Analytics, EU – Baltic States, Legislation, Lithuania, Pensioners

Photo: lrp.lt

The European Council discussed the economic situation in the European Union and commitments of Member States to implement reforms that would ensure rapid economic growth and creation of new jobs. The European Commission introduced an assessment of each EU Member State's progress.

According to the head of state, Lithuania received good evaluation in the areas of energy infrastructure, energy security, diversification, restructuring of state companies, fiscal discipline and transposition of euro area commitments into national law.

Nonetheless, there are areas where there is no progress or which are neglected. Grybauskaite says these are social security issues – pension reform, efficiency of social payments, social exclusion issues and unemployment.

Grybauskaite said that the package is still a cause for concern to everyone and shows a direction in which to invest.

The European Commission said that Lithuania devotes too little attention to energy efficiency – insulation of buildings and utilisation of energy resources.

According to the president, Lithuania is aware that there are glaring problems in social, the State Social Insurance Fund and pension systems. There is little resolve and efficiency. Various theoretic social models are being discussed but they are indeed maximalist, disproportionate and cost hundreds of millions of euro. Therefore, this is not really a reform but an attempt to distribute even more money. This is the biggest problem that calls for attention. Not only distribution of funds but the social system and social payment system have to be effective. They should not be duplicative but encourage people to have greater ambitions, to be active in the labour market and not take advantage of the benefit system.