You are currently viewing Cabinet Council: Political committee socializes pension reform in the plenary session of ministers and ensures that the proposal will break the current “extreme” system

Minister Jara assured that the reform will raise pensions substantially and will break “with the extreme in which we have found ourselves for 40 years where people have had to assume the risk of aging individually.”

Friday October 28, 2022 2:05 p.m.

This Friday at the Government headquarters, a new cabinet council was held, headed by the President of the Republic, Gabriel Boric. This time, the conclave of ministers had a particular focus on the pension reform that the Government is going to present to the National Congress in the next few days.

Advance details of the proposal, the Minister of Labor and Social Welfare, Jeannette Jara, indicated that “The main objective of this pension reform is to substantially increase the amount of pensions, both for current retirees and for the generation that is going to retire soon, and break with the extreme in which we have found ourselves for 40 years where people have had than to take the risk of aging individually”.

“We have a proposal that is technically robust, that is moderate because it takes Chile and takes it out of the extreme system in which it has been in these 40 years and brings it to the average of the OECD countries and that also recognizes the need to the existence of a mixed pension system, where, together with private savings and the participation of private individuals in the system, there is also a public, supportive Social Security Pillar that allows us to do the main thing, which is to improve pensions”, he pointed.

And he added that “the reform and all its details will be presented soon, but as you know we have committed an increase in the Universal Guaranteed Pension related to the approval of the tax reform, as well as an increase in contributory pensions, that is, those to which a new contribution is made the employer and that today does not exist”.

In turn, the Minister of Finance, Mario Marcel explained that “When we talk about a mixed system, what we are talking about is a system to which all the actors in the system contribute, the State contributes, the employers contribute and the workers contribute, that it is made up of different pillars that complement the contribution of the State, a basic benefit with the savings of the workers and with a social security mechanism and above all that it is a system that will benefit all pensioners”.

In this, the Secretary of State assured that “No male or female worker is going to be worse off with this reform, on the contrary, all of them are going to improve, some of course in greater proportion since they are the sectors that are most neglected, especially women, but ultimately, all workers have something What to gain from this pension reform“.

Meanwhile, the Minister of the Interior, Carolina Tohá, stated that “it could be said that here we want the idea of ​​the third time lucky to be applied, that this be the reform that definitively unblocks a debate that has been dragged on for such a long time”.

“It is a solid proposal, it is a response that responds to the priorities and concerns of the population and it is also a response that draws lessons from previous experiences, seeking to integrate the good ideas that have been in different other presentations by previous governments,” he said. .

It should be noted that within the framework of the work on this reform, Chile Vamos joined the Republican Party, the People’s Party and independents presented a pension reform agreement that specifically seeks to defend the ownership of funds, heritability and the possibility of election. between a private or public system. This position was viewed with concern by President Boric, who said that the right “It seems that they have not changed one iota since the last 10 years.” So invited all political sectors to understand that “no one is going to get 100% of what they want, but that is not what is important, what is important is that the pensions of Chileans improve and for that we have to be willing to dialogue and reach an agreement”.

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J. A. Allen

Author, blogger, freelance writer. Hater of spiders. Drinker of wine. Mother of hellions.

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