YEREVAN. – The Constitutional Court (CC) of Armenia has suspended the implementation of the mandatory component of the Law on Cumulative Pensions.   

The CC on Friday decided to suspend the execution of the aforesaid component of the law pending the end of hearing of the petition into the constitutionality of the several articles of the law, the CC representatives informed Armenian News-NEWS.am.    

The aforementioned court hearing is scheduled for March 28.

The participants in the “Against the Mandatory Pension Component” rally, which was held on January 18 in capital city Yerevan, had adopted a statement and authorized to relay, to the Constitutional Court, the statement of the persons who are authorized to submit to the CC the aforementioned petition by 36 MPs.        

Well-known people from the Armenian show business, cinema, and radio have joined the “We are Against the Mandatory Pension” civil movement. 

The new cumulative pension plan, which formally came into force in Armenia on January 1, 2014, is mandatory for those born in and after 1974 and voluntary for those born before 1974. In line with this plan, 5 to 10 percent of the monthly salaries in Armenia will be deducted and mandatorily be allocated to cumulative pension funds; the latter will be reimbursed as pensions once a person turns 63 years old.