1. The subject of the dispute is the lawfulness of the refusal by the Main Department of the Pension Fund of Ukraine in the Donetsk region to index the pension of PERSON_1 using certain coefficients for increasing the average wage indicator.
2. The court of cassation instance, overturning the decisions of previous instances, emphasized that pension indexation is a state guarantee aimed at maintaining the purchasing power of the population in the face of rising prices. The court emphasized that the Law of Ukraine “On Compulsory State Pension Insurance” has higher legal force than the resolutions of the Cabinet of Ministers of Ukraine, and it is the law that determines the procedure for pension indexation. The court noted that when recalculating pensions granted in 2020-2023, the average wage indicator that was taken into account when granting the pension is subject to increase, and not the indicator as of October 1, 2017, as provided for by the resolution of the Cabinet of Ministers of Ukraine. The court also took into account the previous legal position of the Supreme Court on this issue. Thus, the court concluded that the Main Department of the Pension Fund acted unlawfully by establishing a monthly supplement to the pension for the plaintiff instead of applying the coefficients of increase to the average wage indicator.
3. The court granted the cassation appeal of PERSON_1 and ordered the Main Department of the Pension Fund of Ukraine in the Donetsk region to index and recalculate the plaintiff’s pension using the corresponding coefficients of increase of the average wage indicator, starting from March 1, 2024.
