Compulsory accumulative pension system enters into force in Armenia

The compulsory accumulative pension system entered into force in Armenia on January 1, 2014.

The new Law on the Accumulative Pension System stipulates that Armenian citizens born after 1974 must transfer 5% of their wages to a private pension fund.

Opponents of the accumulative pension system’s introduction claim that the law is in violation of citizens’ rights, is unconstitutional and violates the fundamental human rights and freedoms. On December 17, four opposition parliamentary factions filed a petition to the Constitutional Court against the introduction of the accumulative pension system.