The option contemplates an additional contribution of 6%, charged to the employer and with a distribution of two percentage points to social security, two points to individual capitalization and two points to longevity insurance.
Within the framework of the debate on the pension reform, the Minister of Labor and Social Welfare, Jeannette Jara, today received a pension proposal from the bench of deputies of the Party for Democracy and independents.
Among other aspects, the option proposes an additional contribution of 6% of the taxable salary, charged to the employer, where two percentage points would be allocated to the individual capitalization accounts of each worker, adding to the current 10% and totaling 12% with that end. On the other hand, it proposes another two percentage points for social security, with mechanisms such as intergenerational transfers or compensation for care and maternity work.
Finally, the alternative of the PPD and independent bench proposes that the remaining two percentage points be allocated to “mixed longevity insurance”, which would be activated when people turn 85 years of age and with the possibility of inheriting the contribution generated by this means. if the insured dies before said age.
Minister Jara thanked the proposal and noted that “we know that it has been difficult for the country to find an agreement and different formulas have been considered around the distribution of the new 6% of the employer. In that sense, I would like to point out that the government is going to evaluate this proposal, which, basically, is made up of a distribution that establishes 2% for individual capitalization, 2% for Social Security to increase pensions for current retirees and those who retire. in the coming years, and 2% destined for insurance that covers what is called the fourth age.”
“The important thing is that they are trying to find solutions. Political dialogue continues and we hope that the right can also take the same spirit of the conversation that we have had today with the PPD, in order to put on the table what is central, which is to look for what we can find ourselves in,” he added. the secretary of state.
For his part, the independent deputy and member of the Finance Commission of the Lower House, Carlos Bianchi, indicated that “this group of independents and the PPD brings a concrete proposal, analyzed, worked on, studied, with figures that make the simulation where A person who retires in the future will have, as has been said here, survival insurance if he or she passes 65 years of age, but the mortality table is eliminated at 110 years of age.”
He added that “we call on the right. We must stop defending the structures of the AFP and start defending the people, the people who are retired and who are about to retire. This proposal is responsible for precisely that correction.”
In addition to Bianchi, the meeting with the minister was attended by the head of the bench, Marta González; its deputy head, Jaime Araya; and the deputy member of the Labor Commission, Héctor Ulloa. Also, deputies Helia Molina, Raúl Soto and Cristián Tapia.
It should be noted that the Government of President Gabriel Boric submitted a pension reform project to Congress on November 7, 2022, the idea of legislating which was approved on January 25, in the Labor Commission of the Chamber of Deputies. The Executive’s initiative contemplates axes such as a reorganization of the industry, the creation of Social Security through an additional contribution of 6% of the taxable salary and an increase in the amount and coverage of the Universal Guaranteed Pension
