Majority votes for a '13th month' payment to address a cost of living crisis, but the government says it could not afford it.
  • MoonJellyfish@lemmy.todayEnglish
    6·
    9 months ago

    The title and the image make me feel like aging population voted so younger people pay more for the pensions.

    • Raikin@feddit.deEnglish
      5·
      9 months ago

      This did happen, but primarily due to propaganda of the right wing which tried to portray this as an old vs young conflict, when actually it’s a poor vs rich conflict.

      Tax might rise a little bit for working people due to this, but as the rent that was expanded here (AHV) is a great distribution tool, around 90% of the population will later get more money back in rent than they’re paying into it now.

      Also, the method to finance this is not yet set. Some centrist politicians are open to financing this by raising a tax on finance market transactions, which would probably be the most social. (And of course lefties like me would love to finance this with an inheritance tax, but that has almost no chance)

      • MoonJellyfish@lemmy.todayEnglish
        1·
        9 months ago

        Yeah, it’s very rare for more funds being obtained from taxing richer part of population. A quick google search gave this opinion of Swiss finance minister:

        Finance Minister Karin Keller-Sutter has said that since Switzerland is already running a budget deficit, the approval will likely require an increase of value-added tax.

        • Raikin@feddit.deEnglish
          01·
          9 months ago

          Yeah, demons like KKS would never consider publically to finance this in a social and fair manner.

        • tryptaminev 🇵🇸 🇺🇦 🇪🇺@feddit.deEnglish
          5·
          9 months ago

          Switzerland is also the last european country to have granted women the right to vote on the federal level in 1971 with the last state to grant women’s voting rights in 1990. At the same time Switzerland already had the best or second best HDI in the world.

          The metric is entirely unrelated to democratic values, political culture or political education.

  • moitoi@feddit.deEnglish
    6·
    9 months ago

    The title is misleading. Switzerland pension system is complex and divided by redistribution and capitalization.

    The vote of today concerns the pension by redistribution – the first pillar. Employers and employees are contributing for this part of the system as a percentage of the salary. The maximal pension is 2500 Swiss francs (2’829 USD). People will receive a rise equivalent to 1/12 of the yearly pension.

    The pension by capitalization – second pillar – follow the same system, with employers and employees contributing for it. But, it is not concern by the vote.

    First and second pillar are mandatory by law. In Switzerland, you have a third pillar, which isn’t mandatory. It’s mostly investment, like life insurance.

  • OpenStars@startrek.websiteEnglish
    0·
    9 months ago

    As someone from the USA, I am curious how would this work? The bill mandates that payments go out, but if it is not tied to a specific source of income to compensate, and some hard year happens (maybe this upcoming one) and there are insufficient funds, what happens then?

    • moitoi@feddit.deEnglish
      1·
      9 months ago

      Actually, the pension by redistribution – which is concern by the vote – has $56.57 billions in reserve. This money doesn’t sleep. Switzerland is using it has an investment found.

      But, the Confederation has already thought about how to finance. There are two main propositions. The first is employers will have to contribute more. The second is that employers and employees will contribute as well as a higher VAT.