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Guaranteed minimum income to be cut to 35 lats

  • 2012-09-27

RIGA - The state will discontinue funding 50 percent of the guaranteed minimum income (GMI) next year, therefore GMI will reduce from 45 lats (64 euros) a month now to 35 lats in 2013, as the government agreed with the Latvian Association of Local and Regional Governments (LALRG) on Wednesday.

LALRG Chairman Andris Jaunsleinis told LETA that the GMI used to be 27 lats a month until 2010, but then, to help the people survive the crisis, the GMI was increased to 45 lats. The state covered 50 percent of the benefit.

Jaunsleinis approves of the reduction in the GMI, noting that the current system of benefits does not always motivate the unemployed to seek jobs and care for themselves.