Spain is pushing for state pension reforms that would link payments to life expectancy and to economic cycles, without raising the retirement age, employment minister Fatima Banez said yesterday.
The proposals, which the government presented to unions on Monday, would include de-linking pensions from inflation as of next year, tying them instead to a more complex formula that also takes into account the system’s revenues.
Spain is under pressure from Brussels to shake up its pensions system by the end of 2013, to help it fix imbalances in its economy and as soaring unemployment puts an unprecedented strain on social security funds.
Spain tables pension reform plan tied to life expectancy