(ANSA) - Rome, January 20 - Politicians were divided Tuesday
after the Constitutional Court declared inadmissible a
referendum on a December 2011 pensions reform.
Former Labour Minister Elsa Fornero, who authored the reform, welcomed the decision not to allow a referendum on article 24 of the December 22, 2011 law.
The article raised the pensionable age and requirements for retirement on the basis of the number of years of social security contributions made, and created the so-called 'exiled' (esodati), namely people finding themselves unemployed and without pension rights for a number of years. Following is a breakdown of the main points of Fornero's reform law.
Pensions are to be calculated based on the number of social security payments made, and no longer on the average salary earned in the last years before retirement. Women's retirement age was raised to 62 in 2012, to 63 and nine months in 2014-15, and will hit 66 by 2018.
Female civil servants can retire not before turning 66 and three months. Men's retirement age is 66 and three months, and both genders must have worked at least 20 years. The Fornero law also amended previous legislation that said people could retire after having worked 40 years, no matter what their age.
Under current law, men can take early retirement after having worked 42 years and six months, and women can retire early after 41 years and six months between the traces. The Fornero law also raised social security contributions by freelancers and the self-employed by 0.3 basis points a year, reaching a full two points more by 2018.
In 2011, shopkeepers and artisans were required to pay 20-21% of their income into the social security fund, against 33% for employees.
Former Labour Minister Elsa Fornero, who authored the reform, welcomed the decision not to allow a referendum on article 24 of the December 22, 2011 law.
The article raised the pensionable age and requirements for retirement on the basis of the number of years of social security contributions made, and created the so-called 'exiled' (esodati), namely people finding themselves unemployed and without pension rights for a number of years. Following is a breakdown of the main points of Fornero's reform law.
Pensions are to be calculated based on the number of social security payments made, and no longer on the average salary earned in the last years before retirement. Women's retirement age was raised to 62 in 2012, to 63 and nine months in 2014-15, and will hit 66 by 2018.
Female civil servants can retire not before turning 66 and three months. Men's retirement age is 66 and three months, and both genders must have worked at least 20 years. The Fornero law also amended previous legislation that said people could retire after having worked 40 years, no matter what their age.
Under current law, men can take early retirement after having worked 42 years and six months, and women can retire early after 41 years and six months between the traces. The Fornero law also raised social security contributions by freelancers and the self-employed by 0.3 basis points a year, reaching a full two points more by 2018.
In 2011, shopkeepers and artisans were required to pay 20-21% of their income into the social security fund, against 33% for employees.
