Advertisment

Poland’s Permanent 14th Pension: A Commitment to Seniors

author-image
BNN Correspondents
New Update

A New Chapter in Polish Social Policy

Advertisment

Polish President, Andrzej Duda, recently announced the introduction of a permanent 14th pension that is set to come into effect immediately. This 14th pension is an additional yearly monetary benefit for pensioners and disability pensioners. Initially introduced in 2020 as a trial run, it was uncertain if the state budget could shoulder this burden. However, the program proved feasible and was successfully implemented in 2021 and 2022.

A Historic Day for Polish Seniors

The announcement was made during a visit by President Duda, Prime Minister Mateusz Morawiecki, and Minister of Family and Social Policy Marlena Maląg to the Senior+ Day Home in Wola Karczewska. The President expressed his pleasure in making this announcement, emphasizing that the 14th pension would now be a permanent benefit that seniors would receive annually.

Advertisment

Prime Minister Morawiecki marked the day as historic, pointing out that nearly 10 million citizens would be affected. He stressed that since 2015, the Law and Justice government, in conjunction with the President, had spearheaded a dignity revolution, restoring respect to those who had been denied it in the Third Republic.

The Government's Commitment to its Elderly Population

The introduction of the 14th pension illustrates the government's dedication to managing public finances in a manner that ensures sufficient funds for this permanent pension benefit. This commitment follows through on a promise made to seniors, reinforcing the government's dedication to the welfare of its elderly population.

Advertisment

The Impact of the 14th Pension

Andrzej Duda, the Polish president, has signed into law a bill which changes a temporary bonus, the so-called 14th pension, into a permanent allowance for old-age pensioners. The president signed the bill on July 19, as reported by the President's Press Office. The Law and Justice (PiS) government had already written into law the 13th pension, a bonus paid to pensioners in the first half of the year, while the 14th pension had earlier been a discretionary payment.

The allowance will be paid, as it has been the case so far, at least at the level of the minimum pension, with an eligibility threshold of PLN 2,900 (EUR 646). According to the Family and Labour Ministry, around 8.3 million senior citizens will benefit from the 14th pension, with 5.8 million eligible for the full payment.

Advertisment

Future Implications

In 2023, the 14th pension will cost taxpayers PLN 11.6 billion (EUR 2.58 bln) and the amount will rise to PLN 13.1 billion (EUR 2.92 bln) by 2026. PiS has recently unveiled new social welfare measures, which include a raise in the monthly child benefit to PLN 800 (EUR 178) from PLN 500 (EUR 111), free medicines for people over the age of 65 and those under 18, and the scrapping of motorway tolls for private motorists. According to the prime minister, the programmes would cost the state budget PLN 26 billion (EUR 5.77 bln) annually.

The permanent introduction of the 14th pension de facto means a permanent quota indexation of pensions. This move signifies that the Polish government is making significant strides in supporting its elderly population, providing them with financial stability, and recognising their contributions to the nation.

Advertisment
Advertisment