By Organisation for Economic Co-Operation and Development
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Extra info for Ageing And Employment Policies Czech Republic: Czech Republic (Private Pensions Series)
For men, it is in the top ten countries in the 50-54 and 55-59 age groups. For women, the country is close to the OECD average. There is also an important regional dimension to the problem. Despite economic improvements since the mid-1990s, the incidence of recipients of invalidity benefits remains high in some regions. Dislocation from the labour market because of industrial restructuring and recession is an important factor. The highest proportion of invalidity pensions is indeed to be found in the most depressed regions.
The benefit formula is rather complex. It derives the level of daily benefits from an income basis, as follows: while the first CZK 360 of the daily gross wages (averaged over the three months before sick leave) is fully reflected in AGEING AND EMPLOYMENT POLICIES: CZECH REPUBLIC– ISBN-92-64-01661-9 © OECD 2004 CHAPTER 3. PROTECTING PEOPLE WHILE ENHANCING WORK INCENTIVES – 59 the income basis, only 60% of the daily gross wages in the CZK 360-540 range is incorporated in the income basis and daily gross wages above CZK 540 are not taken into account.
Consumer-price inflation. It also asserted, however, that the average pension/average wage ratio would remain at 40% in 2006. The latter means that the government also wants to adjust pensions in line with wage, not price inflation. AGEING AND EMPLOYMENT POLICIES: CZECH REPUBLIC– ISBN-92-64-01661-9 © OECD 2004 CHAPTER 3. PROTECTING PEOPLE WHILE ENHANCING WORK INCENTIVES – 53 average wage receives a pension equal to 76% of the wage and a worker with a wage three times the average will receive a mere 30% of the wage upon retirement.
Ageing And Employment Policies Czech Republic: Czech Republic (Private Pensions Series) by Organisation for Economic Co-Operation and Development