Brasília, 7/10/2003 (Agência Brasil - ABr) - After a full day of negotiations with allies and preliminary conversations with the opposition, the government has sent minister of Social Security, Ricardo Berzoini, back to the drawing board for new calculations of the cost of the Brazilian social security system. This follows a new proposal by the Judiciary to give civil servants retirement with full pay.

The full-pay proposal is popular with allied political leaders because it is seen as a way to pacify striking civil servants. However, the leaders have made it clear they will only accept the proposal if it does not break the backbone of the original government social security reform bill. They want assurances that the system will remain self-sustainable.

"We are initially favorable to the idea, although no decision has been made. We have to discuss this with state governors. And we have to ensure that the system will be stable and self-sustainable. Our goal is to make changes in the present system," declared the vice leader of the government in the Chamber of Deputies, Professor Luizinho (Luiz Carlos da Silva) (PT-SP).

Government spokesmen denied the decision to examine the proposal was a retreat from its position. According to the leader of the opposition PFL, José Carlos Alaluia (BA), the government was not in retreat, but was being flexible. Another opposition leader, Juthay Junior (PSDB-BA) said he would examine the proposal when it was put on paper. "We are not interested in discussing something that can be changed," he said.

The proposal by the Judiciary is to guarantee full-pay retirement for civil servants who are now in the government if they meet three requirements: women must be at least 55, men 60; they must have 20 years of public service or 35 years of contributions to the social security system. For future civil servants, the rules are as follows: women must be at least 60 to retire, men 65; they must have 25 years of service or 35 years of contributions to the system. (AB)