A US$23bil pension vote is overshadowing Uruguay election


Uruguay could join others in Latin America that have jettisoned or pared back pension systems based on individual savings accounts. — Bloomberg

IN Latin America’s haven for the rich, Uruguayans are about to decide whether to overhaul their social security system in a controversial US$23bil proposal that’s overshadowing the upcoming presidential election.

Voters will also select new legislators when they head to the polls Oct 27, but it’s the push to enshrine major pension changes in the constitution that has captured the attention of everyday citizens and international markets. If approved by a majority, the measure would increase minimum payouts, lower the retirement age and transfer privately managed savings to a government-run trust.

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