ECONOMY

Pension issues to become fully digital by 2021

pension-issues-to-become-fully-digital-by-2021

The Labor Ministry’s new leadership has set itself a major challenge, which is to digitally transform the social security system and be able to issue new pensions within a day.

The plan consists of three milestones, so that by June 2021 just 8.69 percent of new pension applications will be issued conventionally and all others will be processed online. This plan has been designed by Labor Minister Yiannis Vroutsis and the former head of Social Security Electronic Governance SA (IDIKA), Christos Halaris, who is expected to become the new director of the Single Social Security Entity (EFKA).

The objective of their blueprint is to provide some relief to thousands of retirees who have been without an income for up to three years, according to Vroutsis, due to a series of problems in the system of processing disbursement, and delays by the ministry. “Political inactivity, disorganization and wily accounting tricks which have resulted in 250,000 or more pensions being frozen is very bad for the state,”Vroutsis said last week.

The first key date is June 1, 2020, when 37.5 percent of new pensions will have to be issued online, within 24 hours, mostly concerning benefits for the families of deceased people. Another 23.39 percent of pensions should be issued within one day as of January 2021, concerning disability pensions, with three-quarters of remaining applications to be issued online by June 2021.