The proposal obtained ten votes in favor and five against.
The report of the Frente Amplio delegation establishes that within the “set of guiding principles”, the basic principles of social security are not mentioned: “subjective and objective universality, equality, sufficiency and solidarity, with the consequent redistribution of income” .
“This document of recommendations costs him, and cannot, speak of intragenerational justice. In numeral 24 he refers to ‘intergenerational justice’, and then, when he goes on to talk about the treatment of people of the same generation, he changes the turn and speaks of ‘intragenerational equity’, alluding to equal treatment for individuals of the same generation. the same generation and, therefore, returning to circumvent the principle of solidarity between those who can and have the most, and those who have and can least ”, considers the FA.
Likewise, for the Frente Amplio representatives “due to this conception of social security, the proposed reform excessively reduces the pillar administered by the BPS, especially for lower-income workers, in favor of the individually funded pillar (AFAPs), which worsens its design in a series of determinant variables of retirement that people will receive ”.
The FA indicates that this “is aggravated by the recommendation of a series of default options, relevant in the calculation of total retirement, which do not seem to have been analyzed from the convenience of the workers based on their income level, an important question given which is proposed to eliminate, in the new regime, the bonus of art. 28 of Law 16,713, which affects the majority of the more than 1,400,000 members of the system, since it establishes a subsidy that reaches salaries of up to 101,346.24 pesos ”.
Likewise, the Frente Amplio delegation indicates that the agenda of recommendations proposed for the Individual Savings Regime is based on an erroneous confidence that greater “competition” will contribute to achieving better results for members, as well as solving many of the challenges o pending problems, particularly in the decumulation stage (when people are paid what corresponds to what is generated in their individual accounts in AFAPs) ”.
Additionally, the recommendations agenda explicitly raises the possibility of a “greater transfer of risks to workers, and the enabling of a series of options that add too much complexity to the system, making it difficult to understand.”
Gradual, comprehensive and with the greatest possible consensus
The organizations of workers and retirees consider that although the reform of social security is necessary, it is not urgent anyway. They consider that it should be gradual, comprehensive and with the greatest possible consensus.
“Decisions on social security cannot be made by a commission of experts that, without a doubt, has much to contribute but cannot replace those who represent organized citizens or the political system,” indicates the PIT-CNT.
FA document
Basis for the FA Delegation Vote in CESS_12112021 by LARED21 on Scribd
