THE SPANISH government and the country’s major unions today reached an agreement on pension reform, hailing the changes as ‘historic’ and claiming that they will guarantee the sustainability of the system.
Social Security Minister Jose Luis Escriva and the leaders of the CCOO and UGT unions, Unai Sordo and Pepe Alvarez, appeared together on Wednesday to close the deal, and dismissed claims made by the leading business association, the CEOE, that the changes would be a burden on the creation of jobs and the competitivity of companies.
The reforms are due to be approved tomorrow at a special meeting of the Cabinet and will then begin their passage through Congress.
The minister explained today that the reforms would benefit current pensioners and those of the future, offering young people a glimpse of the benefits that will be available to them when they retire, according to comments reported by Europa Press.
He added that the reforms will ensure that first pension payments will be equivalent to 80% of a worker’s last salary.
Escriva said that the reforms would make the system more ‘robust’, improving rights of pensioners and eliminating ‘uncertainties’.