THE PENSION SYSTEM OF THE CZECH REPUBLIC: INDUCING SOCIAL HARMONY OR CONFLICT? Cover Image

DŮCHODOVÝ SYSTÉM ČR: NAVOZOVÁNÍ SOCIÁLNÍHO SMÍRU NEBO KONFLIKTU?
THE PENSION SYSTEM OF THE CZECH REPUBLIC: INDUCING SOCIAL HARMONY OR CONFLICT?

Author(s): Jiří Kraft
Subject(s): Present Times (2010 - today), Public Finances, Fiscal Politics / Budgeting, Socio-Economic Research
Published by: Masarykova univerzita nakladatelství
Keywords: old-age pensions; solidarity principle; equivalence principle; regions of the Czech Republic;
Summary/Abstract: The pension system is a very important social policy instrument of the state. An incorrectly set pension system, or one that does not respond sufficiently to the often contradictory developmental changes in its individual parameters, can cause social disharmony, not only between or within generations. The aim of this paper is to assess the regional aspect of the consequences of the current Czech pension system based on the principles of solidarity and equivalence. It seeks an answer to the question whether, from a regional perspective, the pension system is more likely to induce social harmony or to provoke conflict among regions. The starting point is an analysis of selected parameters of the pension system of the Czech Republic in the period 2010-2021, the results of which are followed by a regional analysis of average gross wages and average old-age pensions, including an assessment of the relationship between them, using normalized data for both indicators. Five types of positions of the Czech regions are identified in determining solidarity donors and solidarity recipients. At the same time, some points are pointed out that should not be overlooked in the context of pension reform, as they could be a source of social conflicts in the future.

  • Page Range: 43-50
  • Page Count: 8
  • Publication Year: 2023
  • Language: Czech