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The Biden- Harris Plan for Puerto Rico

  • By: admin
  • On: 10/07/2020 08:24:03
  • In: News
  • Comments: 0

Protections for public pensions were a key element of Democratic presidential nominee Joe Biden's plan for Puerto Rico. 

 

The Biden- Harris Plan for Puerto Rico


Protections for public pensions were a key element of Democratic presidential nominee Joe Biden's plan for Puerto Rico. 

Massive damage inflicted in 2017 by Hurricane Maria devastated the island, which had already been in a restructuring process since 2016, when the federal government created the Financial Oversight and Management Board of Puerto Rico to manage public finances.

The conditions imposed by the fiscal control board have led to major cuts in public education, infrastructure spending, and pensions on Puerto Rico, leading some residents to say it has made recovering from the series of disasters even harder.

The plan put forth by Biden and his running mate, Senator Kamala Harris of California, is dubbed “The Biden-Harris Plan for Recovery, Renewal and Respect for Puerto Rico.”

Among its tenets, the plan aims to “ensure low- and moderate-income people and pensioners are protected in any debt restructurings. Public pensions are critical to the financial security of 25% of Puerto Rico's families and hence to the local economy's health. Since 2013, pensioners have seen dramatic reductions in their benefits: retirement ages have been increased, employee contributions increased, cost of living increases eliminated, and pensions outright cut. Biden will work to protect pensioners in the context of debt restructuring.”

 

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