The reform of the pension system It is one of the great challenges of the Ministry of Inclusion, Social Security and Migration, directed by Jose Luis Escrivá. Last July 2021, the central government and the social partners reached an agreement for a new framework for the pension system. A) Yes, the Council of Ministers approved the start of its processing, with a first package of measuresafter the pact agreed between the Government, employers and unions.
The first part of the pension reform included one of the star measures, the revaluation by law of pensions with the Consumer Price Index (CPI).
Thus, a revaluation of 2.5% was approved, which corresponded to the average inflation of the previous 12 months until November 2021. Measures for the penalize early retirement and to promote the delay of the actual retirement age.
Increase in the maximum pension and calculation period
The second package of pension reform measures included in the Recovery and Resilience Plan sent to Brussels has yet to be implemented. The government and social partners They resumed again last Monday, September 12, the negotiations of the next measures to be implemented.
In this sense, there are two relevant measures that will be addressed: the increase in the contribution bases in the maximum pension and the calculation period to determine the retirement pension.
The Minister of Inclusion, Social Security and Migration, Jose Luis Escrivá, has proposed the progressive increase in the maximum pension so that people with higher incomes contribute more to Social Security.
“We must progressively raise the maximum pension and increase the contribution of the maximum base. If we do it gradually, the collection in terms of social contributions will increase“, Escrivá stated in an interview on RNE.
Regarding the other measure contemplated, the calculation period to establish the amount that a pensioner receives when accessing retirement is currently 25 years. Nevertheless, this period will not finally rise to 35 years, despite having been a measure proposed in the Recovery Plan sent to Brussels to obtain European funds.