Topilin spoke against quotas for age employees

© RIA Novosti / Vladimir Fedorenkova in fotomancer of labour and social protection of Russia Maxim Topilin. Archival photoTopilin spoke against quotas for age employees© RIA Novosti / Vladimir Fedorenkova the image Bank

The Minister of labour and social protection of Russia Maxim Topilin said that he considers it inappropriate to introduce a quota of jobs for the employment of older citizens in the framework of the changes in pension legislation.

«We have a quota for just one category is people with disabilities. Neither for the young nor for the elderly such mechanisms no. I think that it is impractical. It seems to me that, on the contrary, it will encourage the employer to circumvent the mechanism,» — said Topilin in an interview to the newspaper «Izvestia».

«It is often said that people will be fired. So it can happen to a person of any age at any time. The key factor people need to maintain their competence. The people who work in 60-65 years, competition in the labour market: they have the experience, knowledge and skills,» he added.

According to him, the Ministry is in dialogue with associations of employers, «they also understand the situation». «Must be a shared responsibility of the business for this reason. According to personified records of Pension Fund, we see everyone who works, will try to build a preventive model. If risks arise, we will contact the employers,» — said Topilin.

Earlier, Prime Minister Dmitry Medvedev said that the government proposes to raise the age of retirement to 65 years for men and 63 years for women. The reform will be phased and will start in 2019. The government has submitted relevant bills to the state Duma after consideration at a meeting of the Russian tripartite Commission (RTC) for regulating social-labour relations.

The bill of the Cabinet noted that this initiative will create the conditions for annual indexation of pensions above the rate of inflation in balance and long-term financial sustainability of the pension system of the Russian Federation as a whole. First Deputy Prime Minister — Finance Minister Anton Siluanov at the meeting of the tripartite Commission stated that the changes in pension legislation and taxation should provide a new quality of economic growth and enhance the quality of life of citizens. According to him, the pension bill aims to increase the real pension in the country. All funds received through its implementation, will go to social sector, special emphasis will be placed on health.

According to the head of Sberbank German Gref, the proposed changes will contribute to pensions to a decent level. According to the head of the accounts chamber of the Russian Federation Alexey Kudrin, the increase in the retirement age would yield savings to the budget of the Russian Federation in 2024 1 trillion rubles a year, a significant portion of these funds, the authorities will direct on increase of pensions. President of the Association of pension funds (ANPF) Sergei Belyakov said that the decision to raise the retirement age overdue, this is required fundamentally changing demographic trends and age structure of the population in the Russian Federation.

The question of raising the retirement age has been discussed for quite some time. The need for this is caused by growing life expectancy and the inability to provide a decent pension in circumstances when the number of employees in the country decreases, while the number of pensioners, by contrast, is growing. Today, in most countries the retirement age is 60-65 years.