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Bill To Eliminate Unemployment Benefits Provokes Opposition's Critic

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  • Bill To Eliminate Unemployment Benefits Provokes Opposition's Critic

    BILL TO ELIMINATE UNEMPLOYMENT BENEFITS PROVOKES OPPOSITION'S CRITICISM IN ARMENIA

    22:06 ~U 24.10.13

    The proposal for eliminating the unemployment benefits has spurred
    criticisms by the opposition despite the promises that it will help
    make considerable savings in the public sector.

    Under the bill that passed the National Assembly's first reading on
    Wednesday, the monthly payments of 18,000 Drams ($44) will no longer
    be paid to the unemployed, increasing the government's annual savings
    to 1,990,656,000 Drams ($4,909,01).

    The estimates were made based upon findings by the State Employment
    Agency. The available data suggest that of the 66,990 unemployed
    people in Armenia, 9,216 qualified for the benefit as of October 1.

    The mechanisms of eliminating benefits and involving beneficiaries
    in active social programs are known widely to be from the series of
    measures aimed at "teaching to fish".

    But Vahagn Khachatryan of the opposition Armenian National Congress
    approaches the thesis very critically, giving it another definition.

    "The fish stinks from the head," he said, commenting on the bill.

    The opposition MP thinks the proposed amendments to the Law "On
    Employment" will deteriorate poverty statistics Armenia. "Instead
    of boosting competitiveness, fighting corruption and eradicating
    unemployment, they choose the easiest way. People who are in extreme
    social conditions, hardly managing to cover minimal costs with [the
    unemployment benefits], are simply deprived of that," he told Tert.am.

    Khachatryan, who is an economist by profession, said the bill will
    boost the migration from Armenia, increasing the poverty rate from
    30 to 45-50 percent.

    Armen Martirosyan, the deputy leader of the opposition Heritage party,
    thinks adherence to the former policies would be the best and the
    only way of "teaching to fish".

    "It is inhumane to cut people facing social hardships from such
    benefits. Even our Constitution says Armenia is a social state, which
    means the state has to fulfill certain objectives to offer social
    guarantees. And the unemployment benefit is one of them," he explained.

    Martirosyan noted that their party's earlier proposal for reducing the
    shadow and liberalizing the economy and the governance system did not
    meet any approval by the authorities. "Instead of doing all that, they
    are wasting the country's resources, and the situation we are facing
    now shows a decline in even the trade turnover volumes," he said.

    After the Wednesday parliament debate that saw the bill pass the first
    reading Nikol Pashinyan of the opposition Armenian National Congress
    criticized the measure, saying that it was being adopted against the
    backdrop of proposals for raising the salaries of the president and
    the National Assembly speaker by 203% and 218%, respectively.

    Naira Zohrabyan, the secretary of the Prosperous Armenia faction in
    parliament, described the move as a change in the nation's psychology.

    Armenian News - Tert.am

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