The truth about the separate management of INPS

18 July 20213 years ago babelfish

Giuliano Cazzola's analysis

What is meant by Separate Management at INPS? It is a pension fund financed with the compulsory social security contributions of insured workers and was born with Law 335/95 (art. 2, c. 26) for the reform of the pension system, also known as the Dini reform.

During the process for the approval of that law, Gianni Billia, then president of INPS, came up with a '' brilliant '' idea that held together the need to ensure social security protection for categories of workers hitherto excluded, but also to take the opportunity to "make cash" for many years for the benefit of the entire system within the unitary budget of the Institute. The so-called separate management was established, financed by the contribution method, initially with a rate of 10%. This was the choice that characterized the operation: such a low rate would never have determined contributions capable of providing more than symbolic treatments while it would have cast the nets for a new collection of income without corresponding outgoings.

Then the rate set off along a path of increase up to the current 25% for professionals (for whom there is no specific Fund; 24% for persons already retired or insured with other compulsory social security forms, 33% for collaborators In all these years, therefore, contributory withdrawals from increasing rates have determined a trend of positive balances which are the main hedging factor for deficit management. Then – Fra Cristoforo would say – also for the separate management '' a day will come '', in which benefits will begin to be paid and the usual problem of pay-as-you-go funded systems will arise, of the relationship between taxpayers and pensioners. positive balance between contributions and benefits which in 2019 was 7,391 million euros. The figure results from 8,572 million in contributory revenues and only 1.1 81 million outings for performances. This is the only social security management of the compulsory scheme whose benefits are calculated exclusively with the contribution method. The number of services provided is 472,434, an increase compared to the 449,037 of 2018, still very modest and largely lower than the number of taxpayers (as mentioned 1,330,000). The average amount of pensions paid is also low (2,710 euros per year) but this depends both on the short payment period (management started in March 1996) and on the low contributions previously in force.

The separate management is considered a sort of Cayenne, the social security side of the precarious. The residual nature of the set of enrolled workers (active enrollment means a member with at least one contribution payment during the year) is clearly evident by analyzing their extraordinary heterogeneity: a mix of marginal placements, new professional skills, effective independents, figures without excessive need for protection (administrators of large companies), young people on horseback or in transition between training and work (doctorates, medical specialists), as well as traditional professions (door-to-door sellers). It is therefore important to make use of the data provided by the XX INPS Report to understand which categories are concerned and what their numerical consistency is. There are two large groups, divided by whether or not they operate with a VAT number.

Freelancers with VAT number but without their own pension fund: these are essentially relatively new professions, not attributable to traditional groups (lawyers, notaries, surveyors, engineers, etc.) organized in professional associations with their own pension fund. The latest figure
administrative available in the final balance at the time of drafting this Report relates to 2019: it involves 402 thousand workers.
Members without VAT. , The number of subjects belonging to this category decreased by 1.7% between 2019 and 2020, dropping from 948,000 to 932 thousand workers (of these 32% in 2020 received the anti-COVID-19 support allowance) . It is a heterogeneous whole within which we distinguish four
subcategories:

the "administrators": they are the largest group. In 2020 there were 549 thousand, an increase compared to 2019 (+ 0.7%). This is the vast world of corporate offices, especially in corporations and limited liability companies, therefore sole directors, statutory auditors, auditors etc. For some of them it is the main job and therefore they are real entrepreneurs; for others they are accessory or complementary commitments. They are characterized by an overwhelming prevalence of the male component (almost 80%) with an advanced average age. The "exclusives" are 210 thousand: they are essentially business administrators. Among the large group of holders of other insurance also stand out the self-employed (210 thousand merchants and artisans) and significant are also employees (55 thousand) and pensioners (51 thousand). It seems difficult to argue that these are precarious. Many of them carry out these activities in parallel with other activities, including employees.
the "collaborators" in the strict sense: it is the group that had been halved by the Jobs Act (in 2014 it had a consistency of 530 thousand units); in 2020 the pandemic caused a further downsizing, in fact it decreased by 5.4%, falling from 283 thousand in 2019 to 268 thousand in 2020. It includes the most well-known cases at a journalistic level, often identified as the parasubordinate tout-court: (i.e. prototype of the precarious): coordinated and continuous collaborations, project collaborations. In this group the female component prevails. Three quarters (202 thousand) are exclusive, therefore without other coverage. In more than 90% of cases it has a single client and only a modest fraction (46 thousand) shows an income condition such as to ensure social security coverage for a whole year;
subjects in post-graduate training.
Research fellows are required to pay a contribution to the separate management since 1998 (law 449/1997) and doctoral students with a scholarship since 1999 (law 315/1998). Doctors in specialist training were subjected to the contribution to the separate management starting from 2006. Overall these subjects were 88,000 in 2020, a decrease compared to 2019; the trends fluctuate from year to year depending on public decisions regarding the available grants. These are PhD students with scholarships, fellows and fellows of various kinds, medical specialists: hybrid figures, engaged in activities in which the boundary between training and work can be difficult to identify. These figures are therefore not holders of a real employment relationship. In any case, a social security system (pension and non-pension) has been created for them which, in fact, assimilates them to workers. Among these subjects the female component prevails and obviously they are young people, especially in their twenties and thirties. In the case of doctors, other insurance is also provided as they are still members of the professional association. Since these are continuous conditions and governed by income set by regulations, they give rise to tendentially long credits: more than half of the entire year is accredited;
a residual group of other types which in 2020 concerned 27 thousand people, mainly being door-to-door sellers (16 thousand), the figure of associates in participation being now practically extinct (there were 84 thousand in 2014) .3. Casual workers.

Since we are walking in partibus infidelium (according to the prevailing trade union doctrine) it is appropriate to loot the XX Report a little more to take care of occasional work, after the abolition of vouchers (under the threat of an abrogative referendum) and the institution of the Occasional Performance Contracts (CPO) and the Family Booklets (LF). The new rules of use have severely limited the diffusion of occasional work services. If in fact in 2016, the last complete calendar year in which the vouchers were in force, the total gross amount of ancillary services was an order of magnitude equal to 1.34 billion euros for almost 1.7 million lenders, in 2018, first full calendar year in which CPO / LF were in force, the total gross amount of occasional work was, as an order of magnitude, equal to 82 million euros for about 90 thousand lenders. More than a contraction, the numbers tell of a fracture, a change of paradigm. Hoping that it was not also an increase in undeclared work.

These are the numbers of the Foreign Legion of the pension system. Most of the interested parties are enrolled in the separate management for an income deriving from a work activity that is often ancillary to the main one. There are a few hundred thousand '' exclusivists ''. A little 'few to be the new' 'damned of the earth' '.

This is a machine translation from Italian language of a post published on Start Magazine at the URL https://www.startmag.it/economia/gestione-separata-inps-cosa-succede/ on Sun, 18 Jul 2021 07:06:46 +0000.