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Ciro Gomes and the Brazilian Social Security

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Social Security is universal insurance

The social security is a public collective insurance whose function is to finance and to divide among all contributing workers amounts that can help the individual in situations that incapacitate him to work (such as illnesses, advanced age group, momentary unemployment, etc.), making society safer and more productive. It guarantees a subsistence income to those who are entitled to it by protecting the social fabric. Despite the federal budget villain, it currently consumes about 18% of it (R $ 1 billion) in Brazil.

The situation of Welfare today

The Brazilian demography has changed drastically since foresight was conceived and implemented by the Vargas Government (through the IAPS). Our age pyramid was comprised of a very broad base of young people and a very narrow top of the elderly. At that time, the ratio was one retired worker to every 6 active worker. Today, however, it is estimated that this proportion is in 1 active workers for each retired worker - therefore this proportion has been falling due to the proportional decrease of young people in relation to the elderly in the population. living more and less young people entering the labor market as contributing workers.

Moreover, as social security is organized today, 2% of the beneficiaries of the system consume a third of the resources. These 2% make up a privileged caste, in which they are basically former members of the judiciary and former high-ranking civil servants who accumulate pensions. At the same time, unemployment and informality make the situation of the social security system much worse, as in the last two years the precariousness of employment has reduced the number of contributing workers. With unrestricted outsourcing and labor reform, this situation tends to degrade more rapidly in the coming years.

Is there a deficit in Social Security?

Despite this really worrying scenario, the sources provided in the legislation to fund social security still cover their expenses. This is because, over the years, numerous additions and supplements have been made that have ensured the sustainability of the social security system. The alleged deficit that the current federal government claims to exist in social security is caused only by a budgeting device known as the Federal Income Unbundling (DRU), which allows the government to freely use 20% of all federal taxes for "other expenses" , that is, to pass on to other areas the amounts that should be going to social security. With that, what you see is that pension money is being used to pay interest on public debt. Its supposed deficit of 80 billion is caused by what has been diverted to other purposes. This does not mean that the future problem with respect to social security does not exist, but it indicates that the present problem is, once again, the highest real interest rate in the world practiced in Brazil.

Pension reform yes, but which?

Brazil needs to solve the long-term welfare problem, in order to adapt it to the transformations we will experience in the Brazilian demographic profile. However, this is not an immediate budgetary problem, as the population has been deceived. We can not eliminate rights to guarantee more resources to pay interest. A legitimate reform should be conducted with time for discussion by society and a legitimate government.
Fair and effective reform would have to respect the following principles:

  1. Elimination of the privileges of retirees of the legislature and judiciary;
  2. Maintaining a reduced contribution time for women, since the overall workload of women (domestic work + out-of-work) is still on average higher than that of men: 57 weekly hours against 53;
  3. Guarantee legal instruments, according to the special characteristics of some professions, for the differentiation of the minimum age for retirement, as well as for the contribution time needed to grant the full benefit. This differentiation can not follow subjective arguments, but goals about the preparation time in each professional category and life expectancy. Exhausting professions (such as mining or rural work) or high risk (such as police) associated with a shorter life expectancy should be balanced with a lower minimum age for retirement. In addition, professions that require a long period of preparation for their exercise, such as that of the higher magisterium, can not require the same time of contribution to achieve the integral benefit.

(*) National Household Sample Survey (PNAD) of 2009

Cyrus and the Social Security

Ciro Gomes is in a comfortable position to criticize the current structure of social security, as he renounced three pensions to which he was entitled (as Federal Deputy, as Governor and Mayor) by the current legislation. According to current social security rules, Ciro could already be retired at the age of thirty-six, when he left the Government of Ceará to take over the Ministry of Finance. However, he refused the right to consider him immoral in the face of the reality lived by the population as a whole. These types of privileges, while not enough to heal our future problems, should be the focus of reform.

Ciro has stated that it is unfair to universalize retirement around a minimum age of 65 years, given that the life expectancy of certain regions of the country is 62 years (as in the case of Maranhão). It is a political leadership that has the moral knowledge and authority to mediate discussions about another reform or to help repair the injustices that may be practiced by this illegitimate reform.


Policy of Ciro Gomes

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At 0 years old. And re-elected on 1986.


Governor of Ceará

Won UN award for reducing child mortality.



Mayor of Fortaleza

And was considered best mayor of Brazil.


Minister of Finance of Itamar Franco

Helped in the Real Plan. One of the lowest inflation in history.

The first candidacy for the Presidency

Number of Votes: 7.426.190 - 10,97


Minister of National Integration of Lula

Responsible for the transposition of the São Francisco River.


Secretary of Health of Ceará

He was then Director of Transnordestina S / A.


The second candidacy for the Presidency

Number of Votes: 10.170.882 - 11,97


Deputy Federal Ceará

With the highest proportional votes in the history of Brazil.



Why am I with Ciro?


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