Delay retirement at age 74, "necessary" to restore the Spanish distribution system, according to IESE

It also recommends halving pensions

Oct. 19 () –

Halving pensions, doubling contributions and delaying retirement at age 74 are “necessary” actions to restore the Spanish pay-as-you-go system, according to IESE economics professor Javier Díaz-Giménez, during the presentation of the Cobas AM Chair on savings and pensions.

The economist stressed during his speech that the Spanish pension system has a series of problems, such as the generosity of pensions compared to contributions or that the intergenerational pension pact is not credible, among others.

Among the possible solutions, Díaz-Giménez has highlighted the increase in savings for retirement by citizens.

The economist spoke on the matter in the presentation of the Cobas AM Chair on savings and pensions, launched by the manager and by IESE and of which he himself will be the holder.

The chair has the objectives of disseminating complementary social security, generating knowledge about the limitations of the public system and developing calculation tools that allow estimating the necessary savings based on particular needs, among others.

“As I understand it, it is to go from a distribution system to a mixed system, in which, within a minimum guaranteed by the State, the complement has to be worked on personally. It is a combination of the two things. leave”, highlighted the president and CEO of Cobas AM, Francisco García Paramés.