“Vedomosti”: the Ministry of Finance will finalize a draft individual pension capital

MOSCOW, June 23. /TASS/. The Finance Ministry will make changes in the concept of individual pension capital (IPK), since the establishment of the automatic subscription of citizens to pension accumulation without prior consent violates the Civil code. On Friday the newspaper Vedomosti, citing Deputy Finance Minister Alexey Moiseev.

“The labour Ministry claims that avtoocenka does not fit into the Civil code, and, unfortunately, lawyers now acknowledge that he’s probably right,” he said.

As notes the edition with reference to Moses, the mechanism of a public offer does not work in respect of complex financial instruments, therefore, to introduce a PKI default, without the signature of the person, will not work. Due to this contradiction, the Ministry of Finance is forced to turn to an alternate option is to amend the Labour code, the newspaper said. It is assumed that any change in the employment contract, the document appears on the participation in a PKI, to waive the condition will be through the personnel Department. The Agency expects to introduce a modified concept of PKI in the government next week.

In its current form, the concept developed by the Bank and Ministry of Finance suggests auto-connect citizens to the formation of pension savings. That is, instead of the employer contributions will do the employee.

It is assumed that people applying for a job will be automatically recorded by the employer in the PKI system. Employers in turn will automatically deduct up to 6% of the employee’s salary to a private pension Fund (NPF) to his personal account. While people still have the opportunity to unsubscribe.

Encourage employers to participate in the system offers benefits in the amount paid by the employee contributions the company receives a deduction for income tax.