Direct Request (CEACR) - adopted 2014, published 104th ILC session (2015)

Observation (CEACR) - adopted 2012, published 102nd ILC session (2013)

Observation (CEACR) - adopted 2011, published 101st ILC session (2012)

Observation (CEACR) - adopted 2009, published 99th ILC session (2010)

Reform of the pension system. Noting the forthcoming adoption of a new Pensions Act, the Committee would be grateful if the Government would indicate in its next report how the new legislation gives effect to Convention No. 128 taking due note of the application problems raised by the Committee in its observation under Convention No. 102 as well as in its previous comments under Convention No. 128.

Observation (CEACR) - adopted 2007, published 97th ILC session (2008)

The Committee notes the report supplied by the Government. It also observes that the ILO Subregional Office for Andean countries is currently carrying out a diagnosis of the Bolivian social security system in the framework of the Decent Work Country Programme (project BOL/06/50M/NET). This diagnosis is being submitted to tripartite consultations and could serve as a basis for an overall reform of the Bolivian social security system. With reference to the numerous questions raised in its previous comments, the Committee hopes that, with the technical assistance of the ILO, the Government will be able to make progress in finding solutions to the previously identified problems of application. It will therefore undertake an in-depth analysis of the detailed information supplied by the Government at its next session, together with the relevant information from the above diagnosis, once it is adopted.

Observation (CEACR) - adopted 2003, published 92nd ILC session (2004)

The Committee notes that the Government’s report has not been received. It must therefore repeat its previous observation which read as follows:

In its previous comments, the Committee examined the provisions of Act No. 1732 of 29 November 1996 and its implementing regulations (Supreme Decree No. 24469 of 1997) (hereinafter "the Regulations"). This legislation establishes a system based on individual funding through the insured person’s accumulated capital managed by private bodies (Administradoras de Pensiones- AFP), which replaces the former system of pensions based on a pay-as-you-go system and administered by a public body, the Bolivian Social Security Institute. The Committee also noted the observations made by the Bolivian Central of Workers (COB). In view of the fundamental changes introduced by the new system (Seguro Social Obligatorio de Largo Plazo), and in the absence of a report from the Government, the Committee had urged the Government to provide a detailed report permitting it to determine whether the new pensions system continued to give effect to the Convention.

In its report, the Government provides certain information on the contents of the new system for the management of pension funds and states that it has recently started to manage funds but has not yet granted benefits. It adds that the statistics contained in its report on the level of benefits relate to those paid by the former pensions system. The Committee notes this statement. However, it recalls that the new pensions system entered into force on 1 May 1997 and that it should normally have begun providing benefits in view of the qualifying periods established by Act No. 1732 of 1996 and its Regulations. Indeed, under this legislation, the persons covered by the legislation, or the breadwinner for dependants of the first rank, are entitled to invalidity and survivors’ benefit in the event of the contingency where they have, firstly, made 16 monthly contributions to the new pension system or the former pay-as-you-go system and, secondly, paid at least 18 monthly contributions over the past 36 months for common risks coverage (see sections 8, 9, 14 and 15 of the Act and section 2 of the Regulations). Special provisions also exist for persons who do not fulfil the above contribution requirement.

With regard more particularly to old-age benefit, the Committee also notes, from the information provided by the Government, that employees applying for benefits after 31 December 2001 are covered by the new pensions system. The Committee recalls that the Government ratified the Convention in 1977 and that as a consequence it is bound to give effect to its provisions in respect of all persons within its scope, irrespective of the nature of the various systems by which they may be covered during their occupational career. It therefore hopes that the next report will contain detailed information on the implementation in practice of the new pensions system and its relationship with the former system, and particularly on the following points.

1. Scope. In reply to the Committee’s comments concerning the scope of the new pensions system, the Government indicates that the relevant statistics are not yet available. In this respect, the Committee however notes that the Internet site of the Superintendence of Pensions, Shares and Insurance (SPVA) provides certain statistics relating to the number of persons registered with the new pensions system. The Committee therefore hopes that the Government’s next report will not fail to include all the statistical information requested by the report form under Articles 9, 16 and 22 of the Convention. In so far as the Government availed itself at the time of the ratification of the Convention of the temporary derogations set out in paragraph 2 of Articles 9, 16 and 22 of the Convention, the Government may wish to refer to questions 3D or E in the report form under these provisions of the Convention, which relate to the number of employees protected and not the number of beneficiaries of a pension.

2. Level of benefits. (a) Invalidity and survivors’ benefits (Articles 10 and 23 in relation to Article 26 of the Convention). In its report, the Government indicates that, to calculate the amount of the benefit, the national legislation does not take into account the requirements of Articles 26 or 27 of the Convention. In this respect, the Committee recalls that while States remain free to adopt their own rules and methods of calculation to determine the amount of benefits, this amount must however be determined in such a manner that it is at least equal to the amount prescribed by Articles 26, 27 or 28 of the Convention, in conjunction with the Schedule appended to Part V (Standards to be complied with by periodical payments). The methods of calculation envisaged by these provisions and the parameters that they use are established solely to permit comparison between national situations and the requirements of the Convention. In view of the fact that, in accordance with sections 8 and 9 of Act No. 1732 and section 41(c) of the Regulations, invalidity and survivors’ benefits are calculated in relation to the basic wage of the insured person, Article 26 is applicable to assess whether the level of invalidity and survivors’ benefit prescribed by the Convention has been attained. In view of the fact that, as authorized by paragraph 3 of Article 26, a ceiling has been set for the basic wage used for the calculation of the above benefits (60 times the national minimum wage in force in accordance with section 5 of the Act), the Committee trusts that the Government will not fail to provide all the statistical information requested in the report form under Article 26 of the Convention (Titles I, II and IV), and particularly the wage of a skilled manual male employee (selected according to paragraph 4 or 5 of Article 26) and the amount of the benefit provided to a standard beneficiary whose previous wages, or those of the family breadwinner, were equal to the wage of the skilled manual male employee.

Furthermore, the Committee notes, from the information provided by the Government, that family allowances were paid neither during employment nor during the contingency. The Government has not therefore to provide the information requested in this respect by the report form.

(b) Old-age benefit (Article 17 in relation to Articles 26 or 27 of the Convention). (i) The Committee recalls that, in accordance with section 7 of Act No. 1732 of 1996 on pensions, the amount of the old-age pension depends on the capital accumulated in the worker’s individual account. In addition, pursuant to section 17 of the Act and sections 18 and 19 of the Regulations, the pension may take two different forms according to the type of contract selected. Where the insured person chooses a life annuity contract, the amount of the pension will be determined and will correspond to at least 70 per cent of the minimum wage in force; where the insured person chooses a variable monthly annuity contract, the amount of the first pension payment will also correspond to at least 70 per cent of the minimum wage in force; subsequently, the amount of the pension will vary as a function of the mortality of the group of pensioners who have selected this pension system, as well as the return on the variable monthly annuity account. In order to be able to ascertain whether the amount of the old-age pension paid by virtue of the new Act on pensions attains at least to the minimum prescribed by the Convention (45 per cent of the reference wage when the insured person has completed 30 years of contribution or employment), the Committee would be grateful if the Government would provide all the statistical information requested in the report form under Article 26 of the Convention, Titles I and III, for each of the types of pension selected. In view of the fact that the new pensions scheme has not yet reached maturity, the Government may perhaps wish to take into consideration the rights acquired or in the course of acquisition under the former system.

(ii) In so far as a minimum old-age pension equal to 70 per cent of the minimum wage is guaranteed for all pensioners aged 65 years, irrespective of the type of pension selected, the Government may also wish to refer to Article 27 of the Convention and to provide the information requested in the report form under Titles I and III. Please also confirm that insured persons, who select a variable monthly annuity contract at the age of 65 years, benefit from a pension that is at least equal to 70 per cent of the minimum wage in force throughout the duration of its provision, and not only for the first pension payment.

3. Reduced old-age benefits (Article 18 in relation to Article 19 of the Convention). In reply to the Committee’s previous comments, the Government provides certain information on the possibility for persons covered by the former system to receive their benefits before the statutory pensionable age in return for a lower level of benefit. The Committee recalls in this respect that its comments concerned the new pensions system. Indeed, pursuant to section 13 of the Regulations, where the old-age pension resulting from the accumulated capital is lower than 70 per cent of the minimum wage in force, the insured person may withdraw from the account, from the age of 65 onwards, monthly amounts equivalent to 70 per cent of the said minimum wage until the capital accumulated in the account is exhausted. The Committee recalls that, in accordance with Article 18, paragraph 2(a), of the Convention, a reduced old-age benefit must be secured at least to a person protected who has completed, prior to the contingency, a qualifying period of 15 years of contribution or employment and that this reduced benefit must be granted throughout the contingency, in accordance with Article 19 of the Convention. The Committee therefore hopes that the Government will be able to indicate in its next report the measures which have been taken or are envisaged to ensure that effect is given to the Convention on this point in relation to the persons covered by the new pensions system introduced by Act No. 1732 of 1996.

4. Duration of benefits (Articles 12, 19 and 25). The Committee notes the information provided by the Government in reply to its previous comments. It requests the Government to confirm that the old-age, invalidity and survivors’ benefits paid under the new pension system are granted throughout the contingency, even where the capital accumulated in the worker’s individual account is exhausted. It also refers to point 3(b)(ii) above with regard to variable monthly annuity contracts.

5. Age of eligibility for an old-age pension (Article 15). In its report, the Government states that no draft amendments to the new Act on pensions are planned with regard to the age of eligibility for a pension, which is set at 65 years. The Committee notes this information. It recalls that under the previous legislation the pensionable age was fixed at 50 years for women and 55 years for men. It requests the Government to indicate, with the support of statistics, the demographic, economic and social criteria justifying the determination of the age of eligibility to a pension at 65 years since, in view of the observations made previously by the Bolivian Central of Workers (COB), the average life expectancy is well below this age (61.86 years for men and 67.1 for women according to the World Factbook 2002; moreover, according to the same source, persons aged 65 years and over only represent 4.5 per cent of the population).

Furthermore, the Committee once again draws the Government’s attention to the fact that, in accordance with Article 15, paragraph 3, of the Convention, the age for entitlement to a pension shall be less than 65 years in respect of persons who have been engaged in occupations that are deemed to be arduous or unhealthy. It trusts that the Government will be able to indicate in its next report the measures which have been taken or are envisaged to give full effect to this provision of the Convention.

6. Revision of benefits (Article 29). In reply to the Committee’s comments, the Government states that the only procedure for adjustment to which recourse is made consists of the adjustment of the national minimum wage and that the latter does not take into account the devaluation of the national currency in relation to the United States dollar, but is based on the price indices of a household basket, which are much lower. It adds that pensions have not been increased taking into account these parameters. The Committee is bound to recall that, in accordance with Article 29 of the Convention, the rates of invalidity, old-age and survivors’ pensions shall be reviewed periodically following substantial changes in the general level of earnings or substantial changes in the cost of living. The Committee hopes that the Government will be able to re-examine the matter and that it will indicate in its next report the measures taken to give full effect to this provision of the Convention with regard to the pensions paid under both the former system and the new system. In this respect, it recalls that sections 2, 4 and 320 of the Regulations provide for a procedure for the adjustment of current pensions and pensions in the course of acquisition based on the devaluation of the national currency in relation to the United States dollar. Please also provide all the statistical data requested by the report form under this Article of the Convention with regard to current pensions. Please also provide copies of the scale determined with a view to the annual increase in the periodical payments acquired or in the course of acquisition under the former pensions system, as determined by the executive authority in accordance with section 57 of Act No. 1732, as amended by Act No. 2197 of 9 May 2001.

7. Maintenance of rights in course of acquisition (Article 30). In reply to the Committee’s comments concerning the maintenance of rights in course of acquisition of persons insured under the former pay-as-you-go system, the Government provides the following information. All insured persons who apply for their entitlement up to 31 December 2001 and fulfil the age conditions and the qualifying period set out in the former legislation can claim the benefits envisaged by the former pensions system. Under section 27 of the Benefit Manual, insured persons who have reached the age of 55 years for men and 50 years for women, and who have paid fewer than 180 but more than 24 monthly contributions, are also entitled to such benefits as a lump-sum payment (pago global), although six of the contributions must have been paid during the 12 months prior to attaining the age of eligibility for the pension. Furthermore, under section 1 of administrative resolution No. 012/97, insured persons who have not attained the age of eligibility for the pension set out by the former legislation, but who have paid at least 180 monthly contributions, can receive the benefits envisaged by the former system with a reduction of 8 per cent in their periodical payments for each missing year, provided that they have reached the age of 50 for men and 45 for women.

The Government also refers to section 322 of the Regulations, under which persons who have not been able to take their retirement under the pay-as-you-go pensions system and who had paid at least 60 monthly contributions before 1 May 1997 are entitled to compensation for their contributions in the form of an annuity paid by an AFP. Insured persons who had paid fewer than 60 contributions as of 1 May 1997 are entitled to a lump-sum payment provided to them directly by the General Directorate of Pensions.

The Committee notes this information. It recalls that the persons covered by the Convention must receive benefits in accordance with its provisions, irrespective of the fact that they may have been covered during their occupational careers by various pensions schemes, and irrespective of the concepts and principles upon which the latter are based. It therefore hopes that the Government will be able to re-examine the matter and indicate the measures, which have been taken or are envisaged, to ensure that better effect is given to the provisions respecting the maintenance of rights in course of acquisition, particularly with regard to the considerable number of persons who, according to the information provided by the Government, have not accepted the actuarial reduction of 8 per cent in their periodical payments. Noting that this matter is currently the subject of negotiation, the Committee requests the Government to provide detailed information on the measures, which have been adopted or are envisaged in this respect.

The Committee also requests the Government to indicate whether the various compensation measures for the contributions paid take into account not only the contributions paid by insured persons, but also those paid by employers and by the State.

Furthermore, the Committee recalls that, in accordance with the information provided by the Government, section 27 of the Benefit Manual provides for a lump-sum payment (pago global) for persons insured under the former pensions system who have attained the age of eligibility for a pension and who have paid fewer than 180 contributions but more than 24. However, it notes that section 322(a) of the Regulations provides for monthly compensation for contributions in the case of insured persons who have paid at least 60 contributions under the former system. It would be grateful if the Government would provide detailed information on the application in practice of section 27 of the Manual with regard to insured persons who have paid at least 60 contributions.

The Committee would, in addition, be grateful if the Government would provide copies of administrative resolutions Nos. 012/1997 and 001/1998, and of the Benefit Manual referred to by the Government in its report.

8. General responsibility for the provision of benefits and the proper administration of the system (Article 35). The Government indicates that it takes responsibility for the provision of benefits through the Pensions Superintendence and the General Directorate of Pensions, which administers the old distribution-based pensions system. The Committee hopes that the Government’s next report will contain detailed information on the measures taken in this respect by the above institutions. It also requests the Government to indicate whether the necessary actuarial studies and calculations concerning the financial equilibrium of the new pensions system are made periodically and to provide the results of these studies and calculations.

9. Participation in the administration of schemes (Article 36). The Committee notes the Government’s statement that the persons responsible for the management of the new pensions system do not accept interference by the persons protected. In view of the fact that Article 36 of the Convention provides that representatives of the persons protected shall participate in the management of the schemes, the Committee trusts that the Government will re-examine the matter and that it will indicate in its next report the measures which have been taken or are envisaged to give effect to this essential provision of the Convention.

*  *  *

The Committee would be grateful if the Government would provide copies of the various types of contracts concluded between insured persons and the AFPs or insurance companies, whether they are life annuity contracts or variable monthly annuity contracts. Please also indicate the manner in which the mortality tables of the groups of pensioners who have selected variable monthly annuity contracts are established, with an indication of whether the rates differ for men and women.

The Committee also requests the Government to indicate whether the Manual providing for standards of evaluation and qualification of the degree of invalidity mentioned in section 24 of the Regulations has been adopted and, if so, to provide a copy of it.

Finally, the Committee hopes that the Government will indicate, for each of the contingencies contemplated in the Convention, the number, nature and amount of the pensions granted under the new system of administration of pension funds.

Observation (CEACR) - adopted 2002, published 91st ILC session (2003)

In its previous comments, the Committee examined the provisions of Act No. 1732 of 29 November 1996 and its implementing regulations (Supreme Decree No. 24469 of 1997) (hereinafter "the Regulations"). This legislation establishes a system based on individual funding through the insured person’s accumulated capital managed by private bodies (Administradoras de Pensiones- AFP), which replaces the former system of pensions based on a pay-as-you-go system and administered by a public body, the Bolivian Social Security Institute. The Committee also noted the observations made by the Bolivian Central of Workers (COB). In view of the fundamental changes introduced by the new system (Seguro Social Obligatorio de Largo Plazo), and in the absence of a report from the Government, the Committee had urged the Government to provide a detailed report permitting it to determine whether the new pensions system continued to give effect to the Convention.

In its report, the Government provides certain information on the contents of the new system for the management of pension funds and states that it has recently started to manage funds but has not yet granted benefits. It adds that the statistics contained in its report on the level of benefits relate to those paid by the former pensions system. The Committee notes this statement. However, it recalls that the new pensions system entered into force on 1 May 1997 and that it should normally have begun providing benefits in view of the qualifying periods established by Act No. 1732 of 1996 and its Regulations. Indeed, under this legislation, the persons covered by the legislation, or the breadwinner for dependants of the first rank, are entitled to invalidity and survivors’ benefit in the event of the contingency where they have, firstly, made 16 monthly contributions to the new pension system or the former pay-as-you-go system and, secondly, paid at least 18 monthly contributions over the past 36 months for common risks coverage (see sections 8, 9, 14 and 15 of the Act and section 2 of the Regulations). Special provisions also exist for persons who do not fulfil the above contribution requirement.

With regard more particularly to old-age benefit, the Committee also notes, from the information provided by the Government, that employees applying for benefits after 31 December 2001 are covered by the new pensions system. The Committee recalls that the Government ratified the Convention in 1977 and that as a consequence it is bound to give effect to its provisions in respect of all persons within its scope, irrespective of the nature of the various systems by which they may be covered during their occupational career. It therefore hopes that the next report will contain detailed information on the implementation in practice of the new pensions system and its relationship with the former system, and particularly on the following points.

1. Scope. In reply to the Committee’s comments concerning the scope of the new pensions system, the Government indicates that the relevant statistics are not yet available. In this respect, the Committee however notes that the Internet site of the Superintendence of Pensions, Shares and Insurance (SPVA) provides certain statistics relating to the number of persons registered with the new pensions system. The Committee therefore hopes that the Government’s next report will not fail to include all the statistical information requested by the report form under Articles 9, 16 and 22 of the Convention. In so far as the Government availed itself at the time of the ratification of the Convention of the temporary derogations set out in paragraph 2 of Articles 9, 16 and 22 of the Convention, the Government may wish to refer to questions 3D or E in the report form under these provisions of the Convention, which relate to the number of employees protected and not the number of beneficiaries of a pension.

2. Level of benefits. (a) Invalidity and survivors’ benefits (Articles 10 and 23 in relation to Article 26 of the Convention). In its report, the Government indicates that, to calculate the amount of the benefit, the national legislation does not take into account the requirements of Articles 26 or 27 of the Convention. In this respect, the Committee recalls that while States remain free to adopt their own rules and methods of calculation to determine the amount of benefits, this amount must however be determined in such a manner that it is at least equal to the amount prescribed by Articles 26, 27 or 28 of the Convention, in conjunction with the Schedule appended to Part V (Standards to be complied with by periodical payments). The methods of calculation envisaged by these provisions and the parameters that they use are established solely to permit comparison between national situations and the requirements of the Convention. In view of the fact that, in accordance with sections 8 and 9 of Act No. 1732 and section 41(c) of the Regulations, invalidity and survivors’ benefits are calculated in relation to the basic wage of the insured person, Article 26 is applicable to assess whether the level of invalidity and survivors’ benefit prescribed by the Convention has been attained. In view of the fact that, as authorized by paragraph 3 of Article 26, a ceiling has been set for the basic wage used for the calculation of the above benefits (60 times the national minimum wage in force in accordance with section 5 of the Act), the Committee trusts that the Government will not fail to provide all the statistical information requested in the report form under Article 26 of the Convention (Titles I, II and IV), and particularly the wage of a skilled manual male employee (selected according to paragraph 4 or 5 of Article 26) and the amount of the benefit provided to a standard beneficiary whose previous wages, or those of the family breadwinner, were equal to the wage of the skilled manual male employee.

Furthermore, the Committee notes, from the information provided by the Government, that family allowances were paid neither during employment nor during the contingency. The Government has not therefore to provide the information requested in this respect by the report form.

(b) Old-age benefit (Article 17 in relation to Articles 26 or 27 of the Convention). (i) The Committee recalls that, in accordance with section 7 of Act No. 1732 of 1996 on pensions, the amount of the old-age pension depends on the capital accumulated in the worker’s individual account. In addition, pursuant to section 17 of the Act and sections 18 and 19 of the Regulations, the pension may take two different forms according to the type of contract selected. Where the insured person chooses a life annuity contract, the amount of the pension will be determined and will correspond to at least 70 per cent of the minimum wage in force; where the insured person chooses a variable monthly annuity contract, the amount of the first pension payment will also correspond to at least 70 per cent of the minimum wage in force; subsequently, the amount of the pension will vary as a function of the mortality of the group of pensioners who have selected this pension system, as well as the return on the variable monthly annuity account. In order to be able to ascertain whether the amount of the old-age pension paid by virtue of the new Act on pensions attains at least to the minimum prescribed by the Convention (45 per cent of the reference wage when the insured person has completed 30 years of contribution or employment), the Committee would be grateful if the Government would provide all the statistical information requested in the report form under Article 26 of the Convention, Titles I and III, for each of the types of pension selected. In view of the fact that the new pensions scheme has not yet reached maturity, the Government may perhaps wish to take into consideration the rights acquired or in the course of acquisition under the former system.

(ii) In so far as a minimum old-age pension equal to 70 per cent of the minimum wage is guaranteed for all pensioners aged 65 years, irrespective of the type of pension selected, the Government may also wish to refer to Article 27 of the Convention and to provide the information requested in the report form under Titles I and III. Please also confirm that insured persons, who select a variable monthly annuity contract at the age of 65 years, benefit from a pension that is at least equal to 70 per cent of the minimum wage in force throughout the duration of its provision, and not only for the first pension payment.

3. Reduced old-age benefits (Article 18 in relation to Article 19 of the Convention). In reply to the Committee’s previous comments, the Government provides certain information on the possibility for persons covered by the former system to receive their benefits before the statutory pensionable age in return for a lower level of benefit. The Committee recalls in this respect that its comments concerned the new pensions system. Indeed, pursuant to section 13 of the Regulations, where the old-age pension resulting from the accumulated capital is lower than 70 per cent of the minimum wage in force, the insured person may withdraw from the account, from the age of 65 onwards, monthly amounts equivalent to 70 per cent of the said minimum wage until the capital accumulated in the account is exhausted. The Committee recalls that, in accordance with Article 18, paragraph 2(a), of the Convention, a reduced old-age benefit must be secured at least to a person protected who has completed, prior to the contingency, a qualifying period of 15 years of contribution or employment and that this reduced benefit must be granted throughout the contingency, in accordance with Article 19 of the Convention. The Committee therefore hopes that the Government will be able to indicate in its next report the measures which have been taken or are envisaged to ensure that effect is given to the Convention on this point in relation to the persons covered by the new pensions system introduced by Act No. 1732 of 1996.

4. Duration of benefits (Articles 12, 19 and 25). The Committee notes the information provided by the Government in reply to its previous comments. It requests the Government to confirm that the old-age, invalidity and survivors’ benefits paid under the new pension system are granted throughout the contingency, even where the capital accumulated in the worker’s individual account is exhausted. It also refers to point 3(b)(ii) above with regard to variable monthly annuity contracts.

5. Age of eligibility for an old-age pension (Article 15). In its report, the Government states that no draft amendments to the new Act on pensions are planned with regard to the age of eligibility for a pension, which is set at 65 years. The Committee notes this information. It recalls that under the previous legislation the pensionable age was fixed at 50 years for women and 55 years for men. It requests the Government to indicate, with the support of statistics, the demographic, economic and social criteria justifying the determination of the age of eligibility to a pension at 65 years since, in view of the observations made previously by the Bolivian Central of Workers (COB), the average life expectancy is well below this age (61.86 years for men and 67.1 for women according to the World Factbook 2002; moreover, according to the same source, persons aged 65 years and over only represent 4.5 per cent of the population).

Furthermore, the Committee once again draws the Government’s attention to the fact that, in accordance with Article 15, paragraph 3, of the Convention, the age for entitlement to a pension shall be less than 65 years in respect of persons who have been engaged in occupations that are deemed to be arduous or unhealthy. It trusts that the Government will be able to indicate in its next report the measures which have been taken or are envisaged to give full effect to this provision of the Convention.

6. Revision of benefits (Article 29). In reply to the Committee’s comments, the Government states that the only procedure for adjustment to which recourse is made consists of the adjustment of the national minimum wage and that the latter does not take into account the devaluation of the national currency in relation to the United States dollar, but is based on the price indices of a household basket, which are much lower. It adds that pensions have not been increased taking into account these parameters. The Committee is bound to recall that, in accordance with Article 29 of the Convention, the rates of invalidity, old-age and survivors’ pensions shall be reviewed periodically following substantial changes in the general level of earnings or substantial changes in the cost of living. The Committee hopes that the Government will be able to re-examine the matter and that it will indicate in its next report the measures taken to give full effect to this provision of the Convention with regard to the pensions paid under both the former system and the new system. In this respect, it recalls that sections 2, 4 and 320 of the Regulations provide for a procedure for the adjustment of current pensions and pensions in the course of acquisition based on the devaluation of the national currency in relation to the United States dollar. Please also provide all the statistical data requested by the report form under this Article of the Convention with regard to current pensions. Please also provide copies of the scale determined with a view to the annual increase in the periodical payments acquired or in the course of acquisition under the former pensions system, as determined by the executive authority in accordance with section 57 of Act No. 1732, as amended by Act No. 2197 of 9 May 2001.

7. Maintenance of rights in course of acquisition (Article 30). In reply to the Committee’s comments concerning the maintenance of rights in course of acquisition of persons insured under the former pay-as-you-go system, the Government provides the following information. All insured persons who apply for their entitlement up to 31 December 2001 and fulfil the age conditions and the qualifying period set out in the former legislation can claim the benefits envisaged by the former pensions system. Under section 27 of the Benefit Manual, insured persons who have reached the age of 55 years for men and 50 years for women, and who have paid fewer than 180 but more than 24 monthly contributions, are also entitled to such benefits as a lump sum payment (pago global), although six of the contributions must have been paid during the 12 months prior to attaining the age of eligibility for the pension. Furthermore, under section 1 of administrative resolution No. 012/97, insured persons who have not attained the age of eligibility for the pension set out by the former legislation, but who have paid at least 180 monthly contributions, can receive the benefits envisaged by the former system with a reduction of 8 per cent in their periodical payments for each missing year, provided that they have reached the age of 50 for men and 45 for women.

The Government also refers to section 322 of the Regulations, under which persons who have not been able to take their retirement under the pay-as-you-go pensions system and who had paid at least 60 monthly contributions before 1 May 1997 are entitled to compensation for their contributions in the form of an annuity paid by an AFP. Insured persons who had paid fewer than 60 contributions as of 1 May 1997 are entitled to a lump sum payment provided to them directly by the General Directorate of Pensions.

The Committee notes this information. It recalls that the persons covered by the Convention must receive benefits in accordance with its provisions, irrespective of the fact that they may have been covered during their occupational careers by various pensions schemes, and irrespective of the concepts and principles upon which the latter are based. It therefore hopes that the Government will be able to re-examine the matter and indicate the measures, which have been taken or are envisaged, to ensure that better effect is given to the provisions respecting the maintenance of rights in course of acquisition, particularly with regard to the considerable number of persons who, according to the information provided by the Government, have not accepted the actuarial reduction of 8 per cent in their periodical payments. Noting that this matter is currently the subject of negotiation, the Committee requests the Government to provide detailed information on the measures, which have been adopted or are envisaged in this respect.

The Committee also requests the Government to indicate whether the various compensation measures for the contributions paid take into account not only the contributions paid by insured persons, but also those paid by employers and by the State.

Furthermore, the Committee recalls that, in accordance with the information provided by the Government, section 27 of the Benefit Manual provides for a lump sum payment (pago global) for persons insured under the former pensions system who have attained the age of eligibility for a pension and who have paid fewer than 180 contributions but more than 24. However, it notes that section 322(a) of the Regulations provides for monthly compensation for contributions in the case of insured persons who have paid at least 60 contributions under the former system. It would be grateful if the Government would provide detailed information on the application in practice of section 27 of the Manual with regard to insured persons who have paid at least 60 contributions.

The Committee would, in addition, be grateful if the Government would provide copies of administrative resolutions Nos. 012/1997 and 001/1998, and of the Benefit Manual referred to by the Government in its report.

8. General responsibility for the provision of benefits and the proper administration of the system (Article 35). The Government indicates that it takes responsibility for the provision of benefits through the Pensions Superintendence and the General Directorate of Pensions, which administers the old distribution-based pensions system. The Committee hopes that the Government’s next report will contain detailed information on the measures taken in this respect by the above institutions. It also requests the Government to indicate whether the necessary actuarial studies and calculations concerning the financial equilibrium of the new pensions system are made periodically and to provide the results of these studies and calculations.

9. Participation in the administration of schemes (Article 36). The Committee notes the Government’s statement that the persons responsible for the management of the new pensions system do not accept interference by the persons protected. In view of the fact that Article 36 of the Convention provides that representatives of the persons protected shall participate in the management of the schemes, the Committee trusts that the Government will re-examine the matter and that it will indicate in its next report the measures which have been taken or are envisaged to give effect to this essential provision of the Convention.

*  *  *

The Committee would be grateful if the Government would provide copies of the various types of contracts concluded between insured persons and the AFPs or insurance companies, whether they are life annuity contracts or variable monthly annuity contracts. Please also indicate the manner in which the mortality tables of the groups of pensioners who have selected variable monthly annuity contracts are established, with an indication of whether the rates differ for men and women.

The Committee also requests the Government to indicate whether the Manual providing for standards of evaluation and qualification of the degree of invalidity mentioned in section 24 of the Regulations has been adopted and, if so, to provide a copy of it.

Finally, the Committee hopes that the Government will indicate, for each of the contingencies contemplated in the Convention, the number, nature and amount of the pensions granted under the new system of administration of pension funds.

[The Government is asked to reply in detail to the present comments in 2003.]

Observation (CEACR) - adopted 2001, published 90th ILC session (2002)

The Committee notes that the Government’s report has not been received. It must therefore repeat its previous observation which read as follows:

The Committee has studied the provisions of Act No. 1732 of 29 November 1996 concerning pensions and its regulation (Supreme Decree No. 24469 of 1997) which replaces the old pension system based on share-out and administered by the Bolivian Institute of Social Security, a public body, with a completely new system based on individual capitalization of the insured person’s assets and managed by private bodies ("Administradoras de Pensiones" (AFP)). The Committee has also noted the information supplied by the Government in its report along with the comments made by the Bolivian Central of Workers (COB).

In view of the fundamental changes introduced by the new legislation, the Committee emphasized in its previous comments that the Government should report in detail allowing it to assess whether the new pension system continued to ensure application of the Convention. In this regard, the Committee notes with regret that, first, the Government’s report is limited to a brief description of the major provisions of the Act and that, secondly, the reply it contains to the new comments made by the Bolivian Central of Workers concerning the sale of the property belonging to the old supplementary schemes consists solely of a reference to the provisions of the Act and the responsibility of the Ministry of Finance ("Ministerio de Hacienda"). In these circumstances, the Committee is bound to reiterate the hope that the Government will not fail to supply a detailed report on the implementation of the reform in the light of each Article of the Convention, containing all the statistical information required by the report form. The Committee also wishes to draw the Government’s attention to the following specific points:

1. Scope. The new system covers compulsorily persons who are in a dependent employment relationship while others may be affiliated on a voluntarily basis (sections 5 and 24 of Act No. 1732 and section 109 of the Decree). In order to ascertain better in practice the extent of cover of the new pensions regime in relation to the provisions of Articles 9, 16 and 22 of the Convention, the Committee would appreciate the Government providing with its next report all the statistical information required by the report form under these Articles of the Convention.

2. Level of benefits. (a) Invalidity and survivors’ benefits (sections 10 and 23 in relation to Article 26 of the Convention). According to sections 8 and 9 of the Act and section 41(c) of the Decree, the invalidity and survivors’ benefits (paid to a widow with two children) may not be less then 70 per cent of the insured person’s basic salary. Given that a maximum is prescribed for the basic salary serving for calculation of the abovementioned benefits (60 times the minimum national wage in force, according to section 5 of the Act), the Committee trusts that the Government will not fail to supply all the statistical information required by the report form under Article 26 of the Convention (Titles I, II and IV).

(b) Old-age benefits (Article 17 in relation to Article 26). The Committee notes that, according to section 7 of the Act, the amount of the pension depends on the capital accumulated in the worker’s individual account. In addition, pursuant to section 17 of the Act and sections 18 and 19 of the Decree, the pension may take two different forms according to the type of contract selected. If the affiliated person chooses a life annuity contract, the amount of the pension will be fixed and will correspond to at least 70 per cent of the minimum wage in force; if the affiliated person chooses a variable monthly annuity contract, the amount of the first pension payment will also correspond to at least 70 per cent of the minimum wage in force; subsequently, the amount of the pension will vary as a function of the mortality of the group of pensioners who have selected this pension system as well as the return on the variable monthly annuity account. In order to ascertain whether the amount of the old-age pension paid by virtue of the new Act on pensions amounts at least to the minimum prescribed by the Convention (45 per cent of the reference salary when the affiliated person has completed 30 years of subscriptions or employment), the Committee would be grateful if the Government would supply all the statistical information requested by the report form on Article 26 of the Convention, Titles I and III.

3. Reduced old-age benefits (Article 18 in relation to Article 19). According to section 13 of the Decree, if the old-age pension resulting from the accumulated capital is lower than 70 per cent of the minimum salary in force, the affiliated person may withdraw from his account, from the age of 65 onwards, monthly amounts equivalent to 70 per cent of the said minimum salary until the capital accumulated in his account is exhausted. The Committee wishes to draw the Government’s attention to the fact that in application of Article 18, paragraph 2(a), of the Convention reduced old-age benefits must be guaranteed at least to a person protected who has completed, prior to the contingency, a qualifying period of 15 years of contribution or employment and that this reduced benefit must be provided throughout the contingency in accordance with Article 19 of the Convention. The Committee would be grateful if the Government would supply detailed information on how effect is given to the Convention on this point.

4. Duration of benefits (Articles 12, 19 and 25). The Committee would be grateful if the Government would supply detailed information on how effect is given to these provisions of the Convention which stipulate that benefits must be granted throughout the contingency (or, for invalidity benefits, until an old-age benefit becomes payable), whatever the type of pension chosen (life annuity contract or variable monthly annuity contract). Please indicate in particular whether, whatever the type of pension chosen, the invalidity, old-age and survivors’ benefits at the level prescribed by the Convention are guaranteed for a standard beneficiary throughout the contingency (or, for invalidity benefits, until an old-age benefit becomes payable). More particularly, on variable monthly annuity contracts, the Committee would be grateful if the Government would supply detailed information on the impact in regard to Articles 19 and 25 of the Convention of section 19 of the Decree under which the amount of the variable monthly annuity will depend on the mortality of the group of pensioners having selected this method as well as on the profitability of the variable monthly annuity account.

5. Age of eligibility for a pension (Article 15). The Committee notes that, according to section 7 of the Act on pensions, the age of entitlement to old-age benefits is 65 years, unless the capital accumulated by the insured person in his individual account before that age is sufficient to allow payment of a pension equal to at least 70 per cent of the basic salary. The Committee recalls that, under the former share-out system, the age of entitlement to a pension was 55 years for men and 50 for women. The Committee wishes to draw the Government’s attention to the fact that in application of Article 15, paragraph 3, of the Convention, the age for entitlement to a pension shall be less than 65 years in respect of persons who have been engaged in occupations that are deemed to be arduous or unhealthy. The Committee also recalls in this respect the comments of the COB which emphasizes that average life expectation in Bolivia is less than 65 years. The Committee would therefore be grateful if the Government would indicate in its next report the measures taken or envisaged to respond to this concern in the light of Article 15, paragraph 3, of the Convention.

6. Revision of benefits (Article 29). The Committee recalls that, under Article 29 of the Convention, the amount of invalidity, old-age and survivors’ pensions shall be reviewed periodically following substantial changes in the general level of earnings or substantial changes in the cost of living. The Committee notes in this regard that sections 2, 4 and 320 of the Decree provide an adjustment procedure for pensions being drawn and in course of acquisition, based on the devaluation of the national currency in comparison with the United States dollar. The Committee would be grateful if the Government would provide detailed information on the application in practice of these provisions of national legislation. Please also provide all the statistical information required by the report form under this Article of the Convention in regard to pensions currently being drawn.

7. Maintenance of rights in course of acquisition (Article 30). Referring to the comments of the COB, the Committee would be grateful if the Government would supply detailed information on the application in practice of the provisions of the new legislation on pensions in regard to maintenance of rights in course of acquisition for persons affiliated to the old share-out system who, at the moment of entry into force of the new pensions scheme, had not yet reached the age of 55 years for men and 50 for women.

8. General responsibility for the due provision of the benefits provided and for the proper administration of the system (Article 35). Referring to the comments of the COB, the Committee would be grateful if the Government would supply with its next report detailed information on how effect is given in practice to Article 35 of the Convention.

The Committee would also be grateful if the Government would indicate how payment is ensured for invalidity, old-age and survivors’ pensions due under the old pension system based on share-out as well as revision of these pensions to take inflation into account.

9. Participation of representatives of the persons protected in the management of the new pensions system (Article 36). The Committee recalls its previous comments regarding Article 36 of the Convention which provides that representatives of the persons protected shall participate in the management of the system. It trusts that the Government will not fail to indicate in its next report how effect is given to this provision of the Convention.

The Committee hopes that the Government will make every effort to take the necessary action in the very near future.

Observation (CEACR) - adopted 2000, published 89th ILC session (2001)

The Committee has studied the provisions of Act No. 1732 of 29 November 1996 concerning pensions and its regulation (Supreme Decree No. 24469 of 1997) which replaces the old pension system based on share-out and administered by the Bolivian Institute of Social Security, a public body, with a completely new system based on individual capitalization of the insured person’s assets and managed by private bodies ("Administradoras de Pensiones" (AFP)). The Committee has also noted the information supplied by the Government in its report along with the comments made by the Bolivian Central of Workers (COB).

In view of the fundamental changes introduced by the new legislation, the Committee emphasized in its previous comments that the Government should report in detail allowing it to assess whether the new pension system continued to ensure application of the Convention. In this regard, the Committee notes with regret that, first, the Government’s report is limited to a brief description of the major provisions of the Act and that, secondly, the reply it contains to the new comments made by the Bolivian Central of Workers concerning the sale of the property belonging to the old supplementary schemes consists solely of a reference to the provisions of the Act and the responsibility of the Ministry of Finance ("Ministerio de Hacienda"). In these circumstances, the Committee is bound to reiterate the hope that the Government will not fail to supply a detailed report on the implementation of the reform in the light of each Article of the Convention, containing all the statistical information required by the report form. The Committee also wishes to draw the Government’s attention to the following specific points:

1.  Scope.  The new system covers compulsorily persons who are in a dependent employment relationship while others may be affiliated on a voluntarily basis (sections 5 and 24 of Act No. 1732 and section 109 of the Decree). In order to ascertain better in practice the extent of cover of the new pensions regime in relation to the provisions of Articles 9, 16 and 22 of the Convention, the Committee would appreciate the Government providing with its next report all the statistical information required by the report form under these Articles of the Convention.

2.  Level of benefits:  (a)  Invalidity and survivors’ benefits (sections 10 and 23 in relation to Article 26 of the Convention).  According to sections 8 and 9 of the Act and section 41(c) of the Decree, the invalidity and survivors’ benefits (paid to a widow with two children) may not be less then 70 per cent of the insured person’s basic salary. Given that a maximum is prescribed for the basic salary serving for calculation of the abovementioned benefits (60 times the minimum national wage in force, according to section 5 of the Act), the Committee trusts that the Government will not fail to supply all the statistical information required by the report form under Article 26 of the Convention (Titles I, II and IV).

(b)  Old-age benefits (section 17 in relation to Article 26 of the Convention).  The Committee notes that, according to section 7 of the Act, the amount of the pension depends on the capital accumulated in the worker’s individual account. In addition, pursuant to section 17 of the Act and sections 18 and 19 of the Decree, the pension may take two different forms according to the type of contract selected. If the affiliated person chooses a life annuity contract, the amount of the pension will be fixed and will correspond to at least 70 per cent of the minimum wage in force; if the affiliated person chooses a variable monthly annuity contract, the amount of the first pension payment will also correspond to at least 70 per cent of the minimum wage in force; subsequently, the amount of the pension will vary as a function of the mortality of the group of pensioners who have selected this pension system as well as the return on the variable monthly annuity account. In order to ascertain whether the amount of the old-age pension paid by virtue of the new Act on pensions amounts at least to the minimum prescribed by the Convention (45 per cent of the reference salary when the affiliated person has completed 30 years of subscriptions or employment), the Committee would be grateful if the Government would supply all the statistical information requested by the report form on Article 26 of the Convention, Titles I and III.

3.  Reduced old-age benefits (section 18 in relation to Article 19 of the Convention).  According to section 13 of the Decree, if the old-age pension resulting from the accumulated capital is lower than 70 per cent of the minimum salary in force, the affiliated person may withdraw from his account, from the age of 65 onwards, monthly amounts equivalent to 70 per cent of the said minimum salary until the capital accumulated in his account is exhausted. The Committee wishes to draw the Government’s attention to the fact that in application of Article 18, paragraph 2(a), of the Convention reduced old-age benefits must be guaranteed at least to a person protected who has completed, prior to the contingency, a qualifying period of 15 years of contribution or employment and that this reduced benefit must be provided throughout the contingency in accordance with Article 19 of the Convention. The Committee would be grateful if the Government would supply detailed information on how effect is given to the Convention on this point.

4.  Duration of benefits (Articles 12, 19 and 25).  The Committee would be grateful if the Government would supply detailed information on how effect is given to these provisions of the Convention which stipulate that benefits must be granted throughout the contingency (or, for invalidity benefits, until an old-age benefit becomes payable), whatever the type of pension chosen (life annuity contract or variable monthly annuity contract). Please indicate in particular whether, whatever the type of pension chosen, the invalidity, old-age and survivors’ benefits at the level prescribed by the Convention are guaranteed for a standard beneficiary throughout the contingency (or, for invalidity benefits, until an old-age benefit becomes payable). More particularly, on variable monthly annuity contracts, the Committee would be grateful if the Government would supply detailed information on the impact in regard to Articles 19 and 25 of the Convention of section 19 of the Decree under which the amount of the variable monthly annuity will depend on the mortality of the group of pensioners having selected this method as well as on the profitability of the variable monthly annuity account.

5.  Age of eligibility for a pension (Article 15).  The Committee notes that, according to section 7 of the Act on pensions, the age of entitlement to old-age benefits is 65 years, unless the capital accumulated by the insured person in his individual account before that age is sufficient to allow payment of a pension equal to at least 70 per cent of the basic salary. The Committee recalls that, under the former share-out system, the age of entitlement to a pension was 55 years for men and 50 for women. The Committee wishes to draw the Government’s attention to the fact that in application of Article 15, paragraph 3, of the Convention, the age for entitlement to a pension shall be less than 65 years in respect of persons who have been engaged in occupations that are deemed to be arduous or unhealthy. The Committee also recalls in this respect the comments of the COB which emphasizes that average life expectation in Bolivia is less than 65 years. The Committee would therefore be grateful if the Government would indicate in its next report the measures taken or envisaged to respond to this concern in the light of Article 15, paragraph 3, of the Convention.

6.  Revision of benefits (Article 29 of the Convention).  The Committee recalls that, under Article 29 of the Convention, the amount of invalidity, old-age and survivors’ pensions shall be reviewed periodically following substantial changes in the general level of earnings or substantial changes in the cost of living. The Committee notes in this regard that sections 2, 4 and 320 of the Decree provide an adjustment procedure for pensions being drawn and in course of acquisition, based on the devaluation of the national currency in comparison with the United States dollar. The Committee would be grateful if the Government would provide detailed information on the application in practice of these provisions of national legislation. Please also provide all the statistical information required by the report form under this Article of the Convention in regard to pensions currently being drawn.

7.  Maintenance of rights in course of acquisition (Article 30 of the Convention).  Referring to the comments of the COB, the Committee would be grateful if the Government would supply detailed information on the application in practice of the provisions of the new legislation on pensions in regard to maintenance of rights in course of acquisition for persons affiliated to the old share-out system who, at the moment of entry into force of the new pensions scheme, had not yet reached the age of 55 years for men and 50 for women.

8.  General responsibility for the due provision of the benefits provided and for the proper administration of the system (Article 35 of the Convention). Referring to the comments of the COB, the Committee would be grateful if the Government would supply with its next report detailed information on how effect is given in practice to Article 35 of the Convention.

The Committee would also be grateful if the Government would indicate how payment is ensured for invalidity, old-age and survivors’ pensions due under the old pension system based on share-out as well as revision of these pensions to take inflation into account.

9.  Participation of representatives of the persons protected in the management of the new pensions system (Article 36 of the Convention).  The Committee recalls its previous comments regarding Article 36 of the Convention which provides that representatives of the persons protected shall participate in the management of the system. It trusts that the Government will not fail to indicate in its next report how effect is given to this provision of the Convention.

Observation (CEACR) - adopted 1998, published 87th ILC session (1999)

1. In its previous comments, the Committee noted the adoption of Act No. 1732 of 1996 establishing a new pension scheme. It also noted the observations made by the Bolivian Central of Workers and the National Confederation of Pensioners of Bolivia. Consequently, the Committee had hoped that the Government would communicate a detailed report allowing it to assess whether the new legislation continued to ensure the application of the Convention. In this regard, the Committee notes with regret that the Government's report consists only of the text of the above Act No. 1732, which replaced the old pension system based on share-out and administered by the Bolivian Institute of Social Security with a system based on individual capitalization of the insured person's assets and managed by private bodies.

Given the fundamental changes introduced into the pension scheme by Act No. 1732 of 1996 and its Regulations (Supreme Decree No. 2469 of 1997), the Committee must urge the Government once again to supply a detailed report containing, for each Article of the Convention, all the information requested by the report form adopted by the Governing Body, including statistics on coverage and the amount of invalidity, old-age and survivors' benefits.

The Committee also wishes to draw the Government's attention to the following specific points.

Level of benefits. The Committee recalls that the Convention provides for a minimum level for invalidity, old-age and survivors' benefits. For a standard beneficiary, invalidity benefits should be 50 per cent of the reference salary after a qualifying period of 15 years of contribution. In the case of old-age benefits, the amount should be 45 per cent of the reference salary after 30 years of contribution, and 45 per cent after 15 years of contribution in the case of survivors' benefits. That level of benefits must be maintained throughout the duration of contingency, or until such time as the invalidity benefit is replaced by old-age benefit, irrespective of the amount accumulated in the individual account of the insured person, and irrespective of the type of pension chosen (life annuity contract or variable monthly annuity contract), in accordance with Articles 10, 11, 17, 18, 23 and 24 of the Convention, read in conjunction with Part V of that instrument concerning the calculation of periodical payments.

Adjustment of pensions. The Committee recalls that, under Article 29 of the Convention, invalidity, old-age and survivors' benefits currently payable must be reviewed periodically following substantial changes in the general level of earnings or substantial changes in the cost of living.

Responsibility for providing benefits and administering the system. Under Article 35 of the Convention, the State must accept general responsibility for the due provision of benefits and must take all measures required for that purpose.

In addition, Article 36 of the Convention provides that representatives of persons protected shall participate in the administration of the pension system.

2. The Committee also hopes that the Government will provide information in its next report on any interim measures taken with regard to persons who were members of the old pension system administered by the Bolivian Social Security Institute. Please also indicate the measures taken to ensure, in accordance with Article 29 of the Convention, the review of invalidity, old-age and survivors' pensions paid under the old share-out system, including information on statistics requested in the report form under this Article of the Convention.

[The Government is asked to report in detail in 1999.]

Observation (CEACR) - adopted 1997, published 86th ILC session (1998)

1. In its observation and direct request of 1996, the Committee raised a number of questions on the application of the Convention and took note of the comments sent by the National Confederation of Pensioners of Bolivia and the Bolivian Central of Workers. In their comments these organizations referred to a Bill on pensions. The Committee regrets to note that the Government has not sent a detailed report as the Committee asked in its previous observation.

2. The Committee notes the new comments sent on 27 November 1996 by the Bolivian Central of Workers and forwarded to the Government on 31 January 1997, recalling the consequences of the Bill on pensions for the application of the Convention. Furthermore, the Committee notes the adoption, on 29 November 1996, of Act No. 1732 establishing a new pension scheme. In these circumstances, the Committee can but reiterate the hope that the Government will provide a detailed report including information and statistics on each Article of the Convention, in accordance with the report form, so that it can assess to what extent the new legislation gives effect to the Convention, in view of the comments on the questions raised by the above-mentioned workers' organizations.

Direct Request (CEACR) - adopted 1996, published 85th ILC session (1997)

With reference to its observation, the Committee notes that the Government's report has not been received. It therefore hopes that a report will be supplied for examination by the Committee at its next session and that it will contain the following information asked for in its previous direct request, together with the texts mentioned below in so far as they are still in force.

1. Part I (General provisions), Article 6 of the Convention (in conjunction with Articles 10, 11, 17, 18, 23 and 24). The Committee asks the Government to supply copies of the following legislation: (a) regulations respecting cash benefits referred to in section V of the by-laws of the supplementary social security fund for the construction industry; (b) Presidential Decree No. 10191, of 14 April 1972, respecting the establishment of the Supplementary Fund for the Public Administration; (c) Presidential Decree No. 10972, of 11 July 1973, respecting the Supplementary Fund for Commerce; (d) Presidential Decree No. 11227, of 13 December 1973, respecting the payment of benefits and their financing; (e) Act No. 1141 of 23 February 1990.

2. Part V (Standards to be complied with by periodical payments), Articles 26 and 27 (in conjunction with Articles 10, 17 and 23). In order to enable it to assess whether the levels set out in the Convention are reached for invalidity, old-age and survivors' benefits, the Committee once again hopes that the Government will be able to supply the information required by the report form adopted by the Governing Body under Articles 26 or 27 of the Convention, depending on which of these Articles the Government has decided to use.

3. Article 29. The Committee once again requests the Government to supply in its next report the information requested in the report form adopted by the Governing Body concerning the adjustment of basic pensions under this provision of the Convention.

4. The Committee also requests the Government to supply the text of Decree No. 20991, of 1 August 1985, and of Presidential Decree No. 22407 of 11 January 1990.

Observation (CEACR) - adopted 1996, published 85th ILC session (1997)

The Committee notes the comments communicated by the National Confederation of Pensioners of Bolivia (Confederación Nacional de Jubilados y Rentistas de Bolivia), as well as those communicated by the Bolivian Central of Workers (Central Obrera Boliviana) with respect to a new draft Law on pensions. According to these organizations, the draft law would ignore the provisions contained in certain social security conventions, in particular Convention No. 128. These comments were sent to the Government on 28 September 1995 and 2 September 1996, respectively. As the Government's report has not been received, the Committee can only trust that in the elaboration of any new piece of legislation, including a new Pension Law, the requirements of the Convention will be fully taken into consideration. It hopes that the Government's next report will contain a reply to the comments of the aforementioned organizations, as well as the text of the Bill or the Law on pensions, if adopted.

[The Government is asked to send a detailed report in 1997.]

Direct Request (CEACR) - adopted 1994, published 81st ILC session (1994)

I. 1. Part I (General provisions), Article 6 of the Convention (in conjunction with Articles 10, 11, 17, 18, 23 and 24). With reference to its previous comments, the Committee notes the text of the by-laws of the supplementary social security fund for the construction industry. The Committee requests the Government to supply the regulations respecting cash benefits, to which reference is made in section V of the above by-laws. It also requests it to supply the following texts, which were referred to in its 1991 report: (a) Presidential Decree No. 10191, of 14 April 1972, respecting the establishment of the Supplementary Fund for the Public Administration; (b) Presidential Decree No. 10972, of 11 July 1973, respecting the Supplementary Fund for Commerce; and (c) Presidential Decree No. 11227, of 13 December 1973, respecting the payment of benefits and their financing. Please also supply the text of Act No. 1141 of 23 February 1990.

2. Part V (Standards to be complied with by periodical payments), Articles 26 and 27 (in conjunction with Articles 10, 17 and 23). With reference to its previous comments concerning the level of periodical benefits covered by Articles 10, 17 and 23 of the Convention, the Committee notes that the Government once again refers to the actuarial mathematical study on the basic pensions scheme of 1991-95, which was adopted by the Bolivian Social Security Institute. In view of the fact that the information contained in the actuarial mathematical study does not permit it to assess whether the levels set out in the Convention are reached for invalidity, old-age and survivors' benefits, the Committee once again hopes that the Government will be able to supply in the near future the information required by the report form adopted by the Governing Body under either Article 26 or Article 27, according to which of these Articles the Government has decided to use.

3. Article 29. The Committee once again requests the Government to supply in its next report the information requested in the report form adopted by the Governing Body concerning the adjustment of basic pensions under this provision of the Convention.

II. 1. The Committee once again requests the Government to supply information on the structural reforms which it announced in a previous report, and on any progress achieved in the adoption of the draft Social Security Code.

2. The Committee also requests the Government to supply the text of Decree No. 20991, of 1 August 1985, and of Presidential Decree No. 22407 of 11 January 1990.

Direct Request (CEACR) - adopted 1992, published 79th ILC session (1992)

I. 1. Part I (General provisions), Article 6 of the Convention (in conjunction with Articles 10, 11, 17, 18, 23 and 24). In its previous comments, the Committee requested the Government to provide information on, and copies of, the by-laws of supplementary social security funds. As the Office has not received the legal texts referred to by the Government in its report, the Committee asks the Government again to provide the above texts.

2. Part V (Standards to be complied with by periodical payments), Articles 26 and 27 (in conjunction with Articles 10, 17 and 23). In response to the Committee's previous comments concerning the level of periodical benefits covered by Articles 10, 17 and 23 of the Convention, the Government has provided a copy of the Actuarial Mathematical Study on the basic pensions scheme of 1991-95 adopted by the Bolivian Social Security Institute. The Committee takes note of the above Study. It also notes with interest the text of Presidential Decree No. 22578 of 13 August 1990 which introduces, in conformity with sections 12-15 of the same Decree, a national minimum pension equivalent to the national minimum wage and lays down new provisions for determining survivors' benefits. The Committee observes, however, that it is unable to ascertain from the information contained in the Actuarial Mathematical Study whether the amount prescribed by the Convention for invalidity, old age and survivors' benefits is attained. The Committee nonetheless notes with interest the Government's statement in its report on Convention No. 130, that it intends to request the assistance of the ILO Regional Adviser on social security for Latin America on this matter. The Committee therefore hopes that, with the assistance of the Regional Adviser, the Government will be able to provide the information required by the report form adopted by the Governing Body under Articles 26 or 27, depending on which of these two provisions the Government avails itself of.

3. Article 29. The Committee notes with interest the information supplied by the Government concerning the adjustment of basic pensions for dependants. It asks the Government to provide in its next report the information requested, under this provision of the Convention, in the report form adopted by the Governing Body.

II. Regarding the new draft Social Security Code, the Government indicates that it is currently being revised in the technical committees of both Chambers of the National Congress. The Government adds, however, that owing to the proposed structural changes in the Bolivian social security system, it will not be adopted or come into force. The Committee asks the Government to provide information in its future reports on the above-mentioned structural reforms, and on any progress made in the adoption of the Code.

Direct Request (CEACR) - adopted 1991, published 78th ILC session (1991)

The Committee notes with regret that for the third consecutive year the Government's report has not been received. It hopes that a report will be supplied for examination by the Committee at its next session and that it will contain full information on the matters raised in its previous direct request, which read as follows:

I. 1. Article 6 of the Convention (in conjunction with Articles 10, 11, 17, 18, 23 and 24). The Committee requested the Government to supply detailed information on the supplementary non-compulsory social security scheme to which it referred with regard to the application of Parts II, III and IV of the Convention. The Committee also noted the information supplied by the Government to the effect that at present all sectors included in the Bolivian social security scheme are covered by the supplementary scheme. The Committee would be grateful if the Government would supply, by way of illustration, copies of the by-laws of supplementary social security funds.

2. Part V (Standards to be complied with by periodical payments), Articles 26 and 27 (in conjunction with Articles 10, 17 and 23). In its previous comments, the Committee requested the Government to supply certain statistics in order to enable it to assess whether the level of periodical benefits covered by Articles 10, 17 and 23 of the Convention corresponds to the percentage prescribed by the Schedule appended to Part V. As this information has not been supplied, the Committee once again requests the Government to indicate:

(a) if the Government wishes to have recourse to Article 26:

(i) the wage of a skilled manual male employee, selected in conformity with paragraph 6;

(ii) for each of the benefits covered by Articles 10, 17 and 23, the amount of the benefit, including the amount paid by the supplementary scheme, for a standard beneficiary (that is, a man with a spouse and two children, in the event of invalidity; a man with a spouse of pensionable age, in the event of old age; a widow with two children in the event of the death of the bread-winner), when the wage of this beneficiary or (in the event of his death) of his family bread-winner is equivalent to the wage of a skilled male manual employee;

(b) if the Government wishes to have recourse to Article 27, in so far as understanding that old-age, invalidity and survivors' benefits are not less than a prescribed minimum amount:

(i) the wage of an ordinary adult male labourer, selected in accordance with paragraph 4 of Article 27;

(ii) for each of the benefits covered by Articles 10, 17 and 23, the minimum amount of benefit, including the amount paid by the complementary scheme for a standard beneficiary (that is: a man with a spouse and two children, in the event of invalidity; a man with a spouse of pensionable age, in the event of old age; a widow with two children in the event of the death of the bread-winner).

3. Article 29. The Committee would also be grateful if the Government would supply, in future reports, information concerning the review of the rates of periodical benefits currently payable under Articles 10, 17 and 23, of the Convention following substantial changes in the cost of living.

The Committee has also been informed that a new draft Social Security Code has been prepared and is in the course of being adopted. It also notes that this draft provides for the review of the basic level of pensions and their automatic readjustment in the event of increases in wages and prices. The Committee hopes that this new Code will be adopted in the near future and that the Government will be able to supply the information that is requested in this respect in its next report and indicate the progress achieved with regard to the adoption of the Code.

Observation (CEACR) - adopted 1991, published 78th ILC session (1991)

The Committee notes with regret that for the third consecutive year the Government's report has not been received. It hopes that a report will be supplied for examination by the Committee at its next session and that it will contain full information on the matters raised in a new direct request.

Direct Request (CEACR) - adopted 1990, published 77th ILC session (1990)

The Committee notes with regret that the Government's report has not been received for the second year consecutively. It hopes that a report will be supplied for examination by the Committee at its next session and that it will contain full information on the matters raised in its previous direct request, which read as follows:

I. 1. Article 6 of the Convention (in conjunction with Articles 10, 11, 17, 18, 23 and 24). The Committee requested the Government to supply detailed information on the supplementary non-compulsory social security scheme to which it referred with regard to the application of Parts II, III and IV of the Convention. The Committee also noted the information supplied by the Government to the effect that at present all sectors included in the Bolivian social security scheme are covered by the supplementary scheme. The Committee would be grateful if the Government would supply, by way of illustration, copies of the by-laws of supplementary social security funds.

2. Part V (Standards to be complied with by periodical payments), Articles 26 and 27 (in conjunction with Articles 10, 17 and 23). In its previous comments, the Committee requested the Government to supply certain statistics in order to enable it to assess whether the level of periodical benefits covered by Articles 10, 17 and 23 of the Convention corresponds to the percentage prescribed by the Schedule appended to Part V. As this information has not been supplied, the Committee once again requests the Government to indicate:

(a) if the Government wishes to have recourse to Article 26:

(i) the wage of a skilled manual male employee, selected in conformity with paragraph 6;

(ii) for each of the benefits covered by Articles 10, 17 and 23, the amount of the benefit, including the amount paid by the supplementary scheme, for a standard beneficiary (that is, a man with a spouse and two children, in the event of invalidity; a man with a spouse of pensionable age, in the event of old age; a widow with two children in the event of the death of the bread-winner), when the wage of this beneficiary or (in the event of his death) of his family bread-winner is equivalent to the wage of a skilled male manual employee;

(b)if the Government wishes to have recourse to Article 27, in so far as understanding that old-age, invalidity and survivors' benefits are not less than a prescribed minimum amount:

(i) the wage of an ordinary adult male labourer, selected in accordance with paragraph 4 of Article 27;

(ii)for each of the benefits covered by Articles 10, 17 and 23, the minimum amount of benefit, including the amount paid by the complementary scheme for a standard beneficiary (that is: a man with a spouse and two children, in the event of invalidity; a man with a spouse of pensionable age, in the event of old age; a widow with two children in the event of the death of the bread-winner).

3. Article 29. The Committee would also be grateful if the Government would supply, in future reports, information concerning the review of the rates of periodical benefits currently payable under Articles 10, 17 and 23, of the Convention following substantial changes in the cost of living.

II. The Committee has also been informed that a new draft Social Security Code has been prepared and is in the course of being adopted. It also notes that this draft provides for the review of the basic level of pensions and their automatic readjustment in the event of increases in wages and prices. The Committee hopes that this new Code will be adopted in the near future and that the Government will be able to supply the information that is requested in this respect in its next report and indicate the progress achieved with regard to the adoption of the Code.