Contribution to the panel discussion by

OCTAVIO GRANADO, SECRETARY OF STATE FOR SOCIAL

SECURITY OF SPAIN

CONFERENCE “ASSURING ADEQUATE PENSIONS AND SOCIAL BENEFITS FOR ALL EUROPEAN CITIZENS”

Liège, September 6-7, Belgium

PENSIONS SYSTEM REFORMS

1985Increased

period taken for

calculation of retirement pension: 2 to 8 years

1990

Introduction of non-

contributive pensions

1994

Changes in

temporal incapacity legislation

.

1997increased period

taken for calculation of

retirement pension:

8 to 15 years. changes in

correspondence between years of contribution and calculation base2002

law on flexible

and gradual

retirement age

2006

Changes in temporary incapacity legislation

2008Restrictions on

early retirements

Changes in permanent

incapacity and survival pensions

legislation

restrictions on early

retirements

changes in permanente

incapacity and survival pension

legislation

2010Recommendations by the “Toledo

Pact parliamentary Commission”

before the end of the year

SOCIAL SECURITY RESERVE FUND

JULY 2010

MILLIONS EUROS

62.958

6.16

9 12.025 19

.330 27

.185

35.879

45.716

57.223

60.022

62.958

AVERAGE EXIT FROM THE LABOUR MARKET

2001 2008

2001-2008

52 54 56 58 60 62 64 66

EU

DE

AT

DK

ES

FR

GR

NL

IE

IT

PL

PT

UK

AT RISK OF POVERTY RATE (TOTAL POPULATION OVER 65)

Including housing ownership as imputed rent

SOURCE: STADISTICAL NATIONAL INSTITUTE

15,414,9

15,2

15,5 15,5

16,9 16,8

15,6

14,113,7

10

15

20

2005 2006 2007 2008 2009 (provisional)

Total population 65 +

RECENT INCREASES ON MINIMUM AND BASIC RETIREMEONT PENSIONS IN SEVERAL EU MEMBER STATES

SOURCE. SOCIAL SECURITY ADMINISTRATION: OWN ELABORATION

AT

BE

DK

IT

LU

SW

NL

PT

PL

FR

UK

ES

EVOLUCION OF LIVE EXPECTANCY AT 65 (2008-2060)(REFERENCE YEAR 2008)

INCREASE FROM 2008-2060

LIFE EXPECTANCY AT 65 (2008)

0

5

10

15

20

25

EU DE AT DK ES FR GR NL IE IT PL PTl UK

0

10

20

30

40

50

60

70

80

90

100

DEPENDENCY RATIO

Source NATIONAL STADISTICAL OFFICE. POPULATION LONG TERM PROYECTIONS

24,6

1

29,4

7

37,1

6 49,2

9 60,6

2009 20192029 2039 2049

Over 64

23,2

25,7

5

24,2

4

25,4

8

29,0

7

Under 16

2009 20192029 2039 2049

Total (Under 16 and over 64)

47,8

1

55,2

2

61,4

74,7

7

89,6

6

2009 20192029 2039 2049

INCREASE OF THE NUMBER OF PENSIONS (Millions)

Source : SOCIAL SECURITY ADMINISTRATION

2010: “GOVERNMENT PROPOSAL TO THE “TOLEDO PACT PARLIAMENTARY COMMISSION”: MAIN FOCUS

Increased additionally effective retirement age, acting on early retirement and on statutory retirement age.

 Better consideration of the contributive effort throughout working life In the calculation of retirement pension

 Favouring greater flexibility in personal decisions regarding retirement, including through the development of complementary social prevision