AMMAN — The Cabinet has decided to increase the minimum pension and ill-health pension monthly payments for Social Security Corporation (SSC) pensioners to JD100, Minister of State for Media Affairs Jumana Ghunaimat announced on Wednesday.

 

The decision will positively impact 33,000 pensioners and 23,000 families of deceased pensioners, according to the Jordan News Agency, Petra.

 

The estimated annual cost of raising the baseline for pensions will be around JD18 million, SSC Director General Hazem Rahahleh said.

 

Those covered by the decision can begin receiving their increased pensions at the beginning of June, according to Petra.

 

The minister said that the decision was made based on a clause within the Social Security Law stipulating that the baseline for pensions and ill-health pensions is determined by the Cabinet based on a recommendation by the SSC’s board of directors and must be reviewed every five years.

 

Ghunaimat clarified that the pension hike seeks to do justice by pensioners and those who receive limited wages, taking into consideration that the last review and increase to pensions occurred in 1993.

 

She added that the decision is a step towards embedding the concept of a “country of solidarity” and is in sync with the government’s newfound social protection approach, according to Petra.

 

Rahahleh commended the Cabinet’s decision and the government’s continuous support to the SSC and its beneficiaries.

 

He underscored pensioners of older generations are among those who stand to benefit the most from the decision as they were receiving their pensions in accordance with lower wages.

 

Rahahleh pointed out that the minimum wage was JD190 until 2011, having increased from JD150 and JD110 in previous years, and currently stands at JD220.

 

He highlighted that the average monthly increase to all pensions will amount to JD28 approximately.

 

The pensions of around 16,000 SSC beneficiaries, amounting to 28.4 per cent of all pensioners benefitting from the increase, will be subject to a JD50 hike, Rahahleh noted.

 

Meanwhile, around 6,400 pensioners will receive an addition of JD40-JD49 to their pensions, while the pensions of 7,100 will witness increases ranging between JD30 and JD39.

 

An estimated 26,000 people will receive increases to their pensions of amounts ranging up to JD29.

 

Rahahleh also noted that those who are supporting three or more dependants would also benefit from an increase of up to JD10.

 

The decision will cover early retirement and old-age retirement pensions, as well as pensions for retirement caused by natural death, for death caused by a work injury and ill-health pensions.