In December 2023, the average assets of new retirees without a moratorium were $311,622 while those with a moratorium had an average of $160,397, according to ASAP (Argentine Budget Association). This suggests that retirees with a moratorium made up 85.2% of the total, while those without a moratorium represented only 14.8%. This indicates that the majority of new retirees were able to retire through the moratorium.
The new megabill proposed in Congress aims to repeal Law 27,705, which was approved in March 2023 and provides for a pension moratorium for those who have not contributed enough to the retirement system. If this bill is passed, it would leave only the option to access the Universal Benefit for the Elderly (PUAM) at the age of 65 for those in social vulnerability. However, this would not address the root cause of the retirement and pension system crisis in Argentina: high levels of labor informality covering 40% of the workforce. Employers and the state are failing to ensure labor registration, making it difficult for workers to access their rightful pensions.
In April 2023, PUAM value was $207,026 with no widow’s pension included. This highlights how urgent it is to reform the system and address its challenges faced by retirees and pensioners in Argentina.
