Federal civil servants who joined the public service before 2013 have until the 30th to migrate to supplementary pensions with special conditions. It will be the end of the term for joining the Complementary Pension Funds of the Federal Public Servant (Funpresps) with advantageous calculations.
The special migration was authorized by the Law 14,463approved by the Senate in early October and sanctioned by the President of the Republic on the last 31st. Provisional Measure 1.119/2022, edited at the request of unions and entities representing public servants after the 2019 Social Security reform. As of Thursday (1st), it will no longer be possible to change regimes. Joining Funpresp will remain possible at any time, both for servers that migrated and for those that did not.
During the procedure in Congress, the parliamentarians changed the calculation of the Special Benefit (BE), compensation paid by the Union to the migrated server at the time of retirement. This benefit takes into account the time and amounts that the employee has contributed above the ceiling of the National Social Security Institute (INSS) throughout the public service and the time left to retire.
According to the original text of the MP, the BE would have as a reference the simple arithmetic average of the remuneration corresponding to 100% of the entire contribution period. The new law allowed the calculation based on the average of 80% higher wages, discarding the lowest contributions, which may result in an increase in the benefit.
Congress also resumed the rule for calculating the Special Benefit for previous migrations, which considered a total time of 25, 30 or 35 years of contribution, depending on gender and professional category. The original provisional measure required 40 years for all civil servants. The law has greatly improved the advantages for those who migrate, especially women, teachers and police.
Civil servants who took office before 2013 are enrolled in the Public Service Pension Regime, which pays pensions above the ceiling of the National Social Security Institute (INSS). With the Social Security reform, these civil servants pay progressive contribution rates for each salary range, which vary from 7.5% to 22%. Servants who earn more pay higher rates to pay for retirement, aid and pensions for those who went into inactive status.
Those who entered the federal public service from 2013 onwards and therefore contribute to the complementary social security category have their contribution limited to the INSS ceiling (R$ 7,087.22). Thus, the highest rate does not exceed 14% for this portion of civil servants.
In order to receive above the INSS ceiling, the federal employee who took over from 2013 onwards needs to join one of the Funpresps: one for the Executive Branch, one for the Legislative Branch and another for the Judiciary and the Federal Public Ministry. In the supplementary pension, the server will receive proportionally to what he contributed. Those who pay more receive a larger supplement in retirement.
Migration to the supplementary regime for public servants before 2013 is optional. However, the Ministry of Economy recommends switching to supplementary retirement in order to avoid the risk that the special pension scheme for federal employees will collapse in the coming decades. In the 12 months ended in September, the special regime accumulated a deficit of R$ 105.8 billion, according to the National Treasury.
The law also changed the legal nature of supplementary pension foundations. They remain under private law and non-profit, they are now considered to be of a private nature, rather than a public one. With the change, they begin to follow the rules of government-controlled companies, instead of the Bidding and Contracts Law. The measure makes room for managers to earn more than the ceiling of the Minister of the Federal Supreme Court (R$ 39,293.32).
According to the Ministry of Economy, the change allowed the servers’ supplementary pension funds to gain autonomy and become more competitive, professional and technical. The Funpresps will continue to be supervised by the Federal Court of Accounts, by the General Comptroller of the Union, by the National Superintendence of Complementary Pensions (Previc). They will also remain monitored by the Audit Committee, by internal and external audits and by the 186 sponsoring bodies (where federal employees work).