Mexico urged to protect public finances amid teachers' pension demands

The National Coordinator of Education Workers (CNTE) is pressing the Mexican government to repeal the 2007 pension reform that eliminated individual accounts for ISSSTE retirees and to restore a scheme that would grant teachers pensions equal to 100% of their final salary. President Claudia Sheinbaum’s administration has responded by proposing a public retirement insurer to manage and enhance teachers’ retirement benefits, alongside other support measures.

Economic experts warn that a public "Afore" cannot realistically achieve a 100% replacement rate. Jorge Cano, coordinator of the Public Spending Program at Mexico Evalúa, noted that no country with an Afore system reaches such a level, and achieving it would likely require artificial cross‑subsidies that could jeopardize fiscal stability. PAN deputy Héctor Saúl Téllez echoed these concerns, saying that solutions must be balanced and avoid “patches” that could endanger the nation’s finances. Both sides are urged to find sustainable compromises that protect teachers’ rights without compromising the public budget.