VILNIUS — The Lithuanian government managed to push through new austerity measures including maternity benefit cuts, but stumbled with its proposal to raise the retirement age.

The government is still looking at ways to slash budgets in a bid to reduce the budget deficit to under the Maastricht-imposed 3 percent mark by 2014, when it wants to apply for the euro. Last year budgets across the public sector were cut deeply, but the government is continuing in the hope it can adopt Europe’s common currency.

Parents will now have to [private_supervisor]choose how they will receive their reduced maternity leave benefits. Previously, Lithuania had what was considered to be the world’s best benefits for new mothers, giving them two full years of full wages after giving birth.

Now parents will have two options — either to take one year of full wages or two years of partial wages, 70 percent in the first and 40 percent in the second.

Though the measures are harsh in the eyes of parents now, the prime minister said they had to take the fall for their kids.

“We have to look at the state’s funds. If we try to show unbearable generosity without having enough money in the budget, this would lie on the shoulders of children themselves in the shape of national debt,” Prime Minister Andrius Kubilius told parliament.

Public sector wages were also frozen indefinitely and state pension contributions were locked in at 2 percent indefinitely.

Age debate retired

The government’s bid to increase the retirement age to 65 for both men and women over the next 15 years failed in parliament.

Extra labor and a saving in state pension funds would have helped the government save money, but even some of the coalition’s own members voted against the bill, unpopular with the key constituency of older voters.

Currently men work until 62.5 years of age and women until the age of 60. It is unlikely that the bill will be reconsidered at least until autumn. [/private_supervisor] [private_subscription 1 month]choose how they will receive their reduced maternity leave benefits. Previously, Lithuania had what was considered to be the world’s best benefits for new mothers, giving them two full years of full wages after giving birth.

Now parents will have two options — either to take one year of full wages or two years of partial wages, 70 percent in the first and 40 percent in the second.

Though the measures are harsh in the eyes of parents now, the prime minister said they had to take the fall for their kids.

“We have to look at the state’s funds. If we try to show unbearable generosity without having enough money in the budget, this would lie on the shoulders of children themselves in the shape of national debt,” Prime Minister Andrius Kubilius told parliament.

Public sector wages were also frozen indefinitely and state pension contributions were locked in at 2 percent indefinitely.

Age debate retired

The government’s bid to increase the retirement age to 65 for both men and women over the next 15 years failed in parliament.

Extra labor and a saving in state pension funds would have helped the government save money, but even some of the coalition’s own members voted against the bill, unpopular with the key constituency of older voters.

Currently men work until 62.5 years of age and women until the age of 60. It is unlikely that the bill will be reconsidered at least until autumn. [/private_subscription 1 month] [private_subscription 4 months]choose how they will receive their reduced maternity leave benefits. Previously, Lithuania had what was considered to be the world’s best benefits for new mothers, giving them two full years of full wages after giving birth.

Now parents will have two options — either to take one year of full wages or two years of partial wages, 70 percent in the first and 40 percent in the second.

Though the measures are harsh in the eyes of parents now, the prime minister said they had to take the fall for their kids.

“We have to look at the state’s funds. If we try to show unbearable generosity without having enough money in the budget, this would lie on the shoulders of children themselves in the shape of national debt,” Prime Minister Andrius Kubilius told parliament.

Public sector wages were also frozen indefinitely and state pension contributions were locked in at 2 percent indefinitely.

Age debate retired

The government’s bid to increase the retirement age to 65 for both men and women over the next 15 years failed in parliament.

Extra labor and a saving in state pension funds would have helped the government save money, but even some of the coalition’s own members voted against the bill, unpopular with the key constituency of older voters.

Currently men work until 62.5 years of age and women until the age of 60. It is unlikely that the bill will be reconsidered at least until autumn. [/private_subscription 4 months] [private_subscription 1 year]choose how they will receive their reduced maternity leave benefits. Previously, Lithuania had what was considered to be the world’s best benefits for new mothers, giving them two full years of full wages after giving birth.

Now parents will have two options — either to take one year of full wages or two years of partial wages, 70 percent in the first and 40 percent in the second.

Though the measures are harsh in the eyes of parents now, the prime minister said they had to take the fall for their kids.

“We have to look at the state’s funds. If we try to show unbearable generosity without having enough money in the budget, this would lie on the shoulders of children themselves in the shape of national debt,” Prime Minister Andrius Kubilius told parliament.

Public sector wages were also frozen indefinitely and state pension contributions were locked in at 2 percent indefinitely.

Age debate retired

The government’s bid to increase the retirement age to 65 for both men and women over the next 15 years failed in parliament.

Extra labor and a saving in state pension funds would have helped the government save money, but even some of the coalition’s own members voted against the bill, unpopular with the key constituency of older voters.

Currently men work until 62.5 years of age and women until the age of 60. It is unlikely that the bill will be reconsidered at least until autumn. [/private_subscription 1 year]

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