Pension reform to follow PEC 55, but Brazil’s government faces public wrath

Temer government targets pension reforms

With amendment PEC 55 having been signed into the constitution, the government is targeting the pension system. Calling the spending cap decision “unprecedented,” President Michel Temer informed that the reform of Brazil’s generous pension system is next on his government’s agenda. In its present state, the country’s pension system allows people in certain professions to retire as early as in their late 40s, thus putting an immense burden on government finances. Temer admitted that reforming of the pension system would be unpopular as well.

Speaking of being unpopular

A poll conducted by the Folha de S.Paulo newspaper on December 13 had showed that 60% of Brazilians are against the amendment. The survey also showed that younger, well-educated, and those on the lower end of the wage ladder are vehemently opposed to the spending cap while the wealthy are generally supportive.

Another survey by the same newspaper showed that 51% of those surveyed rated the present administration as bad/terrible. This was a significant rise from 31% voting for the category in July. The poll also showed that 63% of the respondents wanted Temer to step down.

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This unpopularity has increased in light of accusations that Temer sought donations from a construction company which has been found to be involved in the mega corruption scandal at Petrobras (PBR).

Opposition’s viewpoint

The leftist opposition has attacked the center-rightist Temer administration for the PEC 55 amendment. According to them, this modification will be hurtful to underfunded avenues like health and education. Social programs would take a hit, thus widening the divide between the haves and have-nots. Given the wealth distribution in Brazil is already among the worst globally, they say that this alteration will make things worse.

The Brazilian people have been up in arms against the decision, with protests having tuned violent across the nation. Even the United Nations is opposed to the move. Let’s look at their views in the next article.

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