Government will present pension reform next week

a “skeleton” the measures should be presented.
23/06/2016 10h22 - Updated 23/06/2016 10h22
Photo: reproduction

The government has begun to shape his Social Security reform proposal and should present a “skeleton” the measures at a meeting with union leaders next week.

“I want to share the paternity of this reform”, He told the newspaper O Estado de S. Paul the chief minister of the Civil House, Eliseu Padilha.

Among the alternatives to be presented is the possibility of charging, of companies exporting the agribusiness, any employer contribution to the National Social Security Institute (INSS).

currently, these companies, They focus their sales abroad, They do not have to pay the contribution. IT IS

the only sector of the economy to have this treatment, according to technical working in the proposal. When the sale is for the domestic market, pay a rate of 2,6% on revenue.

“This is nonsense”, said, on the idea, former Minister of Welfare Roberto Brant, Consultant of the National Confederation of Agriculture and Livestock of Brazil (CNA).

“Start the reform on the wrong side, the revenue, instead of attacking the costs.” He stressed that Brazil is the country that spends the most on Social Security, considering as a proportion of Gross Domestic Product (START).

The changes under consideration by the government will focus on five major themes, and for each of them there is a set of options to be discussed with the workers to form a joint proposal: pension for death, average retirement age, difference schemes for men and women, pension of civil servants and the new treatment for agribusiness.

The extra taxation on agribusiness includes a set of measures to tackle the deficit of Social Security in the rural sector, which accounts for most of the system's deficit as a whole.

There tightening alternatives in all five items analyzed, in order to stop the escalation of the pension deficit, which should reach $ 133,6 billion this year, according to calculations of the economic area.

The pension system, pensions and welfare benefits is now the biggest problem to be faced to the rebalancing of public accounts.

In the case of pension for death, an idea is to take up the proposal, discussed last year but ruled by the National Congress, to limit the benefits paid to pensioners of the civil service.

The rule may be similar to that adopted in the INSS: the value would be a wage percentage, plus a variable amount depending on the number of dependents.

The minimum age 65 years, advocated by many members of the economic team, It is just one of the possibilities to be presented to union members. The goal is to raise the average age of people to retire.

In the case of rural pensions, besides agribusiness contribution, the government examines the situation of smallholders, as those dealing with family farming.

Today, they contribute only when marketing their production. When there is no sale, they do not need to collect the INSS. This is a situation that, from the technical viewpoint, must be evaluated.

Brant said that this group, not companies, It is responsible for the pension deficit in the sector. The payment of benefits to people living in rural areas is a social program, he explained. “Is the INSS not know why.”

There are also proposals to bring the men and women retirement rules. Today, the minimum period of contribution for men is 35 years for women, from 30 years. But they live longer, second show the numbers.

The government wants, still, approximating the rules of the pensions of civil servants of private sector workers. Would you like, also, encourage states to create their own retirement funds.

no time, is not on the table the benefits of floor discussion, now equivalent to the minimum wage. This is an idea circulating on the economic team.

Similarly, is not in question unlink social benefits, as the Organic Law of Social Assistance (Loas), paid to elderly and disabled low-income, the national minimum wage. The information is the newspaper O Estado de S. Paulo.


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