Following extensive discussions, the ruling party has announced that the minimum pension of 10,000 liras will see a 25% increase.
The raise in pension payments was revealed today by Abdullah Güler, the parliamentary group leader of the Justice and Development Party (AKP), as part of a 53-article tax law amendment bill. The increase rate aligns with TurkStat's six-month inflation figure of 24.75% for June. The statistical authority has faced criticism for allegedly manipulating inflation data to keep the mid-year raise low.
One in 4 retirees in Turkey continue working due to economic strain
According to government data, 3.8 million of the country's 15 million pensioners were receiving the minimum monthly pension of 10,000 liras. Without this recent adjustment, 1.8 million individuals, who initially received a one-time increase to 10,000 liras due to their lower base pensions, would have continued to receive the same amount (1 US dollar = 33.09 Turkish liras).
While the minimum pension is 10,000 liras, union reports indicate that the total cost of housing, food, and other basic needs for a family of four amounts to 65,000 liras. For a single person, this figure stands at 30,000 liras.
This raise comes after prolonged criticism from pensioners, who were also considered a significant factor in the AKP’s losses in the March 2024 local elections.
Criticism from opposition
Özgür Özel, leader of the main opposition Republican People’s Party (CHP), criticized the raise in today’s speech at his party’s parliamentary group meeting.
“When the minimum pension was 10,000 liras six months ago, it could buy 25 kilograms of ground beef. Yesterday, it dropped to 16 kilograms, and with the so-called increase today, it has risen to 20 kilograms. You are effectively stealing the money for 5 kilograms of ground beef from the retiree compared to six months ago,” Özel remarked.
He reiterated his party’s view that the lowest pension should be the same as the minimum wage. (VK)
