Increasing the retirement age, raising the monthly contribution, reforming the way of calculating the monthly pension of workers who retire both by the number of best years or the coefficients are some of the many options that are managed so that the pension fund of the Ecuadorian Social Security Institute (IESS) can continue to function for many more years. It is that currently the retirement payments for our grandparents and parents are guaranteed, but it is not the case of the future pensions of our children and grandchildren, he assured the member of the employers to the Board of Directors of the IESS, María de los Ángeles Rodríguez.
He explained that with various inputs such as actuarial studies, conclusions of technical tables, updated data until 2022 and with the help of international experts and technicians from the IESS itself, the brand new Technical Commission that was appointed this week by the Government to deal with the issue of Social Security pensions. This was stated by the employers’ spokesperson on January 13 in statements to Teleamazon.
The business representative said that said commission, led by Augusto de la Torre, It is made up of diverse citizens, men, women, old and young, from different provinces of the country. Its mission will be to review all inputs and validate the information. The idea is that this information is socialized with the population so that they understand the problems of the IESS and can Think about possible solutions that aim at the sustainability of the system.
Rodríguez clarified that there is not a single possible solution, but that there are many technical possibilities. However, he assured that solutions must be taken immediately. This because The pension fund was created thinking of a life period of 15 years after retirement, but now life expectancy has been extended and must cover at least 23 years.
Additionally, he pointed out that the elimination of the pension contribution from the State, in the government of Rafael Correa, defunded the fund. He recalled that various anti-technical measures were taken during this period.
He commented that among issues that are already being discussed between experts and citizens (a seminar was held on Thursday by the Social Security Study Board) it has been thought of separating the issue of pensions and the issue of health in the IESS. However, this is a subject still under analysis and subject to legal reforms.
María de los Ángeles Rodríguez insisted that there will be no privatization of the IESS, it is not in the debate nor is it legal, she assured.
He recalled that the commission has scheduled to deliver its results next May.
The director of the IESS, Diego Salgado, has indicated that for four months technical tables have been carried out to analyze various scenarios of sustainability of Social Security. Among them is, for example, the issue of retirement age (when the law was made, life expectancy was 70 years and now it is 80 years). At the moment the IESS has an elderly population ready to retire and in ten years the number of pensioners for retirement has increased by 7.9%, while there are 5.5 contributors for each retiree, when there should be 8 contributors. The percentage of contribution of affiliates is also in the analysis. However, he clarified that there is no decision made. (YO)
Source: Eluniverso
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