Rather than retirement, EYT will turn into wage support

Rather than retirement, EYT will turn into wage support
Date: 10.1.2023 14:00

Stating that the number of people who will retire with Retirement Age Victims (EYT) will be lower than expected, Prof. Dr. Aziz Çelik said, "EYT will turn into a wage support rather than a pension."

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With the Retirement Age Victims (EYT) regulation, which is expected by millions of employees, and 3600 additional indicators expected by public employees, the way for both private and public employees in a kind of retirement has been cleared.
 
Prof. Dr. Aziz Çelik, who made a statement to our newspaper on the subject, pointed out that he believed that the private sector employees' retirement orientation with EYT would be lower than expected, while a limited number of people in the public sector would retire.
 
Çelik stated that the reason would be due to low pensions.
 

“PRIVATE SECTOR CAN CONTINUE WITH ITS EXPERIENCED EMPLOYEES”

 
Pointing out that the demands of the private sector regarding the employees who will retire were accepted by the government, Çelik stated that the employees will continue to work after their retirement.
 
"Due to the abolition of the social security support premium in the private sector, employers will want some of their experienced employees to continue working. The government accepted the employers' request in this direction. The 3600 additional indicators are hard to predict. But even though the total number of EYT is 2 million 250 thousand, I think it will be far below this, and a significant part of them will continue to work due to low pensions. If the employer wants to continue working, he can ensure that the experienced employee continues to work. Those who will retire with 3600 additional indicators can pave the way for the recruitment of new permanent civil servants in the public sector," he said.
 

“RETIRED EMPLOYEE RATE WILL INCREASED”

 
Expressing that their pensions are low, Çelik drew attention to the rate of retired employees.
 
"EYT will turn into a wage support rather than a pension, most of the retirees will want to work. The working rate of retirees, who are still around 45 percent, will increase even more. Against the backlash caused by the decline in pensions, the government decided to increase the lowest pension to 5,500 TL with the support of the Treasury. Thus, the lower limit increased by 57 percent. However, this does not benefit the majority of retirees. The average worker pension is around 4 thousand 600 TL as of December 2022, and retirees with a pension of 4 thousand 250 TL or more will only receive a 30 percent increase. Thus, it is not just the civil servant collective bargaining scheme. The pension system introduced by Law No. 5510, which entered into force in 2008, also went bankrupt. The pension system introduced by Law No. 5510 has devastated millions of retirees. Pensions had fallen to half the minimum wage," he added.

YEREL HABERLER

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