The government agreed to increase the subsistence minimum and the minimum wage by 10%

The Russian government has agreed on the indexation of social benefits, such as the minimum wage (minimum wage), the living wage and insurance pensions, their size should increase by 10%. This was reported on May 24 by the Vedomosti newspaper, citing sources.
Additional payment hour: indexation of pensions for inflation will require another 150-200 billion
What mechanism will the authorities choose to distribute additional funds

It is noted that the final decision on indexation will be made by President Vladimir Putin.

In March, the head of state called on the government to develop measures to increase the minimum wage, the subsistence minimum, pensions, salaries of state employees, proposals should have been submitted before April 20.

On May 19, Kremlin spokesman Dmitry Peskov confirmed Vladimir Putin’s plans to discuss the indexation of social benefits at a meeting of the State Council on Wednesday, May 25. It will be mainly about supporting families with children and indexing other social benefits, he said.

On May 9, Minister of Labor and Social Protection of the Russian Federation Anton Kotyakov told reporters that the Russian government had submitted proposals to the President of the Russian Federation on additional indexation of pensions, social benefits and the minimum wage. He noted that such measures will reduce the poverty rate in the country. At the same time, the minister clarified, there are several options for additional indexation parameters.

As Svetlana Bessarab, a member of the State Duma Committee on Labour, Social Policy and Veterans Affairs, said on May 6, additional indexation of pensions, social payments and the minimum wage will be made automatically. Citizens will not need to write an application for indexing, she explained.

On April 20, she also stated that the indexation of social payments, pensions and salaries of state employees should occur no later than the second quarter of 2022. According to her, the proposal for indexation and the indexation itself will be made before the end of June.

On March 16, Putin announced that all social benefits, including benefits, pensions, minimum wages and salaries of state employees, would be increased in the near future. He stressed that this task is not only economic in nature, but also “is a matter of social justice.”

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