ASSUMPTION.The National Union of Retirees of Paraguay (UNJP) presented a request to the Board of Directors of the Social Security Institute (IPS) to reverse the recent decision to reduce the minimum retirement income to 50% of the basic salary. According to retirees, this measure could plunge thousands into extreme poverty, hunger and misery, counteracting the financial balance claimed by the pension authorities.
The union brought its concern to the Council, requesting the reconsideration and annulment of resolution No. 029-002, issued on April 25. In a document delivered to the authorities, they warn that the elimination or reduction of the minimum salary to 75% of the minimum wage would have devastating consequences for thousands of retirees, holding those who took this measure responsible.
The conflict intensifies due to the statements of the Economic Benefits manager, Vanessa Cubas, who argues the need to achieve financial balance. However, the UNJP maintains that the determination of the minimum retirement income was never jeopardized by this balance, citing collection data that shows a significant recovery even in times of pandemic.
One of the main concerns is the retroactive impact of this measure, which according to the UNJP could affect more than 20,000 retirees.
The UNJP also warns of possible additional modifications to the rules that could put the rights of active contributors at risk. They remember that since 2011 a minimum retirement income was established to guarantee the subsistence of retirees and pensioners, and they express their dissatisfaction with the reduction applied a few days ago.
