The pension leaves 90% of employees without savings: Asofondos

Asofondos President Santiago Montenegro warned of workers’ rights and benefits being jeopardized by the pension reform. He pointed out that for 90% of employees, savings will be jeopardized if the project remains as approved in the first debate.

“Dividing the contributing pillar in half and forcing the contributions corresponding to the first 3 minimum wages to go to Colpensiones means that the portion of the contribution corresponding to those salaries is no longer individually owned,” explains Montenegro in an analysis in which also makes proposals to improve the reform project.

“The union identifies some substantive aspects that are at risk that we are drawing attention to so that they are broadly and objectively analyzed in the next stages of discussion in Congress, as this project is transcendental to all. We believe there is a risk to the rights workers have today, they could be compromised in old age,” the union leader said.

He remembered somethingAnd For 15 years Asofondos has been urging the need for a reform of the old-age protection system “to adapt it to the dramatic demographic transition, so that millions more have a pension or income in their old age, to eliminate inequality in the public pension scheme, and to make this scheme financially sustainable in the long term”.

He indicated that of the 94 articles approved in this first phase of the project process, positive aspects stand out, such as that it formalizes and expands the pillar of solidarity, integrates the two existing regimes into one system, but needs additional adjustments, grants are limited to high pensions (though not eliminating them) and focuses on gender, allowing progress in correcting the system’s discrimination against women.

Source: El heraldo