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Moroccan Parliament Pushes for Pension Reform to Ease Retirees’ Financial Strain

In response to ongoing discussions on pension reform in Morocco, the Haraki parliamentary group in the House of Representatives has introduced a proposed amendment to the Civil Pensions Act of 1971, specifically targeting Articles 13 and 21. This initiative seeks to raise the minimum pension from 1,500 to 2,500 dirhams, aiming to support retirees in coping with escalating living costs. The proposal underscores the pressing need to alleviate the economic burdens on retirees and empower them to maintain a decent standard of living amid inflationary pressures.

The amendment, backed by representatives Idriss Sentissi, Mohamed Ouzzine, Brahim Abba, Nabil Dakhouch, and deputies Sakina Lhmoush and Fadwa Mohsen Hayani, outlines several key adjustments. Among them, it suggests reducing the required service period for minimum pension eligibility from ten to eight years. Additionally, for individuals with between five and ten years of service, the proposal advocates a revised pension threshold of 1,500 dirhams, as opposed to the current 1,000 dirhams. These measures aim to enhance equity in the pension system by extending greater benefits to short-term civil servants and retirees.

Further, the proposed reform suggests removing the ten-year limit for reclaiming employee contributions if a retiree is removed from civil service, recognizing these funds as an inherent right and accumulated savings. The Haraki group argues that the current minimum pension does not meet retirees’ basic needs in light of record-high living expenses. Their memorandum emphasizes the importance of enhancing social justice by ensuring fair, sustainable retirement support for vulnerable groups, aligning with Morocco’s constitutional and international commitments to social welfare. The proposal, along with its explanatory note, was formally submitted to the House of Representatives last week for consideration.

08/11/2024

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