Parliament advances landmark labor Retirement and Social Security Legislation
Shafaq News / Deputy Speaker of the Iraqi Parliament, Mohsen Al-Mandalawi, announced on Wednesday the completion of the voting process on the social security and retirement law for workers, according to a statement.
The Iraqi Parliament held a special session to resume voting on the bill after having voted on a series of its clauses in a previous session. The session was adjourned until the forthcoming Saturday, following a resolution made by the parliament.
The parliament had previously settled 35 clauses of the social security and retirement law for workers, out of a total of 110 included in the proposed bill.
The Parliamentary Committee on Labor and Social Affairs earlier today highlighted several positive aspects of the social security and retirement law for workers. The committee affirmed that all private companies and institutions are obligated to abide by the law, noting that the minimum monthly salary for a retired worker will not be less than 350,000 Iraqi dinars.
Committee Chairman, Hussein Arab, in an interview with Shafaq News Agency, stated, "The Parliamentary Committee on Labor and Social Affairs has been instrumental in organizing and studying the social security and retirement law for workers in cooperation with the union, syndicates, and the International Labor Organization."
He added, "The pension scheme for employees has been calculated in accordance with the law by deducting 25% of the general salary, dividing part of the private sector employee's salary, while the other part is paid by the employer and the government."
Arab further explained that this mechanism in calculating the retirement salary for private sector workers would incentivize a significant proportion of companies, institutions, and factories to register in accordance with the new social security law.
"The social security will calculate the retiree's salary based on the average monthly salary of the last five years, multiplied by the number of years of monthly service, to ensure the rights of former employees and workers," Arab clarified.
He indicated that the monthly salary received by the retired employee and worker under the social security law is 350,000 dinars. If it is less than that, it is considered a violation of the law.
Arab concluded, "Instructions will be issued to private companies and institutions to implement the social security and retirement law for workers, after it has been approved in the House of Representatives and published in the official gazette."
