The keys to understanding the social security reform after the modifications

The keys to understanding the social security reform after the modifications

The project will be voted on tomorrow in Deputies and on Tuesday the articles will be voted on, if approved, it will go back to the Senate for a vote with its modifications.

Photo: Freepik

Social security reform was in the eye of the political storm this week, with a coalition agreeing after back and forth on changes by Town meeting and the Colorado partythe project will be voted this Monday in the Chamber of Deputiesafter being approved by the Special Commission last week.

The first party in the coalition that objected to changes was Cabildo Abierto, from the Executive, desperate for the approval of the project, they accepted two changes that wobbled the axis of the form. The most important of these is that the government agreed to change the basis of the reform by reducing the years taken to calculate retirement. Thus, it will go from 25 to 20, as CA claimed, despite the fact that the technicians who drafted the project had warned that its structure would be affected by this modification. On the other hand, the programmatic repeal of the Social Security Assistance Tax (IASS), something that the Colorado Party would later claim.

Faced with these modifications, the Colorado Party decided to ask for two intermediate rooms to be able to study the changes in the equations of retirement assets and how much it would cost the government. Over time, from the party they proposed 10 changes of which the Executive He accepted only 3.

The first change was linked to the minimum number of years worked. The minimum age will be 65 years for those who have contributed for 30 years, but with the new red proposal, those who have contributed for 35 years may retire at 64 and those who have done it for 38 years will be able to do it at 63 years old.

Second, the colorados detected a project design error, which was communicated to Lacalle Pou, and which will be corrected in the next few hours. As the document was written up to now, those born in 1972 could retire at 60 years of age, while those who did so in 1973, at least 63 years of age, which meant an unfounded jump.

With the new modification, it will be gradual: about those who were born in 1973 there will be one minimum age 61 yearsabout those of 1974, of 62 yearsabout those of 1975, of 63 yearsabout those of 1976, of 64 yearsand about those of 1977, of 65 years, like the rest. Thirdly, the last change is associated with the request of the Cabildo Abierto on the reduction of the IASS, although the magnitude of the change still needs to be defined. tax relief.

Source: Ambito

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