Chile: Gabriel Boric advocates a pension reform after the failure of the fifth pension withdrawal

The President of Chile, Gabriel Boricmade a call to deal with the discussion of “substantive issues”, in particular that of the pension reform, after the rejection in the Chilean Chamber of Deputies of the fifth universal retirement of the pension fund and of the “limited” alternative project proposed by the Executive.

“(We must) put an end to the claim that crises or structural inequalities can be resolved through the personal savings of Chilean citizens. That is not good for Chile, it is not good for the economy, but, above all, for the citizens themselves,” declared the president.

Gabriel Boric He has highlighted that the “limited” project was proposed to “avoid an inflationary spiral”, which he has described as “very serious”. “The cost of living today is increasing significantly for many of our countrymen,” he said.

For this reason, he has stressed that the Executive will not rest to present measures, as in the case of “food debts”, in which “one of the most terrible versions of machismo” of Chilean society is “expressed”.

“We are also going to look for alternatives to relieve families in terms of debts accumulated in basic services; and within the framework of the salary project, which we have the duty to present in the coming days”, Boric specified.

First setback of the Boric government

The alternative project of the Executive was rejected with 68 votes in favor, 83 against and one abstention, while the fifth withdrawal presented by the parliamentarians was denied by 70 votes in favor, 70 against and 12 abstentions, as reported by the newspaper Chilean Third.

In an attempt to stop the withdrawal of 10% of pension funds from the system of Administrators of pension funds (AFP), the country’s private pension system, different Chilean ministers of the Boric Executive presented last week a retirement alternative limited by social security criteria.

(With information from Europe Press)

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