Saturday, March 31, 2012

Pension reforms in Morocco: 9 years of waiting and it's not over


The thorny issue of retirement returns to the headlines. The technical committee will meet Friday, March 30, for the second time after the Monday 26, to concoct the best potion able to reinvigorate the pension systems in which indicators are in the red.
Two approaches to steal the show: one purely financial, based on the balance and sustainability, defended by the executive and the business and one social claimed by the unions supported by the ILO (International Labour Office). "Monday's meeting break frost has experienced this issue under the previous government, we began to seriously examine the issue. Friday we will pick up the pace, "says Mohamed Hakech, representative of the UMT in the Technical Commission.
In the middle of next meetings of this Committee, consideration of the report of the French consulting firm Charles Riley, delivered August 30, 2010. He has called for "a single unified basic plan for all employees with the introduction of a supplementary pension for civil servants," says Hakech. "This is ours now, to introduce amendments and submit new proposals to reach a consensual solution between the different approaches of the members of the Technical Committee. "
The pension funds in the red
Of the four pension funds existing in Morocco, the Plan of Allocation of Collective Retirement (RCAR), the National Social Security Fund (NSSF), the Moroccan Pension Fund Interprofessional (CIMR) and Caisse Marocaine de Pensions (CMR) This is the situation of the latter, for civil servants, which is most alarming. Its failure is expected in 2020 if nothing is done to save the ship.
How did this happen? Mohamed Hakech there will mince words: "it is the State who is responsible. From 1956 to 1990, WRC was completely under the Ministry of Finance, one service among many others. The state does not pay its share of contributions, accumulating arrears of hundreds of millions of dirhams, part of which was settled and another is still pending. "
CNSS, reserved for employees of private suffering, but to a lesser extent, the same problems. Its capital base is not stable. For years, this fund was the victim of bad managers, causing the loss of 115 billion dirhams. The case is in court.
Unions united but for how long?
Currently, unions do not go on the same row are dispersed and united. The five power plants that have representatives on the commission, UMT (Moroccan Union of Labour), FDT (Democratic Federation of Labour), UGTM (General Workers Union of Morocco), UNTM (National Union of Labour in Morocco), and CDT (Democratic Confederation of Labour), according to Mohamed Hakech, are on the same wavelength.
Until when, knowing the relationship between the directions of these unions and political parties and state? Proximity, or even an addiction, which has serious internal problems which are entangled in the unions, making them vulnerable and unable to stand up to the government on the issue of pension reform.

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