Helen Joyce

speaker
181 appearances 6 recordings 1 series first heard Dec 2012 last heard Jan 2015

Helen Joyce’s voice in public audio — every appearance, attributed to the second.

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So that means that now Brazilians...
live about 20 years in their retirement on average.
You can imagine how much their pension system cost.
So the system I'm talking about, it's for private sector workers, but it's actually run by the government.
You pay in, it's compulsory, it's pay as you go, so it's current pensioners who are
living off your contributions.
And the hope is that in the future, you're going to live off other workers' contributions.
There's a similar system for public sector workers.
But the point is, these are all run by the government and backed by the government.
I looked into the numbers.
The only country, the only big country in the world that spends more on pensions than Brazil is Italy.
And Italy is well known to be having a pensions crisis.
So that has two big implications.
One of them is current.
It means that all other sorts of government spending are starved and it's children who lose out in Brazil.
The second implication is for the future.
Every year Brazil is spending more on pensions.
And calculations suggest that if they were to keep the current system by about 2050, workers will be having to put nearly their entire salaries into pensions.
Not their pensions, mind you.
It's a pay-as-you-go system, other people's pensions.
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