Fearing government wants to allow retirement only from that of 70 years

Idade mínima para benefício começaria aos 65 years, mas seria estendida daqui a 20 years.
27/06/2016 15h45 - Updated 27/06/2016 15h45
Photo: reproduction

The government of Michel Temer wants the minimum age for the next generation to retire to arrive 70 years. The idea, according to a government source who is participating in the discussions, It is set in the project that will be sent to Congress two tracks: the first, from 65 years; and a second, from 70 years, to be applied here only 20 years.

There is almost a consensus that the pension reform study should establish 65 as the minimum age from the text approved, but with a transition rule that does not penalize both those already in the labor market and even fewer who are closer to retirement.

For example, if a man has contributed 30 of 35 years that determine the current law and has 50 years, he will not have to work more 15 years, to the 65. There will be a transition. The government's goal is to raise the average age of people when they retire. Today, it's from 54 years.

Those who enter the labor market from the new rule is fully sanction will frame in the range of 65 years. Even if the government send the bill to Congress later this year, hardly it will be approved before 2017.

- If we set the minimum age now, we can already think in the coming decades, leaving a higher range for the future generation, which is still far from entering the labor market. Now, the adoption of 65 minimum age will have a very clear transition rule not to harm those already in the labor market longer - said a member of the government Temer.

The formulas for this transition rule are still being analyzed by the government, but will take into account the workers' contribution and the period left for retirement. Although President Michel Temer declared on Friday to be in favor of women retire slightly earlier than men, the intention of the economic team is, long-term, making age in both sexes coincides.

Tomorrow, there will be meeting between government and the unions, which can leave the first version of the pension reform. The plateau also has doubts about the presentation of a document to avoid "ready package", because it seeks understanding with the unions, which have proved inflexible especially for changes in regulation affecting those in the labor market or near retirement. The decision to present or not these general lines will be set up at the time, depending on the climate between the government and unions.

- The central resist virtually every point, but they are beginning to take responsibility. The pension is not a government problem, passing; but who will retire. If the government does not do anything fast, Brazil will end in a few years as European countries that broke - said a senior government source.

The expectation of the government is to take some of the central ideas in the meeting tomorrow, but there is deadlock. The unions want the rule maintenance 85/95 (sum of age and contribution period for women and men, respectively) and ask, rather than structural changes in the system, the government to do a thorough inspection in spending on pension funds.

The Welfare of the rural sector is another controversial point. The unions claim that this accounts for most of the system's deficit. The government intends to discuss this issue at separate tables. Heard complaints from trade unionists, but wants to discuss alternatives with the large farmers not to contaminate the discussions.

A government source said that any measures must be adopted to reduce social security costs in this sector.

Source: The globe

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