Government agrees to link pension reform to confidence vote

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Government sitting at the University of Tartu Source: Government Office

The government agreed to support Prime Minister Jüri Ratas' (Center) proposal to link the adoption of the pension reform bill by the Riigikogu to a matter of confidence on Friday.

The decision was made during a telephone session on Friday morning. The government will ask the Speaker of the Riigikogu Henn Põlluaas to plan a second reading and adoption of the bill by parliament on January 29.  

With the resolution, the government takes over the obligation from the Finance Committee of the Riigikogu to process the Funded Pension Reform Bill (108 SE). This means the government must create a new draft text, review the amendments and update the draft explanatory memorandum.

The government plans to discuss the new text and amendments to the draft reform of the second pillar mandatory funded pension scheme at an extraordinary meeting on January 27. 

By amending the Funded Pensions Act, the government is implementing a promise to reform the second pillar of the Funded Pension. The aim of the pension reform is to make mandatory funded pension voluntary.

The opposition has submitted nearly 1,000 amendments to the bill.

Ratas told ERR that if there had been less than a hundred amendments made to the bill, he would not have supported linking it to a vote of confidence. 

"This is the issue where the Riigikogu will most likely have to hold an all-night session or more, or have to hold extra or extraordinary sessions. But that would not hurt the work of the Riigikogu for weeks. That would have been the normal procedure," Ratas said.

"It is clear that attaching the issue of trust is the last, last resort, and in this case it was understandable that as so many amendments were tabled that I put all the legislative power's procedure and work on hold, which I certainly do not think is right," he said.


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Editor: Helen Wright

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