Invalidity, Old-Age and Survivors' Benefits Convention, 1967 (No. 128) - Czechia (Ratification: 1993)

Direct Request (CEACR) - adopted 2024, published 113rd ILC session (2025)

In order to provide a comprehensive view of the issues relating to the application of ratified Conventions on social security, the Committee considers it appropriate to examine Conventions Nos 102 (minimum standards), 128 (old-age, invalidity and survivors’ benefits), and 130 (medical care and sickness benefits) together.

The Committee takes note of the observations of the Confederation of Industry and Transport (SP ČR), communicated with the Government’s report.

The Committee takes note of the information provided by the Government in relation to: (i) suspension of unemployment benefits; (ii) provision of medical care regardless the origin of the sickness; (iii) level and suspension of family benefits; and (iv) coordination of sickness and invalidity benefits.

Part VIII (Maternity benefits) and Part XI (Standards to be complied with by periodical payments). Article 65(5) and (6) of Convention No 102. Composition of the salary of the standard beneficiary. The Committee takes note of the information that the salary of the standard beneficiary for the calculation of maternity benefits equals 38,693 Czech korunas, which would be the gross salary of a metal operator belonging to the “Craft and related trades workers” occupation classification. The Committee observes that, according to section 37 of the Sickness Insurance act, maternity cash benefits are calculated based on the 70 per cent of the daily assessment base (DAB), established by sections 18 and 21. The Committee further observes that the DAB is calculated using a percentage of reduction of the nominal daily salary. The Committee notes that up to 1,345 korunas a day no reduction is applied, from 1,345 to 2,017 korunas a day, 40 per cent of reduction is applied, and from 2,017 to 4,033 korunas a day, 70 per cent of reduction is applied. The Committee notes that the DAB calculated in relation to the standard beneficiary would be 1,272.10 korunas. The Committee further observes that, according to the Czech Statistical Office, the “Craft and related trades workers” sector employs only 1.58 per cent of all employed women and that the average wage in Czechia for 2022 was 43,413 korunas. The Committee recalls that Article 65(5) establishes that for the other beneficiaries, the benefit shall bear a reasonable relation to the benefit for the standard beneficiary. Taking into account the reduction tiers used to calculate the DAB, the Committee requests the Government to provide: (i) information on which option of Article 65(6) better represents the standard beneficiary elected, indicating the parameters taken into account in this regard and comparing it with the average wage in Czechia for the same period; and (ii) statistical information on the number of women who received maternity cash benefits, their average salary and the total amount of benefits paid during the period under review, indicating how many of them have had their DAB reduced for the calculation of benefits.

Parts IX (Invalidity benefits), X (Survivors’ benefits) and XI (Standards to be complied with by periodical payments). Articles 57 and 63, and the Schedule appended to Part XI, of Convention No. 102. Qualifying conditions. The Committee takes note of the calculation presented by the Government that indicates that the percentage of the invalidity benefits in relation to the standard beneficiary salary elected is around 41 per cent for a worker with 30 years of insurance. The Government also indicates that survivors’ benefits would be paid at a rate of 68 per cent of the invalidity pension, also in relation to a period of 30 years of insurance of the deceased worker. The Committee wishes to recall that Articles 57(1) and 63(1) of the Convention establish that the respective benefits shall be guaranteed at the levels prescribed by the Schedule appended to PartXI to a worker or to his/her survivors, after a contribution period of 15 years. The Committee therefore requests the Government to provide, by means of calculations, information in relation to the level benefits paid to a standard beneficiary with 15 years of contributions to the social security system, demonstrating how such benefits attain the levels prescribed by the Schedule appended to Part XI of the Convention. In addition, the Committee requests the Government to provide statistical information on the number of insured workers or their survivors who received invalidity and survivors’ benefits, and the total amount paid during the period under review for each branch.

Article 18(2) of Convention No. 128. Payment of a reduced old-age pension. The Committee takes note of the information provided that proportional old-age pension can be provided to an insured worker between the age of 65 and 70 years and who has completed 15 years of contributions, depending on the year of birth of the beneficiary. The Government also indicates that if the beneficiary is a woman, retirement age can be reduced when she has children and was born before 1971. The Committee observes that according to section 32(3) of the Pension Insurance Act, for insured workers who were born after 1971, retirement age is 65 years, and that for those born between 1936 and 1971, the retirement age is determined in accordance with the Annex to the Act. The Committee further observes that according to section 29(2)(a) of the same Act, it is only possible to apply for reduced pension with 15 years of insurance at the age of 65 if the worker reached that age before 2010. The Committee recalls that Article 18(2) of the Convention guarantees a partial pension to all workers who have completed 15 years of insurance, at the statutory retirement age, which today is 65 years in Czechia, for male and female workers. In this context, the Committee requests the Government to ensure that all workers who have completed 15 years of insurance and 65 years of age are entitled to a reduced pension, regardless of their year of birth, their gender or whether they have children.

Article 32 of Convention No. 128. Suspension of old-age pension. The Committee notes that the Government did not provide information on the situations in which suspension of old-age pension is allowed. The Committee observes that Chapter 8 of the Pension Insurance Act, introduced by Act No. 455/2022, of 1 January 2023, provides that old-age pensions can be partially suspended with respect to representatives of the communist party who were insured persons during the period from 25 February 1948 to 17 November 1989. The percentage or amount of suspension is established according to the rules of sections 67e and 67f of the Act. In view of the new legislation, the Committee requests the Government to indicate how many insured persons receiving or to receive old-age pension are to be affected by the partial suspension authorized by Act No. 455/2022, in relation to the percentage of total persons covered, and whether there is a limitation to its application, such as up to a guaranteed minimum pension. Furthermore, the Committee requests the Government once more to provide specific information concerning other situations in which old-age pensions can be suspended.

Article 28 of Convention No. 130. Suspension of sickness benefits. The Committee takes note of the information that proceedings related to the provision of sickness benefits are carried out by individual district social security administrations, including in relation to disputes arising from its concession, duration, payment and termination, in accordance with section 130 of the Social Insurance Act. The Committee observes that according to section 31(b) of the Sickness Insurance Act, the level of sickness benefits can be halved if the temporary incapacity is a direct result of the abuse of alcohol or narcotic and psychotropic substances. The Committee recalls that causes for suspension of benefits related to the insured’s wilful and serious misconduct are limited to those stated in Article 28(c), (d) and (e) of the Convention. In this regard, the Committee requests the Government to provide further information onhow the social security administration satisfies itself that the intoxication by alcohol or narcotic and psychotropic substances has been caused by wilful misconduct, and not by accident, negligence or other factors beyond the control of the beneficiary (such as a medical disorder).

Direct Request (CEACR) - adopted 2022, published 111st ILC session (2023)

The Committee notes that the Government’s report has not been received. It hopes that the next report will contain full information on the matters raised in its previous comments.

Repetition

The Committee notes that the Government has reviewed and updated the consolidated report (CR) on the application of Conventions Nos 12, 17, 42, 102, 128 and 130 and the European Code of Social Security (ECSS) for the period 2006–16, and provided the clarifications requested.

Old-age benefit (Part V of the CR). Article 18(2) of Convention No. 128. Payment of a reduced pension. The Czech Republic has introduced an amendment to the Pension Insurance Act with effect from 1 January 2015, which stipulates the entitlement to an old-age benefit to the insured individual, who has had at least 15 years of insurance, by reaching the age of five years higher than the statutory retirement age. The Committee points out that this amendment does not give effect to Article 18(2) of the Convention, which requires that all persons protected who have completed 15 years of contributions or employment shall be entitled to a reduced pension at reaching the same statutory pension age. The Committee requests the Government to indicate the measures taken or envisaged to give full effect to this Article of the Convention.

Suspension of benefit (Part XIII of the CR). Article 69 of Convention No. 102. Articles 32–33 of Convention No. 128. Article 28 of Convention No. 130.

Suspension of sickness and unemployment benefits for violation of employees’ obligations under section 301(a) of the Labour Code. The Committee notes that in reply to its previous comments on this subject with respect to the application of the ECSS, the Government refers to the judgment of the Constitutional Court of the Czech Republic of 23 May 2017, where the Court found that the provisions of the national legislation contested by the group of 54 deputies of the Chamber of Deputies of the Parliament do not contradict the constitutional order of the Czech Republic. Taking into account the complexity of the matter, which directly involves the application of Article 68 of the ECSS and Article 69 of Convention No. 102, the Committee requests the Government to provide further information on the application of section 301(a) of the Labour Code.

Sickness benefit. The report states that the regime of sanctions in sickness insurance from the 15th day of sickness provides for a 50 per cent reduction of the sickness benefit if the insured individual has brought about his/her temporary incapacity to work as a result of his/her participation in a fight, as a direct consequence of his/her inebriation or abuse of narcotic or psychotropic substances, or while committing an intentional offence or an intentional misdemeanour. An insured individual who has deliberately brought about his/her temporary incapacity to work has no entitlement to sickness benefits. The Committee points out that the above grounds for the reduction or refusal of sickness benefit may be authorized by Convention No. 102, Article 69(e) and (f), and Convention No. 130, Article 28(1)(d) and (e), to the extent that the contingency has been caused by a criminal offence or by the wilful misconduct of the person concerned. The Committee therefore requests the Government to explain how decisions to reduce the sickness benefit in the abovementioned cases are taken and provide examples of such decisions in the recent years.

Medical care. (a) The Committee requests the Government to indicate whether the abovementioned grounds for the reduction of sickness benefit, particularly in cases where the temporary incapacity to work was caused by participation in a fight, inebriation or abuse of narcotic or psychotropic substances, or by an attempted suicide, may also be used to limit the provision of medical care, for example, to emergency care only or to reduce the reimbursement of the care provided in such situations.

(b) As regards legislation regulating provision of medical care, the Government refers to Act No. 280/1992 Coll., regulating the Departmental, Professional, Company and other Health Insurance Companies, as amended, which establishes that all health insurance companies are responsible for providing health services to the persons insured. According to the Government, the rule is that responsibility for health care rests primarily on the respective authorized insurance company with which the person is registered for health insurance which, in case of problems, is obliged to seek a solution to the problem of the insured person. The Committee wishes to recall in this respect that, according to Article 72(2) of Convention No. 102 and Article 30(2) of Convention No. 130, the general responsibility for the proper administration of the social security institutions and services lies on the Government and cannot be entirely outsourced to health insurance companies. Under these provisions the Government has to ensure that the regime of sanctions in the form of suspension of benefits applied by health insurance companies complies with the limitations laid down in these instruments. The Committee notes that according to the Government, public health insurance in the Czech Republic is conducted by seven health insurance companies, which are institutions with a public mandate, and that the management of the health sector is governed by the Ministry of Health. The Committee requests the Government to provide information on the regime of sanctions established by the internal rules and practices of these health insurance companies, including the list of cases where they may “seek a solution to the problem of the insured person” by suspending or limiting the payment for the health services prescribed, for example, when insurance contributions were not paid in full or medical care was provided in another country.

Old-age benefit. The Committee requests the Government to indicate situations in which payment of an old-age pension may be suspended or stopped.

Article 69(b) of Convention No. 102. Family benefit. The report states that, in accordance with section 54(4) of Act No. 117/1995 Coll., the entitlement to benefits ceases to exist if the beneficiary is in custody or imprisoned. The Committee requests the Government to indicate whether the dependants of the beneficiary who is in prison or in custody are entitled to receive any portion of the family benefit, in accordance with Article 69(b) of Convention No. 102.

Article 69(c) of Convention No. 102 and Article 28(1)(h) of Convention No. 130. Coordination of sickness benefit with disability and old-age pensions. According to the report, if an insured person who is temporarily unable to work applies for a disability pension in accordance with the Pension Insurance Act, as amended, and is acknowledged as having a disability by the social security body, the temporary incapacity to work ends at the latest on the 30th day after the insured individual was acknowledged as having a disability. The disability pension will be granted from the day following the date of termination of the temporary incapacity to work. The Committee also notes that similar and more elaborate provisions regulate cases of termination and replacement of sickness benefit when old-age benefit becomes payable. The Committee points out that under Article 69(c) of Convention No. 102 and Article 28(1)(h) of Convention No. 130, sickness benefit, which in principle should be paid throughout the contingency, can be replaced by another social security cash benefit, such as a disability benefit, subject to the part of the sickness benefit which is suspended not exceeding the disability benefit. The Committee notes in this respect that, according to the calculations made in the report for the standard beneficiary, the sickness benefit provides a replacement rate of 64 per cent, which is substantially higher than the replacement rate of the disability benefit for total incapacity (45.4 per cent). The Committee requests the Government to examine the national provisions requiring termination of sickness benefit before expiration of the maximum duration of 380 days and its replacement by disability benefit or by old-age benefit with a view to preventing the reduction in the level of protection in such cases.

Part XI (Standards to be complied with by periodical payments). Application of Convention No. 102 on the force of minimum benefits. The Committee recalls that the Convention can be applied on the force of social insurance schemes providing earnings-related benefits (Article 65), or flat-rate benefits (Article 66), or social assistance schemes providing means-tested benefits (Article 67), or any combination thereof. Another option consists in applying the Convention on the basis of basic income security guarantees where a social insurance scheme provides a minimum benefit, or a fixed basic amount as part of an earnings-related benefit, or where there is a guaranteed minimum income scheme or a universal social pension. The Committee systemically looks at this option every time when the regular benefit provided by the scheme in question does not attain the level prescribed by the Convention. It observes that the importance of the minimum benefits for the application of the Convention has been growing steadily, inasmuch as in many countries the replacement level of standard benefits showed a marked downwards trend, falling below the percentage prescribed by the Convention and, for low wage earners, even below the poverty line.

According to the Convention, the amount of a guaranteed minimum cash benefit, in whichever form it takes, shall be not less than the corresponding benefit calculated in accordance with the requirements of Article 66. For the family of a standard beneficiary, this amount shall be such as to attain, in respect of the contingency in question, at least the percentage of the reference wage of the ordinary adult male labourer indicated in the Schedule to Part XI of the Convention. For other beneficiaries with different family responsibilities, the guaranteed minimum benefit shall bear a reasonable relation to the benefit of the standard beneficiary (Article 66(3)). In all cases, the resulting amount shall be sufficient to maintain the family of the beneficiary “in health and decency” (Article 67(c)) under the conditions of entitlement prescribed by the corresponding Part of the Convention with respect to the qualifying period, age and duration of payment.

With respect to maintaining the family of the beneficiary in conditions of health, payment of the minimum cash benefit in respect of other contingencies shall not unduly limit the concurrent entitlement of the beneficiary and his or her family to the types of medical care guaranteed under the conditions stipulated in Part II of the Convention. Persons on minimum benefit in need of health care should not face an increased risk of poverty due to the financial consequences of accessing the types of health care specified in Article 10(1). In particular, the minimum benefit shall be sufficient to cover the required cost sharing by the beneficiary in medical care guaranteed to his or her family under Part II of the Convention in such a manner as to avoid hardship and not to prejudice the effectiveness of medical and social protection (Article 10(2)).

With regard to maintaining the family of the beneficiary in conditions of decency, the minimum benefit, together with other statutory social protections, shall allow life in dignity and provide income above the national poverty line or similar income threshold, preventing vulnerability and social exclusion. The entitlement to the minimum benefit shall not be subjected to any additional conditions of a discriminatory nature applied to any member of the family of the beneficiary, and shall not deprive the beneficiary of their acquired social and insurance status, including rights acquired or in the course of acquisition under statutory social security schemes. When the legislation makes the provision of social security benefits conditional upon occupational activity, periods during which minimum benefits are paid should normally be taken into consideration for acquisition of the right to other social security benefits. The rate of social insurance contributions or taxation or both applied to minimum benefits shall be determined in a manner which avoids hardship to persons of small means with due regard to social justice and equity (Article 70(1)). The current rates of the minimum benefits in respect of longterm contingencies shall be adjusted to the cost of living (Article 66(8)). In the light of these explanations, the Committee requests the Government to assess in its next report whether and to what extent the existing minimum social security guarantees comply with the abovementioned requirements of the Convention as to their level and conditions of entitlement, and could be used to give effect to its provisions under each accepted Part of the Convention. For the relevant statistical indicators concerning income, poverty and wages the Government may wish to refer to the ILO technical note transmitted to the Government.

Direct Request (CEACR) - adopted 2017, published 107th ILC session (2018)

The Committee notes that the Government has reviewed and updated the consolidated report (CR) on the application of Conventions Nos 12, 17, 42, 102, 128 and 130 and the European Code of Social Security (ECSS) for the period 2006–16, and provided the clarifications requested.

Old-age benefit (Part V of the CR). Article 18(2) of Convention No. 128. Payment of a reduced pension. The Czech Republic has introduced an amendment to the Pension Insurance Act with effect from 1 January 2015, which stipulates the entitlement to an old-age benefit to the insured individual, who has had at least 15 years of insurance, by reaching the age of five years higher than the statutory retirement age. The Committee points out that this amendment does not give effect to Article 18(2) of the Convention, which requires that all persons protected who have completed 15 years of contributions or employment shall be entitled to a reduced pension at reaching the same statutory pension age. The Committee requests the Government to indicate the measures taken or envisaged to give full effect to this Article of the Convention.

Suspension of benefit (Part XIII of the CR). Article 69 of Convention No. 102. Articles 32–33 of Convention No. 128. Article 28 of Convention No. 130.

Suspension of sickness and unemployment benefits for violation of employees’ obligations under section 301(a) of the Labour Code. The Committee notes that in reply to its previous comments on this subject with respect to the application of the ECSS, the Government refers to the judgment of the Constitutional Court of the Czech Republic of 23 May 2017, where the Court found that the provisions of the national legislation contested by the group of 54 deputies of the Chamber of Deputies of the Parliament do not contradict the constitutional order of the Czech Republic. Taking into account the complexity of the matter, which directly involves the application of Article 68 of the ECSS and Article 69 of Convention No. 102, the Committee requests the Government to provide further information on the application of section 301(a) of the Labour Code.

Sickness benefit. The report states that the regime of sanctions in sickness insurance from the 15th day of sickness provides for a 50 per cent reduction of the sickness benefit if the insured individual has brought about his/her temporary incapacity to work as a result of his/her participation in a fight, as a direct consequence of his/her inebriation or abuse of narcotic or psychotropic substances, or while committing an intentional offence or an intentional misdemeanour. An insured individual who has deliberately brought about his/her temporary incapacity to work has no entitlement to sickness benefits. The Committee points out that the above grounds for the reduction or refusal of sickness benefit may be authorized by Convention No. 102, Article 69(e) and (f), and Convention No. 130, Article 28(1)(d) and (e), to the extent that the contingency has been caused by a criminal offence or by the wilful misconduct of the person concerned. The Committee therefore requests the Government to explain how decisions to reduce the sickness benefit in the abovementioned cases are taken and provide examples of such decisions in the recent years.

Medical care . (a) The Committee requests the Government to indicate whether the abovementioned grounds for the reduction of sickness benefit, particularly in cases where the temporary incapacity to work was caused by participation in a fight, inebriation or abuse of narcotic or psychotropic substances, or by an attempted suicide, may also be used to limit the provision of medical care, for example, to emergency care only or to reduce the reimbursement of the care provided in such situations.

(b) As regards legislation regulating provision of medical care, the Government refers to Act No. 280/1992 Coll., regulating the Departmental, Professional, Company and other Health Insurance Companies, as amended, which establishes that all health insurance companies are responsible for providing health services to the persons insured. According to the Government, the rule is that responsibility for health care rests primarily on the respective authorized insurance company with which the person is registered for health insurance which, in case of problems, is obliged to seek a solution to the problem of the insured person. The Committee wishes to recall in this respect that, according to Article 72(2) of Convention No. 102 and Article 30(2) of Convention No. 130, the general responsibility for the proper administration of the social security institutions and services lies on the Government and cannot be entirely outsourced to health insurance companies. Under these provisions the Government has to ensure that the regime of sanctions in the form of suspension of benefits applied by health insurance companies complies with the limitations laid down in these instruments. The Committee notes that according to the Government, public health insurance in the Czech Republic is conducted by seven health insurance companies, which are institutions with a public mandate, and that the management of the health sector is governed by the Ministry of Health. The Committee requests the Government to provide information on the regime of sanctions established by the internal rules and practices of these health insurance companies, including the list of cases where they may “seek a solution to the problem of the insured person” by suspending or limiting the payment for the health services prescribed, for example, when insurance contributions were not paid in full or medical care was provided in another country.

Old-age benefit. The Committee requests the Government to indicate situations in which payment of an old-age pension may be suspended or stopped.

Article 69(b) of Convention No. 102. Family benefit. The report states that, in accordance with section 54(4) of Act No. 117/1995 Coll., the entitlement to benefits ceases to exist if the beneficiary is in custody or imprisoned. The Committee requests the Government to indicate whether the dependants of the beneficiary who is in prison or in custody are entitled to receive any portion of the family benefit, in accordance with Article 69(b) of Convention No. 102.

Article 69(c) of Convention No. 102 and Article 28(1)(h) of Convention No. 130. Coordination of sickness benefit with disability and old-age pensions. According to the report, if an insured person who is temporarily unable to work applies for a disability pension in accordance with the Pension Insurance Act, as amended, and is acknowledged as having a disability by the social security body, the temporary incapacity to work ends at the latest on the 30th day after the insured individual was acknowledged as having a disability. The disability pension will be granted from the day following the date of termination of the temporary incapacity to work. The Committee also notes that similar and more elaborate provisions regulate cases of termination and replacement of sickness benefit when old-age benefit becomes payable. The Committee points out that under Article 69(c) of Convention No. 102 and Article 28(1)(h) of Convention No. 130, sickness benefit, which in principle should be paid throughout the contingency, can be replaced by another social security cash benefit, such as a disability benefit, subject to the part of the sickness benefit which is suspended not exceeding the disability benefit. The Committee notes in this respect that, according to the calculations made in the report for the standard beneficiary, the sickness benefit provides a replacement rate of 64 per cent, which is substantially higher than the replacement rate of the disability benefit for total incapacity (45.4 per cent). The Committee requests the Government to examine the national provisions requiring termination of sickness benefit before expiration of the maximum duration of 380 days and its replacement by disability benefit or by old-age benefit with a view to preventing the reduction in the level of protection in such cases.

Part XI (Standards to be complied with by periodical payments). Application of Convention No. 102 on the force of minimum benefits. The Committee recalls that the Convention can be applied on the force of social insurance schemes providing earnings-related benefits (Article 65), or flat-rate benefits (Article 66), or social assistance schemes providing means-tested benefits (Article 67), or any combination thereof. Another option consists in applying the Convention on the basis of basic income security guarantees where a social insurance scheme provides a minimum benefit, or a fixed basic amount as part of an earnings-related benefit, or where there is a guaranteed minimum income scheme or a universal social pension. The Committee systemically looks at this option every time when the regular benefit provided by the scheme in question does not attain the level prescribed by the Convention. It observes that the importance of the minimum benefits for the application of the Convention has been growing steadily, inasmuch as in many countries the replacement level of standard benefits showed a marked downwards trend, falling below the percentage prescribed by the Convention and, for low wage earners, even below the poverty line.

According to the Convention, the amount of a guaranteed minimum cash benefit, in whichever form it takes, shall be not less than the corresponding benefit calculated in accordance with the requirements of Article 66. For the family of a standard beneficiary, this amount shall be such as to attain, in respect of the contingency in question, at least the percentage of the reference wage of the ordinary adult male labourer indicated in the Schedule to Part XI of the Convention. For other beneficiaries with different family responsibilities, the guaranteed minimum benefit shall bear a reasonable relation to the benefit of the standard beneficiary (Article 66(3)). In all cases, the resulting amount shall be sufficient to maintain the family of the beneficiary “in health and decency” (Article 67(c)) under the conditions of entitlement prescribed by the corresponding Part of the Convention with respect to the qualifying period, age and duration of payment.

With respect to maintaining the family of the beneficiary in conditions of health, payment of the minimum cash benefit in respect of other contingencies shall not unduly limit the concurrent entitlement of the beneficiary and his or her family to the types of medical care guaranteed under the conditions stipulated in Part II of the Convention. Persons on minimum benefit in need of health care should not face an increased risk of poverty due to the financial consequences of accessing the types of health care specified in Article 10(1). In particular, the minimum benefit shall be sufficient to cover the required cost sharing by the beneficiary in medical care guaranteed to his or her family under Part II of the Convention in such a manner as to avoid hardship and not to prejudice the effectiveness of medical and social protection (Article 10(2)).

With regard to maintaining the family of the beneficiary in conditions of decency, the minimum benefit, together with other statutory social protections, shall allow life in dignity and provide income above the national poverty line or similar income threshold, preventing vulnerability and social exclusion. The entitlement to the minimum benefit shall not be subjected to any additional conditions of a discriminatory nature applied to any member of the family of the beneficiary, and shall not deprive the beneficiary of their acquired social and insurance status, including rights acquired or in the course of acquisition under statutory social security schemes. When the legislation makes the provision of social security benefits conditional upon occupational activity, periods during which minimum benefits are paid should normally be taken into consideration for acquisition of the right to other social security benefits. The rate of social insurance contributions or taxation or both applied to minimum benefits shall be determined in a manner which avoids hardship to persons of small means with due regard to social justice and equity (Article 70(1)). The current rates of the minimum benefits in respect of long term contingencies shall be adjusted to the cost of living (Article 66(8)). In the light of these explanations, the Committee requests the Government to assess in its next report whether and to what extent the existing minimum social security guarantees comply with the abovementioned requirements of the Convention as to their level and conditions of entitlement, and could be used to give effect to its provisions under each accepted Part of the Convention. For the relevant statistical indicators concerning income, poverty and wages the Government may wish to refer to the ILO technical note transmitted to the Government.

Direct Request (CEACR) - adopted 2013, published 103rd ILC session (2014)

Part III (Old-age benefit). Article 15(3) of the Convention. Reduction of pension age for persons engaged in arduous or unhealthy occupations. The Committee notes the concerns expressed by the Czech–Moravian Confederation of Trade Unions (CM KOS) that while providing for the gradual increase of the statutory retirement age beyond 65 years, Czech legislation does not contain provisions giving effect to Article 15(3) of the Convention, which requires lowering of the age limit for persons who have been engaged in occupations that are deemed by national legislation to be arduous or unhealthy. In reply, the Government states that the Czech legislation currently in force does not deem any occupation to be arduous or unhealthy and, consequently, there is nobody who might benefit from lowering of the retirement age. To ascertain that the current Czech legislation complies with the Convention, the Government asks for clarification of the meaning of Article 15(3).

The Committee recalls that Article 15(3) is applicable to pension schemes where the retirement age is 65 or higher, while in the Czech Republic in 2012 the retirement age is 62 years and six months for men, 61 years and four months for childless women and lower ages for women who have raised children. This age will be gradually increased to attain a uniform age limit of 67 for insured men and women born in 1977 who will retire in 2044. In the meantime, the Government may wish to consider, in consultation with the social partners, the experience of other European countries, the legislation of which recognize the need, as does the Convention, to reduce the retirement age in arduous or unhealthy occupations.

Article 18(2). Payment of a reduced pension. In reply to the Committee’s previous comment concerning the need to restore the right to a reduced old-age pension for insured persons who on reaching the statutory retirement age have completed an insurance period of only 15 years, the report states that the Ministry of Labour and Social Affairs intends to make such a change in the current legislation in order to ensure that the Czech Republic again complies with this provision of the Convention. The Committee hopes that the necessary changes will be introduced by the Government in the very near future and reported as soon as they are adopted.

Part VI (Common provisions). Article 35(1). General responsibility of the State for the due provision of the benefits. The Committee notes the concerns expressed by the CM KOS about the possible future negative impact on the application of the Convention of the pension reform carried out by the Government, as well as the detailed explanations and statistics given by the latter in this respect.

Direct Request (CEACR) - adopted 2011, published 101st ILC session (2012)

Part III (Old-age benefit), Article 18(2) of the Convention. Payment of a reduced pension. The Government’s ninth annual report on the application of the European Code of Social Security indicates that old-age pension is provided to an insured person who had completed a qualifying period of at least 25 years in 2009, which is being gradually increased by one year to reach the target of 35 years after 2018. Since 2010, the minimum insurance period of 15 years required for the provision of an old-age pension for an insured individual reaching the age of 65 is being gradually extended by one year in parallel with the pension age to reach the target of a 20-year insurance period after 2013. In light of these provisions, the Committee requests that the Government explain whether, in accordance with Article 18(2) of the Convention, a reduced old-age pension is paid to insured individuals who reach statutory retirement while completing an insurance period of only 15 years, and which provisions of the national legislation are relevant to this matter of compliance with the Convention.

Part VI (Common provisions), Article 35(1). General responsibility of the State for the due provision of the benefits. The Committee notes the concerns expressed by the Czech–Moravian Confederation of Trade Unions (CMKOS) about the possible negative impact on the application of the Convention of the pension reform measures initiated by the Government. The CMKOS alleges that these measures threaten the long-term financial sustainability of solidarity PAYG system, particularly by diverting part of the insurance contributions from the current pension system into privately funded pension savings. The Government replies in its report that the goal of the reform is not to save on pensions paid in the PAYG system, but rather to diversify risks and to allow for better valorisation of retirement savings through creation of a multi-pillar system which will effectively combine the concept of solidarity pension with capital savings elements. The Committee would like the Government to substantiate this statement by providing actuarial studies showing that the proposed transfer of 3 per cent of the insurance contributions from the solidarity into the private system will not threaten the long-term financial sustainability of the PAYG system and will not result in the reduction of the replacement rate of pensions paid by it.

[The Government is asked to reply in detail to the present comments in 2012.]

Direct Request (CEACR) - adopted 2002, published 91st ILC session (2003)

The Committee notes the information supplied by the Government in its reports. It would be grateful for further information on the following points.

Articles 17 and 18 of the Convention (in conjunction with Article 26). The Government indicates in its report that the rate of old-age pension for a standard beneficiary as defined in Article 26, paragraph 6(a), of the Convention amounted to 47.4 per cent of the net wage in 2000, the rate of 45 per cent prescribed by the Convention thus being exceeded. The Committee notes this information. It observes, however, that the statistics supplied are not extensive. So that it may better appreciate the manner in which the provisions on the rate of old-age pensions are applied in practice, the Committee would be grateful if the Government would supply in its next report all the statistical information in the form required by the report form under Article 26 of the Convention, for the same reference period, and in particular the gross and net earnings of a skilled male manual worker as defined in Article 26, paragraph 6 or 7, and the amount of the pension (provided to this beneficiary) broken down into the basic amount and the variable amount calculated for an insurance period of 30 years, in according with Article 18, paragraph 1(a), of the Convention.

Part V (Calculation of periodical payments), Article 29. The Committee notes the information supplied by the Government on the review of old-age pensions and the statistics sent in its report on the evolution of the cost of living, earnings, and pensions (average per beneficiary). It notes, however, that the periods taken into consideration do not all coincide in that, for the cost of living index and the wages index the period taken into account appears to be from 1 January 1999 to 31 September 2000, whereas for the evolution of benefits the period runs from September 1999 to January 2001. It therefore hopes that the Government’s next report will contain for the same reference period all the statistics required by the report form under Article 29 of the Convention.

The Committee further notes that although the cost of living index and the wages index increased by 3.9 per cent and 6.29 per cent respectively between January 1999 and December 2000, pensions rose by only 0.9 per cent between September 1999 and January 2001. The Committee therefore hopes that the Government will be in a position to indicate in its next report the reasons for this discrepancy and to provide information on any measures taken or envisaged to ensure that better effect is given to Article 29 of the Convention on this point.