ECONOMIC AND LEGAL ASPECTS OF PENSIONS ON THE BASE OF NORTHERN SUPPLY AND REGIONAL COEFFICIENT IN INTERNATIONAL AGREEMENTS

Abstract

Agreement on the guarantees of the rights of citizens of CIS countries in the field of pensions, on March 13, 1992 establishes the principles of territoriality: • pension security of citizens of member states is carried out under the laws of the state in whose territory they reside. • all costs of pensions are borne by the state providing the security. The Law of Ukraine «About Compulsory State Pension Insurance» on July 9, 2003 No. 1058-IV and the Law of Ukraine «About Pension Provision » No.1788-XII of November 5, 1991 do not provide for the inclusion of a wage payment of the northern supplement and a regional coefficient. However, in accordance with the Agreement on the Guarantee of the Rights of Citizens of the Member States of the Commonwealth of Independent States in the field of pensions of March 13, 1992 (hereinafter the Agreement), the length of service acquired during the shift-expedition method in the Far North or equivalent areas in the Russian Federation counted to establish the right to a pension. The regional coefficient is an indicator of wage increases to compensate for additional expenses and increased labor costs associated with performing work and living in regions with severe climatic conditions. Currently, district coefficients are 1.1 to 2.0. Regional coefficients are applied to the wages of workers employed in the Far North, Siberia, the Far East, the Urals, and the northern regions of the European part of the Russian Federation. The fixed basic amount of the insurance part of the labor pension, for those residing in the regions of the Far North, is increased by the corresponding district coefficient. The regional coefficient is established by the Government of the Russian Federation for the entire period of residence in these areas. When citizens move to a new place of residence in other areas of the Far North, the size of the insurance part of the labor pension is determined based on the size of the district coefficient at the new place of residence. If you do not take into account the northern allowances, it is important to pay attention to the following inconsistency. The Office of the Pension Fund of Ukraine fulfills the obligations of Ukraine under the Agreement of March 13, 1992. If the Pension Fund Management of Ukraine does not fulfill its obligations, Ukraine violates its obligations in an international agreement. If the Pension Fund Management of Ukraine does not fulfill its obligations, Ukraine violates its obligations in an international agreement.