On Thursday morning, the President of the Republic, Carlos Alvarado, sat down in front of the magistrates that make up the Constitutional Chamber to explain the need to “put an end to luxury pensions,” after the majority of the Full Court opposed the tax reform touching their salaries.
The following are some of the phrases that Alvarado said before the magistrates:
Today I come here with a single purpose: to advocate for the end of luxury pensions in Costa Rica. I do it backed by legal, financial, technical and ethical reasons. I do it on behalf of millions of Costa Ricans.”
It is the duty of the State to safeguard a fair and equitable social security system (…) capable of offering quality of life to the entire retired population and not only to some of them.”
The sustainability of this system (of pensions) is achieved, to a large extent, by eliminating disproportionate benefits and allocations, where we all contribute according to our true possibilities.”
In a social security regime with limited resources such as ours, it is imperative to guarantee a decent income for everyone. The pension seeks to ensure a dignified life for the elderly, not an increased wealth for some to the detriment of the majority.”
Pensions that have been capped based on the rules whose constitutionality we defend will continue to increase, not unreasonably and disproportionately, but adjusted to the cost of living.”
It will apply the reduction of an odious breach that is ethically unsustainable and economically ruinous. The decision made in this regard by this honorable Chamber will directly affect said superior values.”
What is at stake here is also the confidence of the Costa Rican citizens in their institutions, because this is a subject that has generated widespread annoyance in our own institutionality.”