The Reform to Law 87-01 which creates the Dominican Social Security System is contemplated among the projects whose study will be resumed in the National Congress for its next legislature, which begins in this month of August.
Public views for the knowledge of the modifications proposed for the law were suspended by the Permanent Social Security Commissionwhose members decided to give priority to the update projects of the Criminal Code, the Labor Code and Law 340-06 on Purchases and Public Contracts, as confirmed today by the President of this Commission, Deputy Rafael Castillo.
“The Commission has approved 10 public viewsone for each region, so that the whole country finds out and the whole country can find out about this modification. We will start at La Vega, then we will be for Barahona, and so on, ”said the legislator.
After attending the conversation “new trends in pensions”, Organized by the Superintendence of Pensions (Sipen), with the support of the World Bank and the Inter -American Social Security Commission (CISS), Castillo said that the lower house commission that studies this bill has remained receiving proposals from different factions linked to the sector.
Among her is the Ministry of Laborhealth risk administrators (Ars)the Pension Fund Administrators and foundations linked to the social security system.
Informality and Low price
Castillo Reyes indicated that the system of pensions Dominican has two large limitations: the Low price due to informality that almost reaches 60 % in the Dominican economy, and a Low pricewhich is just 9.97 %.
“There is a data that is devastating and, since it began to quote in 2003 to date, He has only quotedin a straight line, about 10 %. If today they were the pensionsonly 10 % of people would be pensioned with a full pension and that is important that we observe it all, ”he remarks.
- He indicated that the challenge that Congress will have is that the Social Security reform includes solutions regarding the amount of contributions needed to guarantee a pension and how to further encourage formality to ensure Coverage before 2033year in which they would be granted pensions of old age for the first time under the individual capitalization system.
In addition, he indicated that it would be relevant to analyze other pension modalities that are consistent with the new work modalities, such as teleworking or independent work.
“For this modification, the Central government It must be involved. The president has been in contact through the Minister of Labor, so that we work together, that the commission can work with the minister, and I think there may be an important modification (in that sense, ”he concluded.
