Prime Minister: Amendments to Social Security Law protect current retirees for four years
Amman, February 24 (Petra) – Prime Minister Jafar Hassan said that the government amended the draft Social Security Law to ensure that individuals eligible for early, mandatory or optional retirement would not be affected in over the next four years.
Chairing a Cabinet meeting on Tuesday, Hassan said the law would be implemented gradually starting in 2030. Full implementation of mandatory retirement provisions for both men and women would extend until 2040 meaning the changes would not be fully applied until 14 years after enactment, if approved this year.
Regarding early and voluntary retirement, he explained that gradual implementation would begin after 2030, continuing until 2047 for men and 2041 for women. This means full implementation would occur after 21 years for men and 15 years for women.
Hassan noted that the amendments maintain the existing five-year difference or 60 payments between men and women for early retirement, as well as for mandatory retirement.
He added that the government remains open to proposals from Parliament and its committees to further improve the draft law and said that safeguarding Jordanians' rights is a top priority.
The Prime Minister said the government cooperates fully with Parliament to realise the law's main objective: protecting social security subscribers, safeguarding investments and returns and ensuring pensions are sustainably funded through subscription revenues.
He added that the draft law preserves measures aimed at strengthening the governance of the Social Security Corporation and restructuring it in line with the independent decision-making model of the Central Bank of Jordan (CBJ).
Hassan said the amendments followed consultations with parliamentary blocs and incorporated feedback submitted by experts through the Legislation and Opinion Bureau website, as well as comments from lawmakers.
He said that amending the Social Security Law was not part of the government's original programme, priorities or Royal Mandate.
He added that an actuarial study conducted by experts from the International Labour Organisation (ILO) identified accumulated challenges stemming from policies and decisions over the past decade.
The study echoed warnings issued in previous reports in 2010, 2014, 2019 and 2023 regarding risks associated with the current early retirement model, without significant corrective measures having been taken.
"This government has no interest in the Social Security Law in terms of revenues or expenditures, nor does it seek to infringe upon subscribers' rights," Hassan said. "On the contrary, we are addressing the consequences of past decisions and the postponement of necessary reforms, while working to prevent greater challenges from being passed on to future governments." He added that the government would not evade its responsibilities through delay or procrastination, stating that national responsibility requires taking precautionary steps to protect the social security and prevent deeper crises in the future.
The Prime Minister concluded that the draft law reflects the recommendations of the actuarial study and discussions within the Economic and Social Council.
//Petra// AK
