State’s unfunded pension debt exceeds trillion shekels
The defense establishment is responsible for 38% of the actuarial debt, with NIS 389 billion owed to career personnel.
The State of Israel’s commitment to people with unfunded pensions has exceeded one trillion shekels, and stood at NIS 1,014 billion at the end of 2021, up NIS 90 billion in one year. The figures are from the financial reports for 2021 released today by the Accountant General at the Ministry of Finance. The defense establishment is responsible for 38% of the actuarial debt, with NIS 389 billion owed to career personnel.
29% of the unfunded pensions are for teachers and lecturers, 18% for police and prison service personnel, and 14% for civil servants.
Unfunded pension arrangements have not been given to new hires for the past twenty years, but almost half those entitled to such pensions (43%) are still employed by the state.
Of the defense establishment pensioners, 25% receive monthly pensions below NIS 8,814. 50% receive over NIS 12,838, with the highest 25% receiving over NIS 17,707 monthly.
Published by Globes, Israel business news – en.globes.co.il – on June 30, 2022.
© Copyright of Globes Publisher Itonut (1983) Ltd., 2022.
Avigdor Liberman credit: Israel Democracy Institute