“The main basic schemes are in a difficult financial situation marked overall by the size of their implicit debts and the depletion of their reserves over various time horizons.” This was one of the main conclusions of the Systemic Risk Coordination and Monitoring Committee, which recently held its sixteenth meeting.
The solution would come from systemic reform, which should make it possible to introduce balanced pricing, but also to absorb, to a significant extent, past uncovered commitments, and thus to restore financial balances in the future. This reform will require sacrifices to ensure the sustainability of the system. Nonetheless, already, Miloudi Mokharek, Secretary General of UMT (Moroccan Labor Union), warns that his union opposes “any increase in contributions, lower pensions, and the obligation to retire at 65. The postponement of the retirement age should remain optional”. For Miloudi Mokharek, it is important to preserve the purchasing power of future retirees while the problem faced by some funds is more related to their governance and to the investment policy relating to reserves. So far, three meetings have been held by the trade unions, the employers’ association CGEM, the pension funds, and the firm commissioned by the ministry of Finance to study pension schemes. If the diagnosis is accepted, the proposed reform scenarios do generate some fears. In any case, trade unionists do not hide their fears about the cap on pensions, the contribution base, and other issues. “The proposed options include the rapid transition to two clusters, both public and private, with a first mandatory level capped at twice the minimum wage, a compulsory supplementary insurance, and a third pillar that would be optional”, says a senior union official, adding that “the use of a point-based system would give visibility to the system but penalize taxpayers”. The overall scheme adopted several years ago remains the establishment of two clusters, both public and private, one basic scheme, and supplementary schemes. Such a scheme would require the unification of calculation methods and rules to ensure convergence, reduce disparities, and provide fair remuneration in relation to the contributions paid. For the time being, the social partners are waiting for the meeting scheduled for January to unveil their position.
“The government is expected to decline its proposals in January. That’s when the serious stuff will start”, says one trade unionist. Politically, the subject remains very sensitive, especially in this difficult situation. The subject also remains highly technical and engages not only current assets but also future generations…
Khadija MASMOUDI
