Saturday, December 27, 2008
HAVANA (AP) - The Cuban parliament on Saturday approved a new Social Security Act which increased the retirement age in five years.
Led by President Raúl Castro, the last meeting of 2008 of the Assembly of People's Power voted unanimously to implement the standard by which men are welcome to retirement at age 65 and women at 60, indicated media local press.
The initiative was presented during periods of debate July - backed by Castro - and then agreed to submit it to workers in assembly with the help of the union and the Ministry's branch in order to raise awareness for those affected.
According to a report from the official press, with unique access to the plenary of more than 500 deputies, some three million employees were consulted on the rule and they made proposals about 900,000.
It was noted that the increase in the retirement age will be done gradually over 7 years, from 2009 until 2015, with the goal of affecting as little as possible to workers nearing retirement age today.
The rule also includes the basis for the calculation of what will become the new pensioners and extended the protection of orphaned more than 17 years, provided they are studying.
In addition stipulated that retirees can return to work to receive their social security payments and wages.
The new rules respond to the need to adapt to the demographic reality of the island, which began aging dramatically and has a low birth rate.
According to local media, as a result of the aging population will have Cuba in 2025 about 770,000 fewer people of working age today. In 1970 there were 7.1 workers for every retired last year, this ratio dropped to 3.1 and in 2025 will be 2.3, serious problem in a nation with low rates of productivity.
