Will civil servants lose money when they retire after the merger in 2024?

After the merger in 2024, civil servants will retire without losing money.

First, the background and objectives of the merger reform

The merger reform is one of the important reforms of China's old-age insurance system, aiming at realizing the unification of the old-age insurance system for civil servants and enterprise employees. Through the merger, the institutional differences between different groups can be eliminated and a fair and sustainable old-age security can be realized. The goal of the reform is to ensure that civil servants can enjoy the same pension benefits as enterprise employees after retirement and improve the overall level of old-age security.

Second, the combined pension benefits.

After the merger, the pension benefits of civil servants will be linked to the employees of enterprises, and the same pension calculation and payment methods and adjustment mechanisms will be adopted. This means that the pension of civil servants will be closely linked with the payment period and the payment amount to ensure the fairness and sustainability of the pension. In addition, civil servants can also enjoy various old-age security policies and welfare benefits provided by the state after the merger, such as supplementary old-age insurance and medical insurance, so as to further improve the quality of life after retirement.

Third, the advantages and significance of the merger reform

The merger reform is helpful to eliminate the fragmentation of the old-age insurance system and improve the unity and fairness of the system. Through the merger, we can eliminate the treatment differences between different groups and reduce social injustice. At the same time, the merger reform will also help to improve the sustainability of pension funds and reduce the financial pressure. By introducing market mechanism and personal responsibility, the operating efficiency and management level of the old-age insurance system can be improved, and the timely and full payment of pensions can be guaranteed.

To sum up:

After the merger in 2024, civil servants will retire without losing money. The merger reform aims to realize the fairness and sustainability of the old-age insurance system and ensure that civil servants can get reasonable old-age security after retirement. Through the merger, the pension benefits of civil servants will be connected with those of enterprise employees, and the same pension calculation and payment method and adjustment mechanism will be adopted. The merger reform is also conducive to eliminating system differences, improving the level of old-age security and reducing financial pressure. Therefore, civil servants will not suffer when they retire after the merger, but can enjoy fairer and more sustainable old-age security.

Legal basis:

People's Republic of China (PRC) social insurance law

Article 10 stipulates:

Employees shall participate in the basic old-age insurance, and the employer and employees shall jointly pay the basic old-age insurance premium. Individual industrial and commercial households without employees, part-time employees who have not participated in the basic old-age insurance in the employer and other flexible employees can participate in the basic old-age insurance, and individuals pay the basic old-age insurance premium. The measures for the endowment insurance of civil servants and staff managed by reference to the Civil Service Law shall be formulated by the State Council.

The State Council's decision on the reform of endowment insurance system for staff in government agencies and institutions

Article 3 provides that:

Implement the basic old-age insurance system combining social pooling with individual accounts. The basic old-age insurance premium is shared by units and individuals. The proportion of the unit paying the basic old-age insurance premium (hereinafter referred to as the unit payment) is 20% of the total salary of the unit, and the proportion of the individual paying the basic old-age insurance premium (hereinafter referred to as the individual payment) is 8% of the salary paid by himself, which is withheld and remitted by the unit. Establish a personal account for basic old-age insurance according to the amount of 8% of my salary, all of which are formed by individual contributions. The part where the individual salary exceeds 300% of the average salary of local employees in the previous year is not included in the base of individual contribution salary; If it is lower than 60% of the average salary of local employees in the previous year, the base of individual payment salary shall be calculated according to 60% of the average salary of local employees.