The province of Córdoba has pushed ahead with a comprehensive reform of its pension system Retirement Equity Law No. 11,087an initiative aimed at correcting structural imbalances in the pension fund, improving the fairness of the system and maintaining the purchasing power of pensioners and active workers without reducing salaries.
The state government has recognized that the fund is responsible a historical deficitarose in previous governments and was deepened by the Debts that the nation state owes to Córdoba. “The structural problem has existed for many, many years. Part of this deficit is being solved through the great effort of all the people of Córdoba in paying their taxes. That is why we continue to appeal to the Supreme Court of the Nation,” said Martin Llaryora in the recorded message to the people of Córdoba.
Within this framework, the central objective of the reform is to maintain a provincial pension system that provides guarantees Income higher than that of the national regimewith priority given to those earning the least. The governor was forceful in his speech: “With a criterion of distributive justice to address part of this deficit and thus ensure that pensioners in the provinces have a better income than pensioners at the national level. It cannot always be that all Cordovans maintain the support of the pension fund.”
The law introduces changes to the solidarity contribution provided for in Article 58, with a new scale that increases the minimum floor from US$1,260,000 to US$1,890,000. From this modification, 9,856 benefit recipients stop paying the solidarity contributionwhile those who continue to be achieved will do so under a progressive tariff system ranging from 5% to 20% depending on income levels: 5% for assets between $1,890,000 and $2,100,000; 10% between $2,100,000 and $2,520,000; 15% between $2,520,000 and $2,940,000; and 20% for those earning more than $2,940,000.
Abolition of FOCCA and new contribution system
The law provides for the key measures Abolition of the Solidarity Coverage and Financing Fund (FOCCA) and replaces the fixed contribution of active employees of 4% with a progressive scale of personal contributionswhich is between 2% and 8% depending on income level.
The new system provides for the following:
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*Up to $755,000: 2% contribution.
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* Between $755,000 and $1,000,000: 3% contribution.
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* Between $1,000,000 and $2,500,000: 4% contribution.
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*Between $2,500,000 and $3,500,000: 6% contribution.
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* More than $3,500,000: 8% contribution.
With this change, 74% of active workers will see no changes in their contributionsa share that rises to 87% in teachingwhich strengthens the criterion of progressivity and tax fairness.
Monthly guarantee supplement of 82%
The regulations ratify the so-called “hard core” of the Córdoba pension system and establish the payment of a free monthly supplement Guarantee income of up to 82% of gross assets.
This advantage is enough 52,438 pensioners and pensioners who receive salaries of up to $1,300,000 and belong to various sectors such as education, healthcare, security forces, municipalities and municipalities.
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Changes to the solidarity contribution
Another central point of the reform is the change Article 58 of Law 8.024whereby the solidarity contribution is redefined. The minimum threshold for starting tax payment is increased from $1,260,000 to $1,890,000what that implies 9,856 beneficiaries will stop paying this contribution.
The new aliquot scale is set as follows:
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* Between $1,890,000 and $2,100,000: 5%.
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* Between $2,100,000 and $2,520,000: 10%.
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* Between $2,520,000 and $2,940,000: 15%.
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* More than $2,940,000: 20%.
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Guarantee of no reduction in salaries
This was assured by the provincial government The application of the new tariffs will not entail any salary cutsneither for assets nor for liabilities, in relation to the amounts received in November 2025. For this purpose a Compensation scheme due to future increaseswhich allows any shocks to be absorbed.
With this reform, the government of Córdoba aims to transition to a pension system fairer, more sustainable and more supportivein a complex economic context that relies on consensus, structural corrections and a more equitable distribution of efforts. If you want, I can adjust it by one more point. policyone more point Technology or take it with you directly Web cover format + exploded view.
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