'Changes to benefits will not be approved without amendments'

Ivan Richard - Reporter for Agência Brasil

In a public hearing with the Ministers of Planning, Nelson Barbosa, and Social Security, Carlos Gabas, deputies and senators from the joint committee created to analyze Provisional Measures 664 and 665 criticized the changes proposed by the government in the granting of social and labor benefits and stressed that without negotiation, modifications to the texts, and a broad agreement, the changes will hardly be approved by Congress.

According to Senator Paulo Paim (PT-RS), as drafted by the government, the measures have "not the slightest chance of passing." He argues that it is necessary to discuss and build substitutes: "At this moment, with all due respect to the ministers, I am part of the [government's] base, but everyone is against these measures. I doubt there is a union, an association, a confederation, or a retirees' organization that defends these measures. It would be irrational and self-sabotaging to try to approve these measures," said Paim.

"We cannot hide from the ministers the difficulty in getting these measures approved by Parliament," reinforced Congressman Glauber Braga (PSB-RJ). According to the congressman from Rio de Janeiro, the justifications presented by the Minister of Planning for the changes – such as job creation, economic growth, and increased income – do not align with the current economic outlook for the country.

"This is not the scenario indicated for 2015 by the Minister of Finance himself. If the Ministry of Finance announces a year of difficulties, adjustments, and low or negative growth, how can access to unemployment insurance be made more difficult in such an extremely negative context? This seems to me a mistake, and a significant one, including in convincing other parliamentarians," argued Braga.

Congressman Betinho Gomes (PSDB-PE) criticized the way the federal government adopted the measures. "Since the government now claims that these measures are not part of the fiscal adjustment, why didn't the government send these measures in the form of bills so that the discussion with Congress could take place more calmly? This debate needed to be more in-depth," said the congressman.

At the beginning of the public hearing, Minister Nelson Barbosa stated that the changes to the rules for granting social security and labor benefits, including unemployment insurance, are "structural," "adjustment," and part of fiscal adjustment. "We are saying that these measures are not part of the fiscal adjustment because the adjustment is not permanent, it is temporary. The fiscal adjustment is the first step to restoring confidence in the economy, but these measures are permanent. The fiscal adjustment will pass, but these measures will remain. The measures are essential and urgent, which is why they were implemented through a provisional measure," Barbosa explained.

According to Senator Telmário Mota (PDT-RR), the economic adjustments cannot be passed on only to the poorest. "It's very difficult to get approval in this state. But it is in this House that we will make the corrections. Anything that removes distortions, strengthens and guarantees the programs is welcome. But anything that takes away from those who already earn so little will not be approved," said the senator.

"The government needs to find a mechanism that guarantees workers' rights, not measures that reduce these benefits. These measures are being put in place for those who earn one or two minimum wages, those who already have difficulty maintaining their homes," criticized Congressman Marx Beltrão (PMDB-AL).

Meanwhile, Representative Cleber Verde (PRB-MA) criticized the proposal that prohibits Bolsa Família payments to fishermen who are receiving the Defeso Insurance benefit. "When we approved the Defeso Insurance here, its purpose was to ensure the perpetuation of the species and guarantee the subsistence of families who live exclusively from fishing. [With the change] we are interfering with the rights of these workers. When the waiting period to access the benefit is increased, we may be leaving thousands of workers without access to a legitimate right," added Verde.

Edited by the federal government at the end of last year amidst the announcement of fiscal adjustment measures, the provisional measures alter the rules of the Workers' Assistance Fund (FAT) and Social Security, increasing the rigor for granting the salary bonus, unemployment insurance, fishing allowance, survivor's pension, and sick pay. According to the government, the changes will result in savings of R$ 18 billion per year starting in 2015.