Retirement: what the military wants | Economy



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Anyone who introduces the theme of retreat into dialogue with an army must be prepared for an answer that invariably follows the same road map: the argument that it is not part of well-being.

The scenario is adopted by both the main names of the armed forces – the Minister of Defense, General Fernando Azevedo e Silva, and the Army Commander, General Edson Pujol – as well as by his subordinates.

"All that is said about social security does not refer to the army, it is the first legal principle we must think about," said Pujol, the day he took command of the most numerous of the three bodies.

In an interview with BBC News Brasil, the same week he took office, said Minister Fernando Azevedo e Silva, saying that the army would not be hit by a social security reform "because that she does not have social security ".

According to economist and sociologist Marcelo, this discussion of nomenclature is a way to escape the central debate, namely the need to change the rules of payment of benefits paid to inactive employees (military and civilian ) and retirees from private enterprise. Medeiros, affiliated with Princeton University, United States, and UnB (University of Brasilia).

"Do not call (the military system) .Welfare is wrong and it is an attempt to get out of the problem.We have the well-being and the ultimate goal.The fundamental point is: you pay people who stop working, what is called retirement or pension, "he said.

When the country will need to adjust the public accounts and that President Jair Bolsonaro has promised a broad pension reform, the question of the evolution of the economic situation will even depend on the government's economic zone . rules for the army.

The reason is: the task of developing a proposal for changes for the military is incumbent on them, not on the retreat team of the super-minister Paulo Guedes (Economy), according to members of the government.

The staff of the Secretariat for Social Security and Labor, headed by Rogério Marinho, is responsible for formulating a proposal for reform of the INSS (National Institute of Social Security) and the civil service system.

The secretariat's press office, sought by the report, said it would not comment on this.

Changing seniority in employment and pensions

Behind the scenes, the military claims to accept some changes to the retirement rules if the government agrees to promote a restructuring of their career.

Members of the armed forces claimed a salary they considered obsolete in relation to the career of civil servants, such as the federal police, Itamaraty and the Central Bank.

According to the military participating in the discussions, the need to extend the service, which is now 30 years, is understood. They are also studying a change in the pension, because today, when a member dies, a discount on the value of the benefit ceases to apply.

The proposal of the Ministry of Defense, along with what he defended under the government of former President Michel Temer, is currently being discussed. a new badysis, since a change of direction took place in January. In addition to the exchange at the first stage of the Ministry of Defense, the command of the three forces has also been changed.

A subject that never fails to talk about it with the military is the peculiarity of the army's civilian career.

Among the difficulties they claim are the following: the army is not allowed to work overtime, spend an extra night or be dangerous; have the inability to accumulate jobs, to strike or to be able to organize; and the need for permanent availability, with a daily commute that can go beyond the normal 8 hours.

In general, the experts agree on the existence of these peculiarities, but they think that this should have an impact on the career, as long as they are active, and not remunerated at when they go to the reserve.

"The peculiarities of the military career justify different wages, not a distinct retirement," said Marcelo Medeiros.

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The expert calls for an improvement in the career of the army, but says that the country can not give up a social security reform involving this category. For him, good solutions would consider increasing the service time of the military, in addition to providing a proportional remuneration to the contribution time, which would encourage them to devote more time to badets.

"And of course, there must be a transition period for everyone, people have to prepare for change."

Medeiros argues that the government should hasten to present economic forecasting calculations by evaluating different aspects of the proposals: "More computationally based and less ideologically based reform is needed".

This year's budget provides for a social security deficit of more than 305 billion Australian dollars, given a negative result of $ 218 billion of the general scheme (INSS), not counting the civil servants ($ 44.3 billion) and military ($ 43.2 billion).

Although these figures come from the government itself, the armed forces deny this deficit on the grounds that they do not have a pension system.

For André Gamerman, an economist at ARX Investimentos, an interesting option would be to increase the contribution of the military insured, which now accounts for 7.5% of gross pay.

"Public service reform as a whole is about retiring later and contributing more," he said.

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Gamerman claims that the financial market is the only one that Bolsonaro participated outside

Gamerman argues that the financial market is less concerned about the specific changes in the military and more by the possible impact of this measure for the adoption of the. a wider reform.

"The important for the market is to approve a reform in general. If they say that leaving the military on the outside will make things easier for the general scheme, then the market will say: then it's great. "

The economist emphasizes also that the fiscal situation of the states also requires that a pension reform envisages the agents of this sphere, including the military police and firefighters.

As of this year, the military began to exercise in their for a presidency consisting of two military personalities – Bolsonaro, retired captain, and the deputy, general of the Hamilton Mourão reserve – and therefore more sensitive to the causes of the conflict. October, Bolsonaro appointed several colleagues from the armed forces to head public agencies

Marcelo Medeiros criticizes the possibility that the army will be left out of the efforts that other categories will have to es public accounts "We are in a moment where we will require an effort from everyone, including the army. The government lacks motivation to talk to the masons and cleaning agents and to refine the military issues. "

Medeiros says most military members retire before the age of 50 and will live to the same extent. at over 80. "That is, [a maior parte] will spend more time in retirement than to contribute, which is unsustainable," he said.

For the specialist, the reform is a necessity even to guarantee a budget for the field of the defense.

"Brazil will end up spending more for pensions than for weapons. It makes no sense to have well-retired and poorly armed soldiers, "he said.

According to Medeiros, the lack of clarity of the terms of the reform that should be presented by Bolsonaro at the beginning of the government is still serious.He warns against the need to reach the entire population and believes that the main problem in Brazil is the lack of minimum age, which allows people to take their retirement too early.

"Until now, the current administration gives a sign of confusion." The previous administration made it clear that it would reform further to reach the Masons and housekeepers, but that would affect everyone, the poor to pay the tax control account. "

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