Epress.am News from Armenia
Unemployment benefits neither helped solve social problems nor created jobs, RA Prime Minister Tigran Sargsyan said in parliament today. According to him, receiving the monthly unemployment allowance of 18,000 AMD (about $45 USD), in fact, were those who are "socially secure".
"Research shows that we have an extremely inefficient system: 94% [of the funds] were not getting to those seeking employment; only 6% was going to beneficiaries. For poor countries, this system cannot be effective," he said.
This, he said, is why at the last parliament session, the government proposed eliminating unemployment benefits.
The prime minister assured parliament that from now on, job seekers will be identified and helped by the staff of relevant state agencies.
Tigran Sargsyan also mentioned that there will be an increase in pension payments beginning Jan. 1, 2014. There will be a higher pace of growth for recipients of small pensions, while pension payments for those receiving 93,000 AMD (about $230 USD) or higher will not increase. Thus, according to Sargsyan, 32,000 people will no longer be on the threshold of poverty.