Scandal: Even government institutions haven’t paid insurance for employees

05/01/2015 00:00

Thousands of private and public enterprises have declared the number of
their workers, but they have not paid their social insurance for the
past 20 years, causing to the state budget a damage of 100 million USD.

The government will start inspections with the government institutions first.

“Most of the enterprises that owe to the Insurance Institution, who have declared their workers but have not paid for their insurance, come from the private sector. The most disturbing thing is that there are state institutions who have debts with the Insurance Institution. This operation will start by collecting the contributions from government institutions and then with the private ones”, says Enkelejd Musabelliu, councilor of the Minister of Social Welfare.

The new pension scheme does not affect the formula for calculating the pensions. The adviser of the Social Welfare Minister, Enkelejd Musabelliu, explains that the formula will remain the same: 24% of the payment will go for social insurance, 15% paid by the employer and 9.5% by the employee.

“The contribution norm is the same. What changes is the formula for calculating the profit. By removing these ceilings, individuals with payments from 38.000 to 95.000 ALL will have a higher pension”, Enkelejd Musabelliu explained.

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