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SSC pensioners not covered by third economic package — spokesperson

Corporation says it ties pension increases to inflation, adding fixed amounts across board

By Bahaa Al Deen Al Nawas - Dec 11,2019 - Last updated at Dec 11,2019

In June, the Social Security Corporation increased its minimum pensions from JD50-100 and will issue another increase in May of 2020, according to Musa Sbeihi, the corporation’s spokesperson (Photo courtesy of SSC Facebook page)

AMMAN — The third incentives bundle to improve the national economy, which was announced by the government last Thursday and focuses on increasing the salaries of employees and retirees in the public sector and the military, does not include civil and military retirees who receive their pensions under the Social Security Corporation (SSC) Law, according to the SSC.

“There are three types of retirement laws: The civil retirement law, the military retirement law and the SSC law,” the corporation’s spokesperson, Musa Sbeihi, told The Jordan Times on Wednesday, adding: “There are public sector employees who are under the social security law, and the increase does not include them.”

“The SSC’s budget is separate from that of the government,” Sbeihi said, explaining that some employees under the SSC law staged a sit-in to demand an increase to their salaries, just like the state employees and retirees.

The SSC increases pensions based on inflation and actuarial studies, Sbeihi said, noting that the calculations result in a fixed amount that is added to everyone’s pensions, regardless of their quantities. 

Based on these studies also, last June the SSC increased the minimum SSC pensions from JD50-100, he said, noting that there will be another increase in May of 2020 that will also be distributed equally to all those "deserving the increase" based on the cost of inflation. 

When Prime Minister Omar Razzaz unveiled the incentives bundle, he said that the third package "has the biggest direct impact" as it benefits 700,000 Jordanians.

During a panel discussion held at the time, Director of the Retirement and Pensions Department at the Finance Ministry Ali Masri said that public sector retirees will receive a minimum pension of JD300, while those whose pensions are over JD300 will receive a JD10 increase.

As for JAF retirees, Masri noted that the first round of pension increases was implemented under Royal directives on October 1 of this year, while the second round announced last Thursday will include all JAF retirees ranked lieutenant colonel and below who retired after June 1, 2010. 

Masri also said that as of 2021, the increase in pensions will be directly tied to inflation rates.

These decisions, and others included in the third bundle, do not include civil and military retirees who receive their pensions under the SSC Law, which is independent from the two others. 

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