Renan: Senate should approve change to pension factor.

247 - The president of the Senate, Renan Calheiros (PMDB-AL), said that the House should follow the Chamber's vote and approve the end of the social security factor, allowing the adoption of a new calculation for retirement. The proposal was included in MP 664 and was approved in a vote in the Chamber's plenary session on Wednesday night (13), being considered a defeat by the government base.

"Since the Senate has already decided to accept the end of the social security factor, it is obvious that it will take this opportunity to replace the factor with a rule that is more favorable to workers and the Brazilian people," said the PMDB member.

The social security factor was created in 1999, during the government of then-President Fernando Henrique Cardoso (PSDB). The PSDB, incidentally, was one of the opposition parties that voted overwhelmingly in favor of altering the social security factor in order to inflict a defeat on the government.
According to the factor rule, the minimum contribution period for retirement is 35 years for men and 30 for women. The benefit amount is reduced for those who retire based on contribution time before reaching 65 years of age for men, or 60 years of age for women.
The amendment approved yesterday in the Chamber proposes the so-called 85/95 formula. With it, the worker retires with full pay – respecting the ceiling of R$ 4.663,75 – if the sum of their age and contribution time results in 85 for women and 95 for men.

Renan also stated that the Senate will vote on Tuesday on Provisional Measure 665, which alters the rules for the payment of unemployment insurance and the salary bonus and is currently blocking the Senate's agenda.