JCP blames government for bad management of pension fund

Japanese Communist Party House of Councilors member Koike Akira in the House Budget Committee meeting on October 2 exposed government mismanagement of the pension funds. He demanded that the shortage of pension funds must not be made up for by shifting the burden onto the people.

Koike pointed out that in FY 2000 and FY 2001 the number of people enrolled in employees' pensions decreased by 4 million, and that revenue from insurance premiums was 2.9 trillion yen (26 billion dollars) less than the government estimate. Taking investment losses into account, the fund available is 6 trillion yen (54 billion dollars) short of the initial estimate.

Koike said that the decline in the employees' pension enrollment has been accelerated mainly by corporate restructuring and wage cuts, for which the government policy is responsible.

Health, Labor, and Welfare Minister Sakaguchi Chikara insisted that the decline in the employees' pension enrollment is a temporary phenomenon.

Prime Minister Koizumi Jun'ichiro did not deny the points raised by Koike, but he sidestepped the issue by insisting on the need to consider the aspect of burden, suggesting his approval of reduced benefits. (end)