specified in the impugned provisions is identical to the substantiation provided with regard to the old-age pension amount established in the impugned legal provisions. Therefore, in this judgment there is no need to adjudicate separately the matter of service pensions as such, and the court conclusions concerning the old-age pension disbursement amount are equally applicable to the service pension disbursement amount established in the impugned provisions. II 23. On 29 November 1990, the Supreme Council of the Republic of Latvia adopted the Law on State Pensions. The rights to state pension were granted to all the residents of the Republic of Latvia whose domicile at the moment of the law coming into force – 1 January 1991 – was the Republic of Latvia. This law established the right to social security in retirement age, prescribing two types of state pension: labour pension (oldage, disability, survivor’s and service pensions) and social pension. The law granted the right to labour pension to persons under the social insurance of the Republic of Latvia, whereas social pension was granted to persons without the right to labour pension. The pension scheme established by this law was based on the formerly effective pensioning principles, that is, on redistribution principles, which did not facilitate the interest of employed persons in securing their old age. This scheme made the whole society responsible and did not provide a direct relation between the amount of contributions and the amount of pension granted. The level of pensions granted was also low (see Paragraph 1 of the Concluding Part of the Constitutional Court Judgment in the Case No. 2001-12-01 passed on 19 March 2002 and page 7 of the Pension Reform Conception in Case materials, vol. 10, p. 162). On 21 October 1993, the Law on Provisional Procedures for Calculating State Pensions was adopted. This law also assigned the main responsibility for old-age security to the State instead of each individual resident. In accordance with the provisions of this law, the disbursed pension amount did not depend on the amount of contributions, but on the length of service only. The lack of relation between the 33

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