They want to introduce reduced working hours for elderly employees
Starting from 2027, it is proposed to establish reduced working hours with the retention of average earnings for women over 55 and men over 60 in Uzbekistan. At the same time, there are plans to transition the self-employed to mandatory payment of social tax, and to abolish current benefits for businesses starting from 2030.
Reduced working hours may be introduced for older workers
Starting January 1, 2027, it is proposed to establish reduced working hours for women over 55 and men over 60 in Uzbekistan, while maintaining their average earnings. This measure is envisaged by a draft presidential decree on reforming the pension system.
The document also contains changes for the self-employed and the abolition of social tax benefits.
Starting from 2027, a fixed procedure for paying social tax is planned to be introduced for the self-employed. At the same time, they will be allowed to transfer payments in installments throughout the year.
Of the social tax paid by the self-employed, 10% will be directed to the State Social Insurance Fund.
These funds will be used to pay them maternity benefits, as well as temporary disability benefits.
As of July this year, 2.8 million self-employed people were registered in the country, of whom about 800,000, or 30%, voluntarily paid pension contributions. Currently, a self-employed person can pay one basic calculating value — 412,000 soums — and receive one year of service record for pension calculation. Now these payments will become mandatory.
The draft also proposes to no longer grant new social tax benefits to enterprises and organizations. Already existing benefits are planned to be abolished from January 1, 2030.
Today, the standard rate for employers is 12%, but reduced rates or tax exemptions apply to a number of enterprises.
Some of them are completely exempt from the tax, while others pay it at a rate of 1%.
The Ministry of Economy and Finance must prepare amendments to the laws on state and accumulative pension provision, as well as to the Tax Code, by December 1, 2026.
Separately, the creation of the "Pensiya" mobile application is envisaged. Through it, citizens will be able to receive state pension services online, check their service record and income, calculate the amount of their future pension, and manage their pension savings.
The application is planned to be launched in April 2027.
As a reminder, this draft proposes to increase the retirement age annually by three months starting from 2028. By 2039, it should reach 63 years for men and 58 years for women. At the same time, the minimum service record for pension calculation is planned to be increased from 7 to 15 years by 2034.
Starting from 2027, the period of earnings taken into account when calculating a pension in Uzbekistan will be gradually increased to 20 years, excluding 10% of the period with the lowest income from the calculation. At the same time, the state will begin to make co-payments to voluntary pension savings.