Good morning! The pension reform has finally been approved by a Special House Committee. Former Rio governor confirms bribes to host the 2016 Olympics. A new bank to open in Brazil. More leaks undermine Justice Minister Sergio Moro’s endurance. And more.
Pension reform moves forward: key points
After 16 hours, the House’s Special Committee on the pension reform approved the bill by a wide 36-13 margin—showing the effectiveness of Speaker Rodrigo Maia’s vote-whipping strategy. Despite heavy lobbying from organized groups—and even the president—to water down the reform, its core was preserved, even if some changes catering to rural producers reduced savings to just below the psychological BRL 1 trillion mark.
The minimum retirement age was set at 65 for men and 62 for women (teachers have special treatment, being allowed to retire 5 years younger). The minimum time of work for private workers is 20 years for men and 25 for women—for civil servants, it’s 25 years for both. Those who enter the job market will now be automatically included in the new pension system—current workers will have four transition paths, combining remaining time of work and age.
But while the report was a major win for the administration, President...