When a new International Women’s Day is commemorated, one of the discussions that becomes more relevant is the considerably lower contributory pensions that women receive compared to men. Matter that is evident in Latin America and the rest of the world.

But the big question that arises is why do women face such an unfavorable outlook in Latin American countries? According to an analysis by the International Federation of Pension Fund Administrators (FIAP), this situation responds in part to the salary gap during the active stage of both genders.

“Other reasons are the lower number of years of contributions and the lower legal retirement age of women.

To reduce these gender differences, FIAP made the following proposals:

• Equalize the legal retirement age between men and women in countries where there is still a difference.
• Promote childcare networks, to facilitate women’s permanence in paid jobs.
• Improve labor legislation to reduce gender biases (e.g. part-time and teleworking; equal paternity leave).
• Encourage the creation of non-contributory or solidarity pensions, which particularly benefit women.
• Provide pensions for women in case of separation or divorce.
• Create subsidies for people who are dedicated to caring for the elderly and people with disabilities, work carried out mostly by women.
• Create voluntary pension savings plans with tax incentives.

Source: Diario Estrategia

Date: 08.03.2024