a more senior-friendly system: the consumer price index should be appropriately adapted to the needs of older people. This is the only way we can reduce poverty in Austria and enable minimum pensioners in particular to have a dignified retirement.”
Questions & Contact:
Caritas Austria
Tina Neuerthal
Head of Public Relations & Press Spokesperson
+43 676 7804589
tina. newertal@caritas-austria.at
www.caritas.at
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