Zhejiang Province Adjusts Basic Pension Standard

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May 24 – The Zhejiang Provincial Department of Labor and Social Security readjusted the minimum pension base for social endowment insurance for both rural and urban residents from RMB66 per person per month to RMB80 per person per month, which will be effective from June 1, 2012.

The readjustment of the minimum pension base answers the call of the “Opinion from Zhejiang Government regarding Accelerating the Construction of the Social Endowment Insurance System (shezhengfa [2011] No. 19),” which emphasizes the importance of taking growth of income and discretionary income per capita into consideration when adjusting pension standards.

Up until the end of 2011, there were 13.12 million people in Zhejiang Province participating in the social endowment insurance program and the enlisting rate exceeds 90 percent, with approximately 5.85 million people receiving pension.

As the economy develops, the minimum pension base has been raised twice from the original RMB60 per person per month. In the meantime, different cities and towns in Zhejiang have their own minimum pension base built on the provincial standard according to the local economy, and the highest minimum pension base in Zhejiang has reached RMB140 per person per month in the city of Ningbo.

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