On July 22, the President of the Republic announced the introduction of a bill to amend the Social Security Law, in order to strengthen the Pension System by increasing the amount of pensions and raising the percentage of workers who will have access to a guaranteed pension.
In general terms, the possible and most relevant changes would be the following: (i) increasing the tripartite retirement contribution from 6.5% to 15%, without affecting workers' income and gradually over an 8-year period; (ii) reducing the contribution weeks required to obtain a guaranteed pension from 1,250 weeks to 750 weeks, which will subsequently be gradually raised to 1,000 weeks over a 10-year period; and (iii) increasing the value of the guaranteed pension from a current average of $3,289 pesos to an average value of $4,345 pesos, based on age, weeks contributed and base contribution salary. In addition, the bill includes the possibility of making withdrawals of voluntary savings without requiring a waiting period and seeks to eliminate the statute of limitations for obtaining the right to a pension. It is important to note that this bill is not yet in the legislative process, so it could undergo modifications before being approved. We will remain attentive to the discussions on the matter and will keep you informed. For additional information, contact our experts: Rodolfo Trampe, Partner: +52 (55) 5258 1054 | rtrampe@vwys.com.mx Alix Trimmer, Associate: +52 (55) 5258 1016 | atrimmer@vwys.com.mx Alejandro Pérez, Associate: +52 (55) 5258 1054 | alperez@vwys.com.mx
