d) Argentina should establish a unified program of non-contributory pensions, mean tested and targeted on the poor, as well as end the arbitrary pensions granted by Congress; e) The Renta Dignidad database in Bolivia would have to be cleaned of any duplications and fraudulent beneficiaries, and take effective measures to include potential beneficiaries excluded from coverage due to their language, lack of information on their rights and/or proper identification; and f) Conducting a study in all countries to measure, on a standardized and comparative basis, the impact of non-contributory pensions on poverty, and their potential effect on the formal sector, as well as on affiliation and payment of contributions to the contributory system. 4. Expanding Social Solidarity Social solidarity is usually external to the private system; several measures are suggested to expand it: a) In Peru, restoring the employer contribution(the current bill does this) and, in Chile, passing in congress the law that imposes a 6% contribution to the employer; b) In Uruguay, the fact that workers pay approximately two-thirds of the total contribution(violating the ILO minimum standard stating that workers must not pay more than 50% of the total contribution) must be corrected (in Panama, workers pay 68% of the total contribution to the pension program, but employers pay the total contribution to the health program); c) Granting a solidarity state contribution to improve low contributory pensions up to a ceiling where this contribution ceases(as in Argentina, Chile, Mexico— where a bill in congress increases such contribution—and Uruguay); d) Expanding non-contributory pensions that have played a key role in extending older adult coverage; e) Also, expanding non-contributory pensions would help to reduce educational and residence(urban and rural) gaps, in coverage by all pensions for older adults, as these gaps are smaller in this program than in the EAP 212
Druckschrift
Evaluation of four decades of pension privatization in Latin America, 1980-2000 : promises and reality
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