YEREVAN, January 24. / ARKA /. Armenia's Constitutional Court has suspended today some provisions of the law "On Funded Pension System” pending a detailed inquiry into the constitutionality of eight articles of the law, it has emerged today.
In particular, the highest court of the country has suspended Article 76 (providing for penalties for the failure or delay to make mandatory pension payments) and the third paragraph of Article 86 (according to which workers must choose a pension fund and a manager). The hearing of the case will end March 28, 2014.
The constitutionality of eight articles of the law was challenged by three opposition factions of the National Assembly - the Armenian National Congress, the Armenian Revolutionary Federation/Dashnaktsutyun, the Heritage and the Prosperous Armenia Party.
The new pension system requires that all Armenian citizens born after 1973 pay social security taxes equivalent to 5 percent of their monthly wages. As mush is to be allocated by the government. That money has to be deposited with private pension funds licensed by the government late last December. -0-