Lai government to seek constitutional ruling on pension reform bill

Taipei, Dec. 26 (CNA) The government will seek a ruling from the Constitutional Court on the constitutionality of a bill passed by the Legislature that rolls back some of the pension reforms introduced in 2018, President Lai Ching-te (賴清德) said Friday.

Lai promulgated the bill on Friday but issued an accompanying annotation that argued it was unconstitutional because it would require taxpayer funds to cover shortfalls in the public service pension system, harming fiscal sustainability and generational justice.

It would also infringe on the Cabinet's authority to formulate the general budget, Lai contended.

"The latest amendments would cause the civil servants' and public school teachers' pension systems to go bankrupt earlier, forcing the public to shoulder additional financial shortfalls," the annotation said.

"For the country's long-term development, it is therefore appropriate to petition the Constitutional Court for a judgment and a provisional injunction so that the nation can continue to progress steadily," it said.

The legislation, pushed through by opposition Kuomintang (KMT) and Taiwan People's Party (TPP) lawmakers using their legislative majority, would partially reverse pension cuts for civil servants and public school teachers, and halt planned reductions through 2029.

The Ministry of Civil Service under the Examination Yuan has warned that restoring income replacement ratios to their 2023 levels would cause pension funds for civil servants and public school teachers to be depleted by 2045 and 2042, respectively, three and four years earlier than previously projected.

Separately on Friday, Minister without Portfolio Lin Ming-hsin (林明昕) sidestepped the question of whether asking for a constitutional interpretation meant the Cabinet was refusing to implement the bill.

He simply described the move as a "legal and constitutional measure" to address the issue within the Cabinet's purview, and he said the Cabinet expected to file petitions for an injunction and a constitutional interpretation of the pension reform bill next week.

That could be problematic, however, as the status of the Constitutional Court is uncertain.

The opposition-controlled Legislature passed an amendment in December 2024 requiring that at least 10 justices on the 15-seat Constitutional Court participate in deliberations and at least nine approve a ruling that a law is unconstitutional.

The court currently only has eight justices, as opposition lawmakers have twice refused to confirm Lai's nominees to fill the seven openings, in effect paralyzing it.

On Dec. 19, five of the eight justices decided to take matters into their own hands, ruling that the December 2024 legislation was unconstitutional. The other three did not agree with taking up the case and did not participate in the deliberation.

The participation of only five justices violated a previous law that at least two-thirds of sitting justices were required to deliberate a case.

In response, opposition lawmakers passed a motion Friday condemning the five justices for their ruling.