The problem of supplementary pension insurance has returned to public debate after he has seen a letter on the intent of an agreement reached by the country with the International Monetary Fund, which states that the government's intention is to continue reforming the system. Experts believe that the regime in Argentina has no support, because it is calculated that there are only 1.5 contributors per pensioner, when the relationship between assets and liabilities should ideally be from three to one.
In the Present and Future of Income in Latin America and the Caribbean, IDB confirms that countries in the "They are not ready for a fast-paced population aging scenario facing the region where it is expected, by 2050, one in five people over 65 will be. "
According to the publication, public pay-as-you-go systems are designed to be generous with contributors throughout their working lives, sometimes damaging those who trade below minimum years pension entitlement (from 10 to 35 years).
In these systems, The state subsidizes a substantial part (approximately 44%) of the average pension who receive contributions throughout their working lives. "In Latin America and the Caribbean, they are higher-income workers who generally contribute for many years, for which reason high pensions are ultimately provided to higher-income workers, some low-income workers leaving without retirement who did not provide the necessary contributions," he stressed. Mariano Bosch, chief expert of the IDB Labor Market Department.
"In the absence of changes in the benefit design, demographic pressures will make systems much more gentle to the individual, but more expensive for the state ", says Bosch.
On the other hand, individual capitalization systems, present in countries such as Chile, Colombia, Mexico and Peru, among others offer compensation for one 40%, ie the amount to be received represents less than half of the last salary each worker.
"There is a myth that Latin America and the Caribbean are a young region, but the reality is ages much faster than the rest of the world ", he explains Carmen Pagés, head of the IDB labor market.