April 2024

Mexican lawmakers approve new pension fund backed by president

Mexico's Senate approved the creation of a new pension fund on Thursday aimed at boosting payouts to the lowest-earning recipients. The creation of the fund, which is part of a pension reform proposed by outgoing President Andres Manuel Lopez Obrador, won the support of 70 senators, with 43 against and two abstentions, after a heated debate that went into the evening. The reform aims to ensure that pensioners receive 100% of their last monthly salary up to about 16,777 Mexican pesos...

Mexico president eyes fresh pension fund ahead of election

Mexican President Andres Manuel Lopez Obrador said on Tuesday he hopes to present a new fund aimed at boosting the lower pensions in the system on May 1, a month ahead of presidential elections. The creation of the fund, which is part of a pension reform proposed by the president in February, was approved on Monday by the country's lower house. It now needs to be passed by the Senate. "I hope that on May 1, Labor Day, we can present...

Latent Cumulative Disadvantage: US Immigrants’ Reversed Economic Assimilation in Later Life

By Leafia Z Ye One of the most salient findings in research on immigration has been that immigrants experience substantial economic mobility as they accumulate more years in the host-society labor force and eventually approach earnings parity with their native-born counterparts. However, we do not know whether this progress is sustained in retirement. In this paper, I develop a framework of Latent Cumulative (Dis)advantage and hypothesize that even as immigrants are approaching parity with the native-born in terms of current...

Immigrant Workers Save Aging Economies But Face Financial Struggles In Their Senior Years

Immigrants support the economy of aging societies in many ways. They pay into social pension programs, which finance the lives of retirees. Many of them work in the care industry and directly serve older people, which reduces nursing home needs on a community level. Immigrants themselves also benefit economically from moving to a new country. At every education level, they typically enter the labor market with lower wages than native-born citizens do, but eventually catch up over time. However, my recent study has revealed that things look...

Rwanda. Retirees’ body appeals for matching pension with cost of living

Pension should be matched with the cost of living to address situations such as when retirees’ welfare deteriorates due to increases in prices at the market, and franc depreciation, the president of Rwanda Pensioners’ Association, Dorothée Uwimana, told The New Times on April 1. She was referring to the fact that some retirees get as low as Rwf20,000 in pension benefits – with Rwf13,000 as the smallest pension – per month, which she said was too little to help...

March 2024

UK pensions failing to keep up with cost-of-living

UK pensions are failing to keep up pace with the increasing cost-of-living, as pensioners are left with just £74 after buying essentials, research from Almond Finance has shown. The research looked at the current state pension in comparison to the average cost of living in the UK and compared this across Europe to establish which country offers the most to retirees. The UK finished 17th in the Pension Breakeven Index, a fall of one place compared to the previous year’s report...

Turkish pensioners have become the poorest in Europe

Pensioners in Turkey rank last in the world in terms of income. In terms of quality of life, only India is ahead of them, writes the Turkish publication Sözcü. As the publication notes, since 2018, Turkey has been steadily declining in the world ranking, the so-called "League of pensioners". The League rating covers 44 countries. Moreover, the average pension in Turkey is called such that it is practically impossible to live on, that is, Turkish pensioners lag behind many other...

February 2024

US. People want pension plans, worry about retirement security – NIRS

National anxiety about retirement security continues to grow, and the vast majority of Americas believe all workers should have a pension plan, according to a new report from the National Institute for Retirement Security. According to the report, 79% of respondents to a national public opinion poll of working-age Americans believe that the nation faces a retirement crisis, up from 67% that expressed that sentiment in 2020, the last time NIRS conducted such a poll. Also, 83% of respondents said they...

UK. Pension transfers leaving savers at risk of being worse off in retirement

Retirees could be left more than £70,000 worse off in their retirement due to a lack of awareness around fees and charges when transferring their pension, research from People’s Partnership finds. The research, conducted by the provider of The People's Pension, which provides the pension to 6.5 million people across the UK, surveyed 1,000 defined contribution (DC) members aged between 18 and 65 who had consolidated a DC pension in the last two years, without the assistance of a financial adviser....

Zimbabwe’s Pension Crisis: Legislators Slam Government Amid Soaring Cost of Living

In Zimbabwe, a growing crisis is unfolding as retirees face the harsh reality of inadequate pension payouts in the face of soaring living costs. This pressing issue has drawn sharp criticism from legislators, who argue that the government's response has been insufficient and tardy. At the heart of the controversy is the stark disparity between the monthly pension amount and the actual cost of living, leaving many pensioners struggling to meet basic needs. The Plight of Pensioners Amidst Zimbabwe's economic fluctuations,...