A forthcoming opinion from the Law Office is set to clarify government decisions on state officials’ pension reforms, with key proposals expected to reach the Council of Ministers in early 2025.
Sources told philenews that a proposal to raise the pension age for state officials from 60 to 65 is likely to proceed, as it faces no significant legal or constitutional hurdles.
However, other proposals, including voluntary pension renunciation for officials assuming state positions, face legal challenges that require clarification.
One controversial draft bill proposes replacing pensions with increased lump-sum payments for retiring state officials. The amount would vary based on the official’s position and terms served.
This proposal has met strong opposition from most parties, including government coalition partners, primarily due to concerns about the size of the proposed payments.
The Finance Minister recently confirmed that this option remains under consideration, despite being widely considered a settled matter since its initial rejection.
According to government sources, the Council of Ministers will review approved draft bills for submission to parliament after receiving the Law Office’s opinion.
Meanwhile, the parliamentary Finance Committee has completed its review of alternative proposals based on former Auditor General Odysseas Michaelides’ recommendations.
Committee sources indicate that MPs will decide on these proposals after the Christmas holidays, despite technical experts from the Law Office identifying potential legal and constitutional issues.
Parliament appears determined to proceed with its own proposals, citing the executive branch’s significant delays in addressing multiple pension payments.
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