Thursday, April 13, 2006

Chile to Increase Pensions to Poor

Chile's Senate approved President Michelle Bachelet's call for higher pensions to poor Chileans yesterday. As ThinkSocialist reported yesterday, Bachelets approval rating is hovering around 72% - higher than even Hugo Chavez. The bill will fund the new pensions by preserving the 19% sales tax which creates revenues of $622 million each year.

Under the U.S.-backed Pinochet tyranny, the public trust was looted and social programs were shut down. One of Pinochet's most radical steps ws to abolish public social security and privatize the system, as was suggested by the Milton Friedman's Chicago Boys. According to the World Bank, Chile's privatization resulted in "more than half of all workers [are excluded] from even a semblance of a safety net during their old age." Viva Bachelet!