Retirees reject that the 3% increase in the minimum is an advance on account

Retirees reject that the 3% increase in the minimum is an advance on account

The National Organization for Retirees and Pensioners of Uruguay (Onajpu) regretted that the 3% increase for the retirement and minimum pensionsannounced Monday by the Ministry of Labor and Social Security (MTSS)be an advance on account.

Estela Ovelar, president of Onajpu, assured that “although this 3% is given to retirement and minimum pensions, which are 17,263 pesos, hopefully it will not be discounted later. Hopefully this advance on account will be embodied in the pocket of the people “.

“It is always well received when something else enters people’s pockets. From our organization it was raised for the most vulnerable retirements, because whoever collects 18,19, 20, does not receive it,” he highlighted in dialogue with Underlined.

The MTSS minister, Paul Mieres, announced yesterday that the increase will be charged in August, retroactive to July and that it will be an advance on account to January. “At the end of the year, the corresponding increase is made for Constitutionthe Average Wage Index (IMS) of 2023 and that will be the value of the increase in retirements”, he explained and recalled that since the minimum retirements will already receive this 3% in advance, it will be deducted from the final figure of the IMS for the supplement at the beginning of next year.

For retirees, the 3% increase is insufficient. “When the adjustment of January of next year is given, it is as if these people who receive the minimum will be adjusted on what they received in June,” said the president of Onajpu, who indicated that the lowest retirements will continue to lose purchasing power.

On the other hand, Ovelar recalled that retirements of more than 50,000 pesos will have a reduction in Income Tax Social Security Assistance (IASS) starting next year. “What we insist is that the most vulnerable will have nothing left and they continue to pay the VAT“, he stated.

This Tuesday, the retirees and pensioners of Onajup will hold a National Board of Directors where they will discuss the proposal to continue the round of negotiations with political representatives.

Source: Ambito

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