Abstract

The current social security scheme in Mexico has many deficiencies regarding institutional fragmentation, coverage, financing, quality of services, duplication of government programs and beneficiaries, among others. These failures may be explained, in part, because the social security arrangement was created taking into account a favorable connection between the dynamics of the labor market and the system itself, which meant good rates of economic growth and generation of formal employment. However, the structural changes carried out in the Mexican economy since the eighties and its performance in further decades, fractured the relationship between the labor market and the social security system. This fact makes it necessary to reform the social security scheme as a whole in order to achieve universal coverage, institutional integration, effective access and financial sustainability.

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