Congress urges elimination of early retirement penalty with 40 years of contributions

Voluntary or forced retirement due to dismissal, but penalties can significantly affect the future pension. To alleviate this situation in cases where the worker accrues long periods of contributions, the House of Representatives approved A proposal at the request of Podemos includes a historic request from the Association of Retirees Answer me 40 To amend existing regulations, which apply Reducing transactions To those who have advanced to retirement age, either voluntarily or by dismissal and who have accumulated more than 40 years of contributions. This is the situation in which 900,000 pensioners find themselves, according to the BBVA Pensions Institute.

The purple formation proposal derives from a previous questioning of the Minister of Inclusion, Social Security and Immigration, Elma Saezwhere the executive was criticized for maintaining a system that punished those who developed Career paths long. In this case, the response from the department head was negative; He pointed out that there is already a supplement intended for those who took early retirement between January 2002 and December 2021 with contributions of at least 40 years and salaries of less than 900 euros as of January 1, 2022.

But the purple formation proposal was supported by A Parliamentary bracket majority. The PSOE itself, Sumar, ERC, Junts, Bildu, PNV, BNG, Canarian Coalition, UPN and Comromís voted for it. The Popular Party and Vox abstained from voting. Majority political support could, with many possibilities, take the initiative to the Toledo Charter for discussion. Discussion on the bill is also still pending in the House of Representatives on this issue.

Currently, in the case of early retirement, Social Security applies Reducing transactions The pension amount varies according to the number of months provided – a maximum of 24 months in the case of voluntary early retirement and 48 months in the case of involuntary early retirement – and the accumulated contribution period.

Withdrawal progress

For those who have contributed for more than 40 years, the maximum factor applicable in the case of voluntary early retirement, if retirement is 24 months in advance, is 19% if the affected person is over 38.5 years old and under 41.5 years old; 17% if you have more than 41.5 years of contributions and less than 44.5 years, and 13% if you have more than 44 years and 6 monthss of quotation.

In the case of voluntary early retirement, for those whose theoretical pension, after applying reduction factors, exceeds the maximum pension amount, a transition period until 2033 with reduction factors on the pension amount is applied. Maximum pensionThis depends on the year of reaching retirement and the accumulated contribution period, as long as the reduction in salaries resulting from the application of these transactions is absorbed by re-evaluating the maximum pension.