Turkmenistan

Old Age, Disability, and Survivors

Regulatory Framework

First law: 1956.

Current laws: 2012 (pension insurance), implemented in 2013; 2012 (social protection), implemented in 2013.

Type of program: Notional defined contribution (NDC) and social assistance system.

Coverage

NDC: Employed and self-employed persons.

Voluntary coverage is possible.

Social assistance: Needy persons.

Source of Funds

Insured person

NDC: None; 2% of gross monthly earnings for the voluntarily insured.

Social assistance: None.

Self-employed person

NDC: 10% of the legal monthly minimum wage with gross monthly earnings below 30 times the legal monthly minimum wage; 2% of gross monthly earnings with gross monthly earnings of at least 30 times the legal monthly minimum wage.

The legal monthly minimum wage is 715 manat (790 manat as of January 2019).

Social assistance: None.

Employer

NDC: 20% of monthly payroll plus 3.5% for hazardous occupations. For certain employers, the contribution varies by sector.

The employer's contributions also finance sickness, maternity, and work injury benefits.

Social assistance: None.

Government

NDC: Provides subsidies as needed; contributes as an employer.

Social assistance: The total cost.

Qualifying Conditions

Old-age pension (NDC): Age 62 (men) or age 57 (women) with at least five years of contributions.

The age requirement is reduced for mothers with three or more children, persons disabled before age 16, military personnel, pilots and flight crew, and persons working in hazardous occupations.

Old-age social pension (social assistance): Age 62 (men) or age 57 (women) with less than five years of contributions.

Disability pension (NDC): Must have at least five years of contributions and be assessed with a Group I (total incapacity for any work and requires constant care), Group II (reduced work capacity and occasionally requires care), or Group III (reduced work capacity) disability.

Constant-attendance allowance: Paid to persons with Group I and II visual impairments.

Dependent supplement: Paid to persons with Group I and II disabilities for nonworking dependents.

A territorial or state medical commission under the Ministry of Health and Medical Industry assesses the degree of disability.

Disability social pension (social assistance): Paid to children younger than age 18 who are assessed with a Group I or II disability, or to persons of any age who are assessed with a Group I, II, or III disability and have less than five years of contributions.

Constant-attendance allowance: Paid to persons with Group I and II visual impairments.

Dependent supplement: Paid to persons with Group I and II disabilities for nonworking dependents.

Survivor social pension (social assistance): Paid to dependent family members when the insured dies.

Orphan social pension (social assistance): Paid to a full orphan.

Old-Age Benefits

Old-age pension (NDC): The monthly pension is a ratio of the insured's accumulated notional pension capital to the average life expectancy after retirement.

Pension rights earned before 2013 are converted into an initial amount of notional pension capital based on years of work, earnings, and average life expectancy after retirement.

Average life expectancy after retirement is 174 months.

The minimum monthly old-age pension is 254 manat (January 2017).

There is no maximum monthly old-age pension.

Benefit adjustment: Benefits are adjusted periodically based on changes in the national average wage.

Old-age social pension (social assistance): The monthly pension is 70% of the base amount for calculating state benefits.

The base amount for calculating state benefits is 266 manat a month (293 manat a month as of January 2019).

Benefit adjustment: Benefits are adjusted periodically based on changes in the national average wage.

Permanent Disability Benefits

Disability pension (NDC): The monthly pension is a ratio of the insured's accumulated notional pension capital to average life expectancy.

Pension rights earned before 2013 are converted into an initial amount of notional pension capital based on years of work, earnings, and average life expectancy.

The minimum monthly disability pension is 155% of the base amount for calculating the minimum pension for a Group I disability, 135% for a Group II disability, or 115% for a Group III disability; 190% for any group of disability if the disability began in childhood.

The base amount for calculating the minimum pension is 279 manat a month (307 manat a month as of January 2019).

There is no maximum monthly disability pension.

Persons eligible for more than one benefit (sickness, maternity, child care allowance, survivor, or social pension) must choose only one benefit.

Constant-attendance allowance: 20% of the base amount for calculating the minimum pension is paid monthly.

Dependent's supplement: 20% of the base amount for calculating the minimum pension is paid monthly for each eligible dependent.

Benefit adjustment: Benefits are adjusted periodically based on changes in the national average wage.

Disability social pension (social assistance): The monthly pension is 160% of the base amount for calculating state benefits for a Group I disability, 140% for a Group II disability, or 120% for a Group III disability; 160% for a child younger than age 18 with any group of disability; 200% to a person aged 18 or older with any group of disability if the disability began in childhood.

The base amount for calculating state benefits 266 manat a month (293 manat a month as of January 2019).

Persons eligible for more than one benefit (sickness, maternity, child care allowance, survivor, or social pension) must choose only one benefit.

Constant-attendance allowance: 20% of the base amount for calculating state benefits is paid monthly.

Dependent supplement: 20% of the base amount for calculating state benefits is paid monthly for each eligible dependent.

Benefit adjustment: Benefits are adjusted periodically based on changes in the national average wage.

Survivor Benefits

Survivor social pension (social assistance): The monthly pension is 65% of the base amount for calculating the minimum pension for one eligible survivor; 125% for two; 145% for three; 170% for four; 185% for five; and 200% for six or more eligible survivors. The monthly pension is split equally among all eligible survivors.

The base amount for calculating the minimum pension is 279 manat a month (307 manat a month as of January 2019).

Orphan social pension (social assistance): The monthly pension is 145% of base amount for calculating the minimum pension for one full orphan; 230% for two; and 285% for three or more full orphans.

The base amount for calculating the minimum pension is 279 manat a month (307 manat a month as of January 2019).

Benefit adjustment: Benefits are adjusted periodically based on changes in the national average wage.

Administrative Organization

Ministry of Labor and Social Protection of the Population of Turkmenistan (http://mlsp.gov.tm/) provides general coordination and supervision.

Pension Fund of Turkmenistan and its regional and local offices administer the program and collect contributions.

Sickness and Maternity

Regulatory Framework

First and current laws: 1994 (presidential decree); and 2012 (social protection code), implemented in 2013.

Type of program: Universal (medical benefits) and social insurance (cash benefits) system.

Coverage

Universal (medical benefits): Residents of Turkmenistan.

Social insurance (cash benefits): Employed citizens of Turkmenistan.

Exclusions: Self-employed persons.

Source of Funds

Insured person

Universal (medical benefits): Voluntary supplemental contributions.

Social insurance (cash benefits): None.

Self-employed person

Universal (medical benefits): Voluntary supplemental contributions.

Social insurance (cash benefits): Not applicable.

Employer

Universal (medical benefits): None.

Social insurance (cash benefits): See source of funds under Old Age, Disability, and Survivors.

Government

Universal (medical benefits): The total cost.

Social insurance (cash benefits): Provides subsidies as needed.

Qualifying Conditions

Cash and medical benefits: There is no minimum qualifying period.

Sickness and Maternity Benefits

Sickness benefit (wagtlaýyn zähmete ukypsyzlyk boýunça döwlet kömek puly, social insurance): 60% of the insured's average daily earnings in the last two months is paid with less than five years of uninterrupted work; 80% with five to eight years; 100% with more than eight years, to a mother caring for three or more children younger than age 16 or for a child with a disability younger than 18, or to an orphan younger than age 21.

The insured may receive up to seven days of paid leave to care for a sick family member; 14 days if caring for a child younger than age 14; 122 days if caring for a child younger than age 7 who is hospitalized or for a child younger than age 14 who is seriously ill, undergoes major surgery, or suffers a severe injury.

Maternity benefit (göwrelilik we çaga dogurmak boýunça döwlet kömek puly, social insurance): 100% of the insured's earnings is paid for 56 days before and 56 days after the expected date of childbirth (72 days after for a difficult childbirth; 96 days after for multiple births). In the case of adoption of a child, the benefit is paid from the day of adoption for up to 56 days.

Birth grant (çaga doglandaberilýän döwlet kömek puly, social insurance): A lump sum of 130% of the base amount for calculating state benefits is paid for each of the first two children; 250% for the third child; and 500% for the fourth and subsequent children.

The base amount for calculating state benefits is 266 manat a month (293 manat a month as of January 2019).

Child care allowance (çaga seretmek boýunça döwlet kömek puly, social insurance): 65% of the base amount for calculating state benefits is paid monthly for children up to age 3.

The base amount for calculating state benefits is 266 manat a month (293 manat a month as of January 2019).

Benefit adjustment: Benefits are adjusted periodically by law.

Workers' Medical Benefits

Public health providers provide medical benefits directly to patients. Benefits include general and specialized care, hospitalization, laboratory services, dental care, maternity care, vaccinations, and transportation. Medicine is free if hospitalized.

Dependents' Medical Benefits

Medical benefits for dependents are the same as those for the insured.

Administrative Organization

Ministry of Labor and Social Protection of the Population of Turkmenistan (http://mlsp.gov.tm/) and regional and local offices of the Pension Fund of Turkmenistan administer the social insurance program. The Pension Fund of Turkmenistan also collects contributions for the program (see Old Age, Disability, and Survivors).

Ministry of Health and Medical Industry (http://www.saglykhm.gov.tm/) and regional health departments are responsible for implementing state health care policy, developing health care programs, and providing medical services through clinics, hospitals, maternity homes, and other medical facilities, including private health providers.

Work Injury

Regulatory Framework

First law: 1995.

Current laws: 2009 (Labor Code of Turkmenistan); and 2012 (Code on Social Protection), implemented in 2013.

Local authorities and employers can provide supplemental pension benefits out of their own budgets.

Coverage

Universal: Residents of Turkmenistan.

Social insurance: Employed persons.

Exclusions: Self-employed persons.

Source of Funds

Insured person

Universal: None.

Social insurance: None.

Self-employed person

Universal: None.

Social insurance: Not applicable.

Employer

Universal: None.

Social insurance: See source of funds under Old Age, Disability, and Survivors.

Government

Universal: The total cost.

Social insurance: Provides subsidies as needed.

Qualifying Conditions

Must be assessed with a work injury or occupational disease.

Temporary Disability Benefits

100% of the insured's average daily earnings in the last two months is paid from the first day of disability until recovery or the award of a permanent disability pension.

Work injuries must be assessed by the relevant authority.

Permanent Disability Benefits

A disability pension (NDC) is paid under Old Age, Disability, and Survivors.

Workers' Medical Benefits

Patients receive medical services directly from public health providers. Benefits include general and specialized care, hospitalization, laboratory services, transportation, and appliances and medicine.

Survivor Benefits

Survivor pensions are paid under Old Age, Disability, and Survivors.

Administrative Organization

The Social Insurance Fund provides funding to enterprises and employers to pay temporary disability benefits to their own employees.

Ministry of Labor and Social Protection of the Population of Turkmenistan (http://mlsp.gov.tm/) provides general coordination and supervision of permanent disability benefits.

Pension Fund of Turkmenistan and its regional and local offices administer the program.

Ministry of Health and Medical Industry (http://www.saglykhm.gov.tm/) and regional health departments are responsible for implementing state health care policy, developing health care programs, and providing medical services through clinics, hospitals, maternity homes, and other medical facilities, including private health suppliers.

Unemployment

Regulatory Framework

First and current laws: 1991 and 2016 (employment).

Type of program: Social insurance system.

Coverage

Permanent residents of Turkmenistan.

Source of Funds

Insured person: None.

Self-employed person: None.

Employer: 2% of monthly payroll.

Government: Provides subsidies as needed.

Qualifying Conditions

Must be registered at an employment office, able and willing to work, and receiving no income from employment. The benefit may be reduced, suspended, or terminated if the insured is discharged for violating work discipline, leaving employment without good cause, violating the conditions for job placement or vocational training, or filing fraudulent claims.

Unemployment Benefits

The monthly benefit is a percentage of the base value for calculating state benefits.

The base value for calculating state benefits is 266 manat a month (293 manat a month as of January 2019).

Benefit adjustment: Benefits are adjusted periodically based on changes in the national average wage.

Administrative Organization

State Employment Service and local employment offices regulate and administer the program.

Employers pay cash benefits.

Family Allowances

Regulatory Framework

A child care allowance is provided under Sickness and Maternity.