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BPC: from security advances to the risk of social security reform
Luciana de Barros Jaccoud1, Ana Cleusa Serra Mesquita1, Andrea Barreto de Paiva1
1Diretoria de Estudos e Políticas Sociais, Instituto de Pesquisa Econômica Aplicada. SBS Ed. BNDES/16°, Asa Sul. 70076900 Brasília DF Brasil. luciana.jaccoud@ipea.gov.br.
Abstract:
This paper analyzes the proposed changes in the Continuous Cash Benefit (BPC) discussed within the Social Security Reform, both with regard to the Federal Government's original proposal in 2016 and the proposal by the rapporteur's project submitted to Congress in 2017. The proposed changes focus on two aspects: increased minimum age of access and unlinking the BPC amount from the minimum wage amount. The document discusses the justifications for the BPC reform, regarding both disincentives to social security contributions and demographic changes, as well as estimated possible impacts of proposed changes. The study concludes that measures, if approved, tend to reduce coverage and increase income vulnerability of the elderly and the disabled in the country.
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