THE INJUSTICE OBSERVED BETWEEN THE PENSIONERS OF THE FSR AND THE CNR IS A
VIOLATION OF THE ARTICLES OF THE CONSTITUTION THAT GUARANTEE EQUALITY BETWEEN ALGERIANS.
Social inequalities between Algerians began in the 80s and we can see it at the level
of pension funds and the laws that manage these structures and which are in
contradiction with the rights of equality between Algerians, which the constitution
guarantees.
Only the President of the Republic can guarantee these rights, but the presidents
have succeeded one another and none has been able to touch that of the pension
funds that have created inequalities between Algerian pensioners, according to each
fund.
The year 1983 was a turning point for the social security and retirement system
following the promulgation of Law No. 83-11 of 2 July 1983 on social insurance
and Law No. 83-12 on retirement.
Three decrees were signed four months later:
- the first, No. 83-615, relating to the pensions of former Presidents of the
Republic, provides that the latter (former President of the Republic) "shall receive a
pension equal to the salaries of the President in office".
- The second, Decree No. 83-616, relates to the pensions of members of the
political leadership of the FLN and the government in which they are granted a
"right to a retirement pension regardless of age". The members of the political
leadership of the FLN and GPRA were considered members of the CCE, members
of the GPRA, members of the ALN general staff, members of wilaya councils,
zone chiefs or those with similar responsibility. For the post-independence period
were affiliated by right the members of the Council of the Revolution; members of
successive governments since independence, as well as members of the central
committee of the FLN, those from the 3rd, 4th, and even those "from future
congresses of the National Liberation Front".
- The third, Decree No. 83-616, which formalizes the creation of the Special
Pension Fund for Senior Executives of the Nation. Article 20 specifies that the FSR
is created "within the General Pension Fund, endowed with financial autonomy",
responsible for ensuring the management of retirement pensions for members of the
political leadership of the FLN and the government as well as for senior party and
state officials.
Article 21 specifies that the Special Pension Fund is financed by members'
contributions, contributions and State subsidies. In the various finance laws, there
is no mention of any contribution or subsidy of any kind whatsoever. The direct
affiliates of the FSR can be estimated at between 70,000 and 80,000 members. This
summary estimate of the senior managers who have passed through the various
posts cannot, through contributions, ensure the income necessary for the granting of
their pensions. So we can consider that these pensions are financed from the state
budget. The only indication available on the potential kitty of the FSR comes from
a report presenting the 2015 finance law carried out by the Ministry of Finance
which reports 256 billion dinars of public assistance to retirement (the equivalent of
2.5 billion dollars). Low pensions account for a third of the sum, while FSR
pensions, pensions of former mujahideen and army pensions capture the remaining
two-thirds, or more than $1.8 billion/year.
There are communicating vessels between the FSR and the Social Security
funds. Necessarily. Even if, officially, the structures in question are independent of
each other. Created within the National Pension Fund, the FSR has since changed
its supervision, passing under the umbrella of the Ministry of Finance.
The FSR is 40 years of very discreet existence. And its financing if we refer to the
2015 statements on its financing, we can estimate that these pensions should reach
or exceed this year $ 1 billion. One thing is certain, the contributions of FSR
members will never be able to cover their pensions.
1) Why this distinction?
2) Why did all FSR affiliates benefit from the increases in 2022 and 2023 as
any employee and those of the CNR were deprived of them?
3) Why did CNR affiliates not benefit from 2022 increases like those of the
FSR?
4) Why can the members of the CNR of 2023, whose pensions are greater than
50,000 DA not benefit from increases while those of the FSR, they can
benefit because their pensions are indexed to salaries?
If the constitution guarantees equality between Algerian citizens, seeing this
difference between the laws applied at the level of the CNR and the FSR, we have
the impression that the affiliates of the CNR are not Algerians.
This injustice has still not been corrected either that of having deprived the
affiliates of the CNR who receive more than 50,000 DA of the increases of January
of 2023, nor that of 2022 in relation to employees to compensate for the fall in
purchasing power.
Officials remain deaf to the demands of pensioners, who have been asking for years
for the abolition of the IRG because a pension is not a salary moreover they receive
at most only 80% of their salary which means that they have a double penalty
because 20% of their pensions are already cut by 20% of their salaries.
The pension system in Algeria has undergone a reform with significant social and
financial repercussions. Law 16-15 of 31 December 2016 amending and
supplementing Law 83-12 on retirement, which entered into force on 1 January
2017, intends to restore public spending and restore the financial balance of the
National Pension Fund by abolishing the early retirement scheme, which had
served for decades to maintain social peace in an economic situation in transition,
without ever referring to the FSR. The FSR is exclusively managed and financed
by the Executive, this fund is never in the spotlight and was never under any
popular control and is part of the prohibitions, even if it demonstrates that
Algerians are not equal.
The CNR pensioner no longer has the right to claim his rights, nor to be able to
have his own union. The affiliates of the CNR, can no longer survive soon because
their purchasing power continues to decrease with the complicity of those
responsible. These officials are not concerned by this fund, because they are part of
the FSR and from then on, they will continue to defend and improve the pensions
of the FSR by preserving its funding. Today, everything is clear and the refusal to
issue the receipt to a pensioner's union like OSRA, is explained, because this
organization affects the interests of the affiliates of this fund. Questions remain
about the decision to deprive pensions of more than 50,000 DA of the January 2023
increase and where has the budget allocated to it gone? We hope that debates will
be opened on the FSR and its financing and why two pension funds with different
laws.
We demand that the FSR and the CNR be merged, obey the same laws and finance
the same method. Various letters have been sent to the Ombudsman of the Republic
and the President of the Republic to denounce this policy of double standards for
pensioners in Algeria. But these remained unanswered.
Today, in 2023, everyone retirees and workers agree that two different and
important topics must be addressed, that of retirement for workers and that of
retirees. The state and the unions must understand that these are two totally
different subjects. For that of retirees only the unions of retirees must discuss it,
which is why it is time to legalize the unions of retirees to deal with the problems
of retirees in Algeria. We have experienced the impoverishment of CNR retirees in
the 80s compared to those of the FSR because of the non-or low representation of
retirees at the union level of the change in salary scale of 2,008 which did not
benefit retirees prior to that date. Today, a new impoverishment affects again the
retirees from the grid of 2,008, always for the same reasons because at each
positive change in salaries the pensions of the CNR can not benefit and the officials
have decided that a pension of 50,000 DA is considered more substantial than an
equivalent salary and should not be increased, This is absurd and shows the
contempt and mistreatment of pensioners by the CNR and the Ministry of Labour.
All pensioners who continue to pay WRI are wondering how pensions can be
penalised twice.
Because we remind you that a pension is not a salary, because it represents only a
maximum of 80% of the salary after 32 years of work, or again imposed by the
WRI. It is time to choose either consider the pension as a salary and calculate 100%
and then it must be taxed by WRI or it is 80% and then WRI must be
abolished. The issue of retirement and retirees must be opened with all unions and
retirees&representatives. The contempt and mistreatment of pensioners are two time
bombs that could break out at any time, because the frustration of CNR pensioners
is general and especially when they compare the benefits of FSR affiliates and
those of their fund. We call on officials and the government to review its roadmap,
because CNR retirees are more than 3 and a half million citizens, it is time to open
the doors of dialogue with this segment of citizens with their representatives and
legalize their organization which has been waiting since July 07, 2021 for its
registration receipt.
Bashir Hakem
In charge of the organic OSRA (Trade Union Organization of Algerian Retirees)