Raise state share of burden, cut wasteful spending for a stable pension system

Japanese Communist Party Chair Shii Kazuo in a debate with Prime Minister Koizumi Jun'ichiro on October 9 demanded that resources for pension payments be secured by eliminating wasteful spending instead of imposing higher taxes on people, and that the government must immediately raise its share in the burden for pension funds.

Shii pointed out that the government's plan to reduce the amount of pension payments in line with falling prices would only increase people's anxieties about their old age.

The government should raise its share in the burden for resources supporting the basic pension system next year from the present one third to one half as mandated by law, Shii said.

The prime minister stopped short of giving a clear answer, saying, "I haven't decided yet whether to implement it within a year or not."

Shii argued, "The pension funds can be secured, for example, by incorporating the tax revenues now earmarked specifically for road construction into general budgets and allocating part of it to welfare services."

"If more revenue is needed for pension payments in the future, then the government can require large corporations and high-income earners to pay their appropriate share. So, promise that you won't increase taxes," urged Shii.

Prime Minister Koizumi replied, "Resources for pension funds should be found after discussions."

Shii concluded his question time by saying, "You didn't deny the possibility of increasing taxes. This obviously leaves you an escape route." (end)