Mexico seeks to ensure that retirees receive their active salary with the pension reform

Mexico City, Jan 9 (EFECOM).- The president of Mexico, Andrés Manuel López Obrador, said this Tuesday that his pension reform will seek to ensure that retirees receive as a “minimum” the salary they had when they were active, although he did not clarify whether it will repeal the private system that currently operates.

The president, who has not finalized the details of his initiative, argued in his morning conference that with the current legislation each pensioner receives, on average, less than 30% of what they earned.

“We are thinking about how we compensate so that, at a minimum, the worker when he retires receives what he earns while active, (whether the salary) is minimum or not. If you earn two or three minimum wages as a worker, when you retire that is what you receive, you should not receive half or 40%,” he said.

The Mexican president thus reaffirmed his intention that, before the end of his Administration in October, he will send two reform initiatives to the Constitution, one of them to guarantee that workers retire with full pensions and the other to raise the minimum wage. always above inflation.

López Obrador questioned the 1997 reform that created the Retirement Fund Administrators (Afore), inspired by the Chilean model, and which are funds in which employers, the Government and employees save a percentage of the salary of workers registered in the Mexican Institute of Social Security (IMSS).

The president recalled that in 2020 he reformed some aspects, such as the reduction of contribution weeks so that more workers reach a minimum pension, and an increase in employer contributions, which will gradually go from 6.5% to reach 15% contribution in 2030 as a percentage of salary.

EFE

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