Reducing the maximum pension calculation limit from 25 to 10 minimum wages will apply only to workers who are in some dispute over the calculation of their pension, is not a general criterion to be applied by the Mexican Social Security Institute (IMSS).
While the Second Chamber of the SCJN did give a ruling on the subject of pensions, it would apply in specific cases. Here are some doubts that the director of THE IMSS was cleared this morning.
Will there be changes to the minimum wage cap to calculate the pension?
The cap of 25 minimum wages for the pension of IMSS workers from the so-called «transitional generation» will be maintained. You will not lower or have a limit of 10 minimum wages.
Who is the generation in transition?
They are those workers who began to be quoted in the IMSS under the 1973 law regime and who, after the reform in 1997, were given the benefit of being able to choose with which regime they wished to be pensioned: to finance their pension with which ever accumulated in their Afore, or to ask the IMSS pension, paid by the treasury, under the terms of the Social Security Act of 1973.
To whom does the Court’s ruling apply?
The director of the Mexican Institute of Social Security, Zoé Robledo, detailed that what the Second Chamber of the Court did was establish a criterion, possibly by some protection and the judgment is limited only to the complainer.
The Court established a criterion for its courts, not for social security institutions.
As stated in its decision, the reduction of the maximum pension calculation limit from 25 to 10 minimum wages applies only to workers who are in a dispute over the calculation of their pension.
This is not the first time that the Second Chamber has ruled on the pension cap, there has already been one in 2010 and one in 2016.
«The average wage for quantifying invalidity, old-age and early-age pensions cannot exceed the cap of 10 times the current minimum wage for the Federal District,» the Court said in 2010, and then in 2016.
Will that resolution affect me if I am about to process my pension?
It does not affect anything, it does not apply to those workers who are processing their pension and who have even been awarded high pensions. The calculation will remain the same with 25 salaries.
Could the IMSS make modifications?
The IMSS may decide whether to stick to this new SCJN thesis or whether it continues to argue that it is your right to determine the amount of pensions as before.
At least to this day Zoé Robleo said: «It would be unfair, it’s the work of your whole life. They traded their whole lives at 25 and it would be unfair to lower it to 10,» he added.
«In the case of pensions, we are not confused. How are we going to lower workers’ pensions?» said President Andrés Manuel López Obrador.
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