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January 22, 2022
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Gustavo Leal F.*: Revert the UMAs

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Luis Ramirez Pineda, former general director of the Issste, asked the SCJN for the thesis contradiction that culminated in the ruling of 2/17/21 that requires the payment of pensions in times of UMA and not in times of the minimum wage?

This dispossession opened the door to the Second Pensionary Axis of government evil1 made up of Ramírez Pineda, José Tijerina –then in SHCP Pensions– and Alfonso Cepeda, general secretary of the SNTE; Axis that seeks to modify the pensions of section B, preserving the individual accounts (Pensionissste) and copying the Decree-AMLO (12/16/20) that provides subsidized artificial oxygen (at a fiscal cost), for 10 more years, to the Afore system of the Section A of constitutional article 123 (IMSS), without substantially raising the pension needle.

On 8/28/20 Ramírez declared that the Issste will have to increase your contribution as employer to the individual accounts in Section B, following the Decree-AMLO: we’re aware of the need to improve pensions. Options are reviewed to apply in the medium/long term. Pensionissste will continue decreasing commissions: the more low of the market being the only Afore that distributes profits.

In that line – with arguments neoliberals– Iván Pliego, then a member of Pensionissste –today head of the National Retirement Savings Commission– assured strengthen financial education among citizens and reduce the uncertainty. Great challenge, he maintained, is to choose the financial product for Make grow savings and make voluntary contributions to reach a good pension: must reverse the limited savings culture.

As in the case of the Decree-AMLO for Section A, the exit of Ramírez and Pliego for B, he only contemplated doing more of the same, expecting different results: everything in Pensionissste, paying pensions through individual accounts, avoiding a profound remodeling of the pension system of Section B, which covers young people covered by Pensionissste and the article tenth transitory of the Law-Issste (2007).

In addition, according to Ramírez –as of January 2021– of the 64 billion pesos that the state governments owe to the Issste for fees and contributions, 55 billion were from individual accounts in Pensionissste. 2.3 billion pesos are also owed to Fovissste. ( Reform, 1/19/21).

But on 2/27/21, 10 days after the repudiated decision of the SCJN, the Second Axis recognized that Alfonso Cepeda had met with Ramírez and Tijerina to meet the demands related to the calculation of pensions. In that meeting Cepeda proposed options to guarantee workers income that compensates for their years of effort. For their part, both Ramírez and Tijerina accepted the proposals for their analysis and compromised to build, together with Cepeda, a solution to the problematic, after the decision of the SCJN.

Cepeda even communicated that he trusted the sensitivity of the federal government and recalled that, in September 2020, he had personally delivered to AMLO a proposal for reform Issste pensioner who was well received. For his part, Tijerina, still an official of the SHCP, added that he was willing to review each topic by establishing how much would it cost the government and Issste. We will analyze the different alternatives.

It is clear that the solution contemplated by the Second Pensionary Axis of government evil intends to concentrate exclusively on Pensionissste’s solidarity savings. But, as the pension level of Section A confirms, the workers of Section B will face the same structural insufficiency of the Pensionissste individual account system –with careers of just 14 years (2007-2021)–, in addition to waiting for the Issste to file the 55 billion pesos missing and, following the solution of Alfonso Cepeda, put more resources from his pocket for solidarity savings. Wow solution to end up not substantially raising the pension needle!

The Second Axis wants to take advantage of the damage generated by the SCJN with the UMAs to keep the future pensioner of Section B sunk, without remodeling it and paying pensions via Pensionissste only with more solidarity savings.

AMLO’s statements in the morning conference (3/5/21) not to reverse, but make up for the UMAs confirm this route. The proposals of the Second Axis will be more subsidized artificial oxygen (at a fiscal cost), preserving the low pensions of Section B, as the previous one already shows solution of the Decree-AMLO for Section A.

The debate for a different solution in Section B, as proposed by the GEPPSS with a profound remodeling of the pension system, is therefore open. And the central demand is: AMLO must reverse the UMAs.

one The action of the First Pensionary Axis of governmental evil culminated with the lukewarm adjustment to Section A contained in the Decree-AMLO (12/16/20) that only kicks the boat for the next six-year term.

* Autonomous Metropolitan University – Xochimilco

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