Government pensioners have each received a one-time XCD 500 direct deposit into their accounts from the government.
According to a press release from the Office of the Prime Minister, Cabinet, is mindful of the impact of inflation which has caused steep increases in the cost of consumer goods. Fixed-income households and pensioners, who are adversely affected by the price hikes which are directly linked to external factors which include the ongoing Russia-Ukraine conflict, inflation, and volatility in the international oil market – all beyond the scope of the government’s control.
“Despite the challenges, Hon. Pierre has allocated approximately XCD 1.5 million to provide immediate financial relief to government pensioners. Additionally, public servants continue to benefit from a 1% wage and salary increase which took effect in April 2022. The 1% wage and salary increase represent approximately, an additional XCD 4.5 million per annum for public servants,” stated the release, adding that a further 2% wage and salary increase is scheduled to take effect in 2023.
The release further stated that Prime Minister Pierre, who is also responsible for Social Security, is pleased with the decision taken by the National Insurance Corporation [NIC] to adjust pensions commensurate with increases in the Consumer Price Index [CPI].
NIC pensioners will receive a 4.2% increase in monthly pension payments. The increased pension payment will be made in August 2022 and will include a retroactive payment for July 2022. The increase is projected to cost XCD 4 million per year.