YEREVAN. – Pension reform in Armenia will become a problem for the poor, nonpartisan MP Edmond Marukyan said in parliament.

He noted that the pension system in Armenia will come into force on January 1, while the salaries of civil servants will increase starting from July 1.

“Consequently, on January 1 the income of citizens will reduce as they will be forced to make contributions to the pension funds. But this part of their income will not be compensated,” Marukyan said.

Thus, the new pension system needs to be introduced not on January 1, but at least on July 1 or must be postponed for a year or two.

From 2014, Armenia will adopt private retirement schemes. Workers will pay 5 percent of their salary. This amount will be placed in one of the private pension funds.