She is an expert on social security issues and warns: 'There is talk of starting to value each contribution for retirement, and for proportional benefits to exist'

Silvia Stang, an economics editor, highlights deep structural flaws in Argentina's current social security system. She points to discussions about valuing every contribution made towards retirement, suggesting that proportional benefits could be offered to individuals who have contributed for less than the standard 30 years required by the Anses General System. This aims to provide some level of support for those who fall short of the full contribution period.

Stang explains that the state pension alone is often inadequate to maintain a pre-retirement standard of living. The current calculation method includes a basic universal benefit, supplemented by an amount based on the average salary over the last 120 months, specifically for salaried workers. This system, she notes, can leave individuals struggling financially after retirement.

The primary retirement system in Argentina is the General System of Anses, which requires women to be 60 and men 65 to retire, though other specialized systems exist. Contributions to this system involve an 11% deduction from salary, alongside a 3% contribution for health services (which can go to private health insurance) and another 3% for PAMI (the national program for retirees and pensioners). Employers also contribute, making the total contribution to the pension system larger.

Labor informality remains a significant issue in Argentina, necessitating the use of moratoriums, which allow individuals to "buy" years of contributions to qualify for a pension. Stang reveals that currently, "7 out of 10 retirees in the Anses system had a moratorium," indicating the widespread impact of informal employment on retirement eligibility. She reiterates the call to value all contributions, ensuring that individuals who have contributed for shorter periods receive proportional benefits based on their years of service.

Ultimately, Stang concludes that financing retirement will be challenging without additional savings or alternative income sources to maintain one's living standard after active working life. The current system, coupled with high labor informality, presents a complex landscape for ensuring dignified retirements for all Argentinians.