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The Government of the Republic of Serbia

In the service of citizens

Helping most disadvantaged social groups priority of Ministry of Labour and Social Policy

Belgrade, 22 June 2007

Serbian Minister of Labour and Social Policy Rasim Ljajic said today that it is the Ministry’s priority to reform the pension system and provide help to most disadvantaged social groups.

Zoran Martinovic, Ljiljana Lucic and Rasim Ljajic

Speaking at his first press conference since being appointed minister, Ljajic said that in the process of reforming the pension system it is necessary to find a solution which is suitable for pensioners and affordable for the state.

He pointed to the fact that a solution must be found so that pensions are not cut down radically, while keeping in view that the system must be viable in the long run.

Analysis will show which kind of system will make it possible to provide for the minimum needs of the 1.5 million pensioners in Serbia, said Ljajic and recalled that the currently valid law envisages that by 2009 adjustment to living expenses should be 100%, which means that the pension would be €138.5, which is unacceptable.

Mentioning the basic principles according to which the Ministry of Labour and Social Policy will work in the upcoming period that the foremost aim will be providing help to the most disadvantaged social groups, old people, children without parents, refugees and internally displaced persons, and persons with disabilities.

The aim is to improve the quality of life and allow a dignified existence, and to restore citizens’ confidence in institutions, said Ljajic.

According to Ljajic, equal opportunities for all, fight against discrimination and equal distribution of the burden of transition are also the aims and guiding principles of the ministry in its future term.

The signing of the International Convention on Rights of Persons with Disabilities is expected, said Ljajic, and added that on July 2 the Socio-Economic Council of the Serbian government will hold its first session, with new members.

Speaking about the field of labour and employment, he said that the Ministry has already prepared proposals for changes to the labour law and proposals from social partners, trade unions and employers.

State Secretary at the Ministry Zoran Martinovic specified that the Ministry's total budget for this year is RSD 70 billion, which is 15% more than last year.

He explained that almost 60% of these funds will be used for the payment of compensations for veterans and disability protection, protection of children and the family, and as social assistance to the underprivileged.

He said that there are 800,000 persons who receive allowances and that it has been significantly increased in relation to last year, as much as 40% in some sectors.

State Secretary at the Ministry Ljiljana Lucic said that the Ministry will continue to develop the network of social services and institutions, such as the network of daily care institutions for mentally disturbed persons, personal house care and improvement of quality of services in the centres for social work.