VILNIUS — Lithuanian unions told the government Tuesday that its plan to raise the age for pension eligibility will increase unemployment and emigration, although no labor action has been announced.

In order to have a maintainable social security system over the next 30 years, the government said they would need to increase the retirement age to [private_supervisor]around 67. Plans to start increasing the age from the current 60 for women and 62.5 for men to 67 would be done in six month intervals every year.

The Lithuanian Trade Union Confederation said that by increasing the retirement age with the current generation of near-retirees they would send a lot of younger people out of the country looking for work.

“The age that we have now is lower and at the moment there is a large amount of unemployment in Lithuania. We think an increase in age would increase unemployment and won’t help young people get into jobs,” Danute Šlionskienė, international secretary of the Lithuanian Trade Union Confederation told Baltic Reports.

Lithuania is required to lift the pension age from 2012 as part of its entry into the European Union, as the small Baltic state needs to up the pension age and get more people into the work force if they will be able to pay for their aging population in future.

Virginijus Valentinavičius, an adviser to the prime minister told Baltic Reports that the age increase plan had not been set in stone and that the final conditions were up for debate.

“The prime minister thinks this is issue is open for debate and the outcome is not clear yet — the age could be 65, or 67, we don’t know yet,“ Valentinavičius said.

In October the government, the union confederation and business associations signed an neo-corporatist agreement that signed off on the government’s previous decisions to cut expenditures and stipulates a tripartite agreement for further austerity cuts. Though the unions are upset by the raising of the age, the prime minister’s office points out that there was a clause in the agreement that retirement age was an issue of concern that must be addressed, although no numbers were discussed.

The unions want the increase to be as gradual as possible.

“We think it would be better to increase it by one month of age per year, not six months. And also just for young people under 40,” Šlionskienė said, adding that the confederation expects the government pay heed given the voting power of pensioners who would be affected by the laws. [/private_supervisor] [private_subscription 1 month]around 67. Plans to start increasing the age from the current 60 for women and 62.5 for men to 67 would be done in six month intervals every year.

The Lithuanian Trade Union Confederation said that by increasing the retirement age with the current generation of near-retirees they would send a lot of younger people out of the country looking for work.

“The age that we have now is lower and at the moment there is a large amount of unemployment in Lithuania. We think an increase in age would increase unemployment and won’t help young people get into jobs,” Danute Šlionskienė, international secretary of the Lithuanian Trade Union Confederation told Baltic Reports.

Lithuania is required to lift the pension age from 2012 as part of its entry into the European Union, as the small Baltic state needs to up the pension age and get more people into the work force if they will be able to pay for their aging population in future.

Virginijus Valentinavičius, an adviser to the prime minister told Baltic Reports that the age increase plan had not been set in stone and that the final conditions were up for debate.

“The prime minister thinks this is issue is open for debate and the outcome is not clear yet — the age could be 65, or 67, we don’t know yet,“ Valentinavičius said.

In October the government, the union confederation and business associations signed an neo-corporatist agreement that signed off on the government’s previous decisions to cut expenditures and stipulates a tripartite agreement for further austerity cuts. Though the unions are upset by the raising of the age, the prime minister’s office points out that there was a clause in the agreement that retirement age was an issue of concern that must be addressed, although no numbers were discussed.

The unions want the increase to be as gradual as possible.

“We think it would be better to increase it by one month of age per year, not six months. And also just for young people under 40,” Šlionskienė said, adding that the confederation expects the government pay heed given the voting power of pensioners who would be affected by the laws.[/private_subscription 1 month] [private_subscription 4 months]around 67. Plans to start increasing the age from the current 60 for women and 62.5 for men to 67 would be done in six month intervals every year.

The Lithuanian Trade Union Confederation said that by increasing the retirement age with the current generation of near-retirees they would send a lot of younger people out of the country looking for work.

“The age that we have now is lower and at the moment there is a large amount of unemployment in Lithuania. We think an increase in age would increase unemployment and won’t help young people get into jobs,” Danute Šlionskienė, international secretary of the Lithuanian Trade Union Confederation told Baltic Reports.

Lithuania is required to lift the pension age from 2012 as part of its entry into the European Union, as the small Baltic state needs to up the pension age and get more people into the work force if they will be able to pay for their aging population in future.

Virginijus Valentinavičius, an adviser to the prime minister told Baltic Reports that the age increase plan had not been set in stone and that the final conditions were up for debate.

“The prime minister thinks this is issue is open for debate and the outcome is not clear yet — the age could be 65, or 67, we don’t know yet,“ Valentinavičius said.

In October the government, the union confederation and business associations signed an neo-corporatist agreement that signed off on the government’s previous decisions to cut expenditures and stipulates a tripartite agreement for further austerity cuts. Though the unions are upset by the raising of the age, the prime minister’s office points out that there was a clause in the agreement that retirement age was an issue of concern that must be addressed, although no numbers were discussed.

The unions want the increase to be as gradual as possible.

“We think it would be better to increase it by one month of age per year, not six months. And also just for young people under 40,” Šlionskienė said, adding that the confederation expects the government pay heed given the voting power of pensioners who would be affected by the laws. [/private_subscription 4 months] [private_subscription 1 year]around 67. Plans to start increasing the age from the current 60 for women and 62.5 for men to 67 would be done in six month intervals every year.

The Lithuanian Trade Union Confederation said that by increasing the retirement age with the current generation of near-retirees they would send a lot of younger people out of the country looking for work.

“The age that we have now is lower and at the moment there is a large amount of unemployment in Lithuania. We think an increase in age would increase unemployment and won’t help young people get into jobs,” Danute Šlionskienė, international secretary of the Lithuanian Trade Union Confederation told Baltic Reports.

Lithuania is required to lift the pension age from 2012 as part of its entry into the European Union, as the small Baltic state needs to up the pension age and get more people into the work force if they will be able to pay for their aging population in future.

Virginijus Valentinavičius, an adviser to the prime minister told Baltic Reports that the age increase plan had not been set in stone and that the final conditions were up for debate.

“The prime minister thinks this is issue is open for debate and the outcome is not clear yet — the age could be 65, or 67, we don’t know yet,“ Valentinavičius said.

In October the government, the union confederation and business associations signed an neo-corporatist agreement that signed off on the government’s previous decisions to cut expenditures and stipulates a tripartite agreement for further austerity cuts. Though the unions are upset by the raising of the age, the prime minister’s office points out that there was a clause in the agreement that retirement age was an issue of concern that must be addressed, although no numbers were discussed.

The unions want the increase to be as gradual as possible.

“We think it would be better to increase it by one month of age per year, not six months. And also just for young people under 40,” Šlionskienė said, adding that the confederation expects the government pay heed given the voting power of pensioners who would be affected by the laws.[/private_subscription 1 year]

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