Pensions and pensions will not increase by 27% in April, as anticipated by the Minister of the Interior Guillermo Francos and the Minister of Economy Luis Caputo and communicated last Friday by the Executive but 12.5%. And it will be so because the adjustment for inflation in the previous two months was correct It will be applied in July.
This is what emerges from DNU n. 2024, which also extends the validity of Alberto Fernández’s current mobility formula by one month (from June to July). And not only does it not include the 70 thousand dollar bonus in the 12.5% increase but rather reduces it because the bonus that retirees and retirees must collect in April is reduced because it remains under the same overall income cap of $204,445 as of March.
The DNU establishes that the much criticized mobility formula will remain until June. (Article 4) which states that “for the purposes of the transition, for the determination of the mobility corresponding to the month of June 2024, the formula in force on the date of issue of this document will be applicable”. And until then there will be increases on advances that would be granted in April (12.5%) and decided in May and June. Only in July will the new formula be applied according to May inflation and then in the following months according to the evolution of inflation compared to 2 months ago.
“In July 2024 you will pay the change in the consumer price index corresponding to May 2024. In August you will pay the change corresponding to June and so on,” says the DNU.
“The 12.5% is a consolation bonus, a hedge, the ratification that salaries continue to be paid to ensure that the April, May and June readjustments continue to be “paid” by pensioners. It is being explored whether it could be even more “the humanitarian crisis in which pensioners and pensioners are immersed”, Eugenio Semino, defender of the elderly, told Clarín.
At the moment, The minimum asset is $134,445. Plus 12.5% in April it will go to 150,578 dollars but the bonus of 70,000 dollars will be lower because the ceiling of 204,445 dollars is maintained, the same as in March, as established by decree no. 268/2024 published last Thursday in the Official Journal Gazzetta. This decree stated that the bonus would be applied to retirements up to $204,445 per month.
Therefore, those who earn the minimum salary, which would be equal to $150,578, would receive the bonus, but no longer $70,000 like the current month, but up to $53,867, which is the amount needed to complete the $204,445.
Of the 7.4 million pensioners and pensioners, more than 5 million receive the minimum wage.
Article 5 of the DNU establishes that the increases in the months of April and May will be due to the mobility to be paid in June 2024 according to the index that will be obtained according to the current mobility formula. And in the event that these advance increases exceed those of the mobility formula, «the difference will not be deducted, which will be considered incorporated into the credit. If they are less than this increase, the resulting difference will be paid.
The rest of the retirements (without bonus) will receive the 12.5% increase.
SN
Source: Clarin
