José Luis Escrivá / sur

Higher Social Security contributions and bigger pensions in store for the highest-paid workers under reform plan

José Luis Escrivá said this would be done gradually, over maybe 30 years, so it would not have a significant impact on company costs

LUCÍA PALACIOS Madrid

Spain has agreed with Brussels that it will finalise its ongoing pension reform plans by the end of this year and the Minister for Social Security, José Luis Escrivá, has just revealed one of two major measures that he wants to implement in this second phase: he wants to ‘un-cap’ the maximum Social Security payments for the highest-paid workers and the maximum state pension they will receive, but gradually, over about 30 years.

Speaking this Monday morning at an event organised by Fundación Seres, Escrivá said this would be done very gently so it would not have a significant cost to companies, and insisted that it would be of benefit to workers but would have a neutral effect on the Social Security system because although more money would be received at an earlier date, retirement pensions would be bigger.