Social Security (Minimum Standards) Convention, 1952 (No. 102) - Costa Rica (Ratification: 1972)

Direct Request (CEACR) - adopted 2022, published 111st ILC session (2023)

The Committee notes the observations of the United Trade Union Movement composed of the Confederation of Workers Rerum Novarum (CTRN), the Costa Rican Workers’ Movement Central (CMTC), the General Confederation of Workers (CGT) and the Workers’ Unitary Confederation (CUT) on the application of the Convention, received on 31 August 2022, in relation to which the Government is requested to provide its comments in future reports.

The Committee also notes the observations of the Costa Rican Federation of Chambers and Associations of Private Enterprise (UCCAEP), communicated with the Government’s report.

Part II (Medical care) of the Convention. Application of the Convention in practice. The Committee notes the comments of the United Trade Union Movement alleging non-compliance with Part II of the Convention as the provision of medical care has been weakened as a result of the thousands of cases of delayed surgical interventions and medical examinations, and deficiencies in the provision of medication. According to the United Trade Union Movement, the delays are due to the unfavourable financial situation of the Costa Rican Social Security Fund. The Committee hopes that the Government will provide its comments on the observations of the United Trade Union Movement and requests it to provide information on the length of the delays in patients receiving the medical care guaranteed by Article 10 of the Convention.

Part VI (Employment injury benefit), Articles 36 and 38. Duration of benefit. In its previous comment, the Committee expressed the hope that the Government would take the necessary measures to ensure the payment of periodical benefits throughout the contingency in cases of permanent partial disability of more than 25 per cent, or replace the payment for a lump sum where the competent authority is satisfied that the lump sum will be properly utilized. The Committee notes the indication provided by the Government in its report that it will engage in coordination to carry out an actuarial study with a view to assessing the possible options, and will keep the Committee informed. The Committee trusts that the Government will take the necessary measures to give effect to Articles 36 and 38 of the Convention with a view to ensuring the payment of periodical benefits throughout the contingency in the case of permanent partial disability of more than 25 per cent. The Committee requests the Government to provide detailed information in its next report on the findings of the actuarial study carried out and the measures adopted or envisaged with a view to giving effect to Articles 36 and 38 of the Convention.

Part VII (Family benefit), Article 44. In its previous comment, the Committee requested the Government to provide information on the total value of family benefits granted in accordance with the provisions of Article 44 of the Convention. The Committee notes the information provided by the Government on the benefits provided under the Interinstitutional Cooperation Agreement between the Ministry of Labour and Social Security (MTSS) and the Mixed Social Assistance Institute (IMAS), which grants a conditional cash transfer to families with child workers who are incorporated into the formal education system with a view to contributing to the eradication of child labour and the protection of young workers. However, the Committee observes that the report provided by the Government does not provide detailed statistics on the manner, amounts and conditions under which such transfers are provided, and the extent to which they meet the requirements of Part VII of the Convention, and particularly Article 44. The Committee recalls that, in accordance with Article 44 of the Convention, family benefit shall represent: (a) 3 per cent of the wage of an ordinary adult male labourer, multiplied by the total number of children of persons protected; or (b) 1.5 per cent of the reference wage, multiplied by the total number of children of all residents.

In this context, the Committee once again requests the Government to specify in its next report the amounts provided directly to meet the needs of children and to indicate the extent to which the family benefits provided meet the requirements set out in Part VII of the Convention, and particularly Article 44, by replying to the questions in the report form.

Article 28 of Part V (Old-age benefit), Article 56 of Part IX (Invalidity benefit), Article 62 of Part X (Survivors’ benefit), Articles 65 and 66 of Part XI (Standards to be complied with by periodical payments) and the Annex. Guaranteed minimum benefit. The Committee notes the information provided by the Government in its report that the Invalidity, Old-age and Survivors’ Insurance Regulations were revised by the Executive Board of the Costa Rican Social Security Fund on 14 December 2021, with amendments to sections 5, 23 and 24 and the transitional sections XII, XIII, XIV and XV being repealed, resulting in changes in the provisions respecting the ordinary old-age pension, the proportional old-age pension and the early old-age pension, as well as those respecting invalidity and survivors’ pensions, and the formula for the calculation of average wages for contribution purposes, the periods when pensions are paid and their amount. The Committee notes the observations of the United Trade Union Movement that these changes exclude the possibility of early retirement, change the number of contributions required for entitlement to pensions and accumulate the supplementary benefit with the basic pension, which could result in a reduction of up to 7 per cent in the level of future pensions.

The Committee hopes that the Government will provide its comments on the observations of the United Trade Union Movement and requests it to provide information to demonstrate that the amount of the minimum pension guaranteed by the scheme governed by the Invalidity, Old-age and Survivors’ Insurance Regulations meets the requirements set out in Articles 28, 56 and 62, in conjunction with Article 65 or 66 of the Convention, as indicated in the report form for the Convention.

Part XIII (Common provisions), Article 71. Financing. The Committee notes the observation of the United Trade Union Movement indicating that the Costa Rica Social Insurance Fund is going through a serious financial crisis due to administrative shortcomings, indebtedness and the lack of investment by the Government of Costa Rica, which has resulted in inadequate levels of social security benefits and medical care. The Committee also notes the observation that, according to the data of the National Institute of Statistics and Census (INEC), 30 per cent of economically active persons in general and 58 per cent of self-employed workers are not covered by the social security system. It adds that the deficiencies in the coverage of the self-employed, and the low wages paid to dependent workers, which are adjusted at below the inflation rate, are having a negative effect on the financing of social security and are resulting in low invalidity, old-age and survivors’ pensions.

The Committee hopes that the Government will provide its comments on the observations of the United Trade Union Movement and requests it to provide information on: (i) the current financial situation of the Costa Rican Social Insurance Fund, with an indication, where appropriate, of the measures adopted or to be adopted to improve the level of financing; and (ii) the application of Article 71, including statistical data and calculations, taking into account the various pension schemes and health services, as indicated in the report form for the Convention.

The Committee reminds the Government of the possibility of having recourse to ILO technical assistance in this regard.

Direct Request (CEACR) - adopted 2019, published 109th ILC session (2021)

Part VI (Employment injury benefit), Articles 36 and 38 of the Convention. Duration of benefit. In its previous comment, the Committee expressed the hope that the Government would take the necessary measures to ensure the payment of periodical benefits throughout the contingency in cases of permanent partial disability in excess of 25 per cent. The Committee notes the Government’s indication in its report that the minimum loss of earning capacity to receive periodic benefits for permanent disability is 0.5 per cent. However, the Committee observes that in the event of permanent disability leading to a loss of earning capacity of 0.5–50 per cent, payments are limited to five years and for a loss of earning capacity of 50–67 per cent payments are limited to ten years (sections 223, 238 and 239 of the Labour Code). Under the national legislation, periodical payments throughout the contingency are paid only for permanent disability with a loss of earning capacity of 67 per cent or higher (lifelong annual payments, section 240 of the Labour Code). The Committee recalls that not only does Article 36 require the benefit to be a periodical payment but Article 38 also provides that the periodical payment under Article 36 shall be granted throughout the contingency. However, Article 36(3) of the Convention allows for the periodical payment to be commuted for a lump sum where the degree of incapacity is slight (which the Committee has always considered to mean not more than 25 per cent) or where the competent authority is satisfied that the lump sum will be properly utilized. The Committee reiterates its hope that the Government will take the necessary measures to ensure the payment of periodical benefits throughout the contingency in the case of permanent partial disability, at least when these benefits are granted for a degree of incapacity that is not slight.

Part VII (Family benefit), Article 44. In its previous comment, the Committee expressed the hope that the Government would be in a position to calculate the total value of family benefit. The Committee notes the Government’s indication that internal arrangements have been made for this purpose to collaborate with the national agencies that provide cash benefits as part of social security and to analyse these aspects in light of Article 44 of the Convention. The Committee requests the Government to provide information on the total value of family benefits granted in accordance with the provisions of Article 44 of the Convention.

Observation (CEACR) - adopted 2013, published 103rd ILC session (2014)

The Committee notes the information provided by the Government with regard to the principle of administration with the participation of representatives of the insured persons under the compulsory scheme for supplementary pensions (Article 72 of the Convention). Furthermore, the Committee notes the Government’s reply to the observations of the Confederation of Workers Rerum Novarum (CTRN) received in September 2012.

Part VI (Employment injury benefit), Articles 34, 36 and 38 of the Convention. Duration of benefit. In its report, the Government states that benefits are paid throughout the contingency. However, pursuant to sections 238 and 239 of the Labour Code – relating to permanent minor disability and permanent partial disability, respectively – payments are limited to five to ten years. As regards the degree of loss of earning capacity considered minimal by the national legislation (section 223 of the Labour Code – 0.5 to 50 per cent), the Committee points out that a degree of loss of earning capacity ranging from 25 to 50 per cent is not considered “minimal” under Paragraph 10(1) of the Employment Injury Benefits Recommendation, 1964 (No. 121). The Committee hopes that the Government will reconsider the situation and take the necessary measures to ensure the payment of periodical benefits throughout the duration of the contingency in case of permanent partial disability in excess of 25 per cent.

Part VII. Family benefit. Article 44. The Committee notes the amounts allocated in social assistance programmes directly addressed to the needs of children. The Committee hopes that the Government will be able to calculate the total value of benefits granted in accordance with what is laid down in Article 44 of the Convention.

Observation (CEACR) - adopted 2012, published 102nd ILC session (2013)

Part VI (Employment injury benefit). Articles 34, 36 and 38 of the Convention (read in conjunction with Article 69). The Committee regrets to note once again that, despite the primacy recognized by the Constitution of Costa Rica to ratified international Conventions and the incorporation of Convention No. 102 into the block of constitutionality, there has been no change with respect to the provisions of the Labour Code limiting the period during which pensions are paid in the event of permanent disability of less than 67 per cent or in case of death of the breadwinner as a result of a work accident. The Committee observes that these limitations are not in line with Articles 36 and 38 of the Convention which in principle provide for exceptions to the payment of periodical payments throughout the contingency in the case of partial disability where the degree of incapacity is slight. The Committee has continuously held that a permanent disability entailing a loss of earning capacity greater than 25 per cent cannot be considered slight. In these circumstances, the Committee once again requests the Government to, without delay, take the necessary steps to eliminate the contradictions between the Labour Code and Part VI of the Convention. Moreover, the Committee notes that the other elements of information in relation to Part VI of the Convention requested in the report form have not been received. The Government states in this respect that it was not able to ensure that the National Insurance Institute provide the relevant information. The Committee trusts that the Government will take all necessary measures to ensure that the requested information is supplied in its next report.

Part VII (Family benefit). Articles 40–44. The Committee notes the information provided by the Government concerning the non-contributory pension scheme. While the benefits provided by the scheme are fully relevant to compliance with Parts V (Old-age benefit), IX (Invalidity benefit) and X (Survivors’ benefit) of the Convention, they do not seem to correspond to the contingency covered by Part VII, i.e. the responsibility for the maintenance of dependent children. The Committee recalls that, under Article 41 of the Convention, family benefit should be either: a periodic payment; the provision to or in respect of children, of food, clothing, housing, holidays or domestic help; or a combination of both types of benefits. In accordance with Article 41(c), these benefits may be granted on condition of resources. In this context, the Commission considers that the conditional cash transfer programme Avancemos, described by the Government in its report and directed to promote school integration of children from families with economic difficulties, meets the objectives of Part VII of the Convention. The Committee understands that other social assistance programmes mentioned by the Government such as Bienestar familiar, correspond to the goals of family benefit to the extent that some of its services are responsive to the needs of children. In order to comprehensively assess the implementation of Part VII of the Convention in Costa Rica, the Committee invites the Government to specify in its next report the amounts of these social assistance programmes directly targeted to the needs of children.

Article 72. Principle of democratic administration of the social security system. Under paragraph 1 of Article 72 of the Convention, when the administration of the social security scheme is not entrusted to an institution regulated by public authorities or by a government department responsible to Parliament, representatives of the persons protected shall participate in administration or be associated therewith in a consultative capacity. The Committee requests the Government to explain in its next report how it gives effect to this principle under the Supplementary Compulsory Pensions Scheme.

Issues raised by the Confederation of Workers Rerum Novarum (CTRN). The Committee notes the comments of the CTRN received on 2 September 2012 and the Government’s note of 5 November 2012 indicating that replies to the CTRN communication will be sent promptly. The CTRN comments refer specifically to the following issues: the deterioration that characterizes the health care provided by the Social Security Fund (CCSS), where an increasing number of insured need to litigate before the courts with a view to being granted certain treatments or medicines; the possibility of reducing the level of invalidity, old-age and survivors’ pensions in the near future; the complexity of the administrative and judicial procedures to access disability pensions; the consequences of the opening to private companies of insurance against employment injuries on the quality of services provided by the National Insurance Institute and industrial accident prevention policies. The Committee requests the Government to reply to the comments submitted by the CTRN in its next report.

[The Government is asked to reply in detail to the present comments in 2013.]

Observation (CEACR) - adopted 2011, published 101st ILC session (2012)

I. Reform of the national old-age, invalidity and survivors’ insurance scheme

In 2000, the Workers’ Protection Act No. 7983 established the new regulatory framework for old-age pensions, made up of a public social security scheme, a compulsory private scheme, a voluntary private scheme and a public non-contributory scheme. With a view to ensuring the sustainability of the Social Security Fund of Costa Rica, important changes were made in April 2005 to the first “pillar” of the Regulation concerning the national old-age, invalidity and survivors’ insurance programme (IVM), which covers about 800,000 workers. For the most part, these changes focused on: the introduction of a new mechanism to determine a basic pension rate to help those with low incomes; the introduction of a pension with proportional rates after 15 years; the extension of the minimum contributory period and the period used to determine earnings taken into consideration to calculate old-age and invalidity benefits; the gradual increase of contributions over a period of 30 years; and the introduction of an invalidity pension at a rate of 50 per cent of the full-rate invalidity pension for persons aged 48 years and over who have contributed for at least 60 months. In order to understand more clearly the way in which the Convention is implemented in the light of the considerable changes made in the country with respect to the abovementioned benefits, the Committee requests the Government to provide, in its next detailed report due in 2012, all the information required by the report form under each of the Parts of the Convention accepted by Costa Rica, i.e., Parts II and V to X, as well as the statistics required by Article 76 of the Convention.

II. Questions raised previously

Referring to its previous comments, the Committee notes with satisfaction the amendments made in 2007 to the Regulation concerning old-age, invalidity and survivors’ insurance and death, which introduced a proportional pension for beneficiaries who have reached 65 years of age and paid a total of 180 contributions, i.e. 15 years, in accordance with the requirements of Article 29(2)(a) of the Convention. The Committee also notes the statistical information demonstrating the correlation between the reassessment of the pensions, the inflation rate and the upgrading of salaries.

Part VI (Employment injury and occupational illness benefit), Articles 34, 36 and 38 (in conjunction with Article 69). The Committee notes that no change has been made to the limited period during which pensions are paid in the event of minor or partial permanent disability and in the event of death of the breadwinner. The Government refers once again in its report to a communication from the National Insurance Institute, which considers that there is no reason to amend the national legislation given that national policy attempts to reinstate the victims of occupational accidents into professional life, provided that their incapacity for work is not total and enables them to continue working. In this respect, the Committee reminds the Government that it has an overall responsibility to implement the Convention by guaranteeing the benefits due, and that there is no question of referring to an opinion handed down by the competent authority to avoid compliance with international obligations arising from ratified Conventions. The Committee recalls once again that the degree of loss of earnings capacity considered to be a minimum threshold by the legislation (section 223 of the Labour Code) ranges between 0.5 per cent and 50 per cent, implying that a person having lost half of his capacity to work following an occupational accident may be deprived of benefits which should be guaranteed throughout the duration of the contingency. In this respect, the Committee points out that the Convention favours the vocational rehabilitation of victims who are permanently disabled and their reintegration into the labour force, but authorizes the cumulation of the permanent disability pension with any other possible income that persons might earn by drawing upon their remaining capacity to work. In these circumstances, the Committee can only hope that the Government will take the necessary measures to amend the relevant provisions of the Labour Code so that in all cases of permanent incapacity, partial incapacity higher than 25 per cent, or death, periodical cash payments are granted for life, in accordance with the Convention, without any condition as to resources.

Part VII (Family benefits), Articles 40 and 44. In reply to the Committee’s previous comments concerning the need to amend the system of family benefits to bring it into line with the definition of the contingency defined under Article 4 of the Convention, the Government states that, despite the efforts made to comply with the Convention, the socio-economic factors affecting developing countries means that it does not have sufficient resources to pay the family benefits at the rates required by the Convention. The Committee recalls in this respect that the benefits paid at present to low-income families under section 4 of Act No. 5662 of 23 December 1974 and section 2 of Act No. 4760 of 30 April 1971 are means-tested. In these circumstances, the Committee would like to ask the Government to provide in its next report additional information on the types of benefits provided under the legislation quoted above and to indicate whether actuarial studies have been carried out with a view to assessing the financial implications of introducing a branch providing benefits to families, in accordance with Part VII of the Convention.

III. Questions raised by the Confederation of Workers Rerum Novarum (CTRN) and the Trade Union of Employees of the Ministry of Finance (SINDHAC)

The Committee took note of the comments made by the CTRN and the SINDHAC, as well as of the Government’s full reply to these comments. Referring to its 2003 observation, the Committee reiterates that the reference under Article 29(1)(a) of the Convention to the qualifying period of “20 years of residence” refers to universal non-contributory schemes and does not, therefore, refer to schemes which are financed by contributions.

Direct Request (CEACR) - adopted 2007, published 97th ILC session (2008)

The Committee notes with interest the information provided by the Government in its report.

Part VII (Family benefit), Article 44 of the Convention. In reply to the Committee’s previous comments, the Government refers to the legislative provisions (section 4 of Act No. 5662 of 23 December 1974 and section 2 of Act No. 4760 of 30 April 1971) under which financial assistance is provided to low-income families. The Committee observes that these provisions do not address the contingency covered by Part VII, Article 40, of the Convention, namely “responsibility for the maintenance of children as prescribed”. Family benefit is a benefit to be provided to living insured persons protected by the social security scheme. This being the case, the Committee once again requests the Government to indicate, with reference to the information requested in the report form, whether the total value of the benefits granted to the persons protected (i.e. the total amount of periodic cash benefits provided to families with dependent children, and the cost of providing food and clothing in various rural centres) is such as to represent, in accordance with Article 44: (a) 3 per cent of the wage of an ordinary adult male labourer, as determined in accordance with the rules laid down in Article 66, multiplied by the total number of children of the persons protected; or (b) 1.5 per cent of the said wage, multiplied by the total number of children of all residents.

Part XIV (Miscellaneous provisions), Article 76, paragraph 1(b)(ii), of the Convention (in conjunction with Article 36). With reference to its previous comments, the Committee notes the information provided by the Government. It notes in particular that the minimum monthly periodical payment for total permanent incapacity is equivalent to 117,014.00 colones. It requests the Government to provide the information requested under Article 66 (Titles I, II and IV) of the report form adopted by the Governing Body in respect of employment injury benefit (Part VI) of the Convention.

Observation (CEACR) - adopted 2007, published 97th ILC session (2008)

I. The Committee notes the information provided by the Government in its last report. The Committee notes in particular the information on the operation of the compulsory and voluntary schemes administered by supplementary pension institutions.

1. With reference to its previous comments, the Committee notes with interest that in April 2005 the Social Security Fund of Costa Rica (CCSS) approved the amendment of sections 5 and 24 of the Regulations on invalidity, death and survivors’ insurance, of 29 June 1995, with a view to guaranteeing, in accordance with Part V, Article 29, paragraph 2(a), of the Convention, the provision of a reduced old-age pension to a protected person who has completed a minimum of 15 years of contribution. The Committee requests the Government to indicate whether the above amendment has entered into force and, if so, to provide a copy of the text amending the Regulations of 2005.

II. With reference to its previous comments, the Committee observes that the Government’s report does not reply to most of the issues raised. This being the case, it is bound to reiterate the points raised previously.

1. With reference to its previous comments, the Committee once again finds that the Government’s report does not contain the information requested in the report form under Title VI, Article 65, of the Convention. In its report, the Government confines itself to indicating that, in accordance with the Regulations on pension insurance, the CCSS undertakes the re-evaluation or adjustment of current pensions. With a view to being able to assess the real impact of pension increases in relation to fluctuations in the general level of earnings and the cost-of-living index, the Committee once again requests the Government to indicate whether pensions have been revalued and, if so, to provide information on the cost-of-living index, earnings and benefits in relation to a single period, in accordance with the information requested under Title VI, Article 65, of the Convention.

2. Part VI (Employment injury benefit), Articles 34, 36 and 38 of the Convention (also in conjunction with Article 69). (a) With reference to its previous comments, the Committee notes the information provided by the Government to the effect that the medical assistance envisaged in section 218 of the Labour Code is in compliance with the provisions of Article 34, paragraph 2, of the Convention.

(b) With regard to the provision of cash benefit throughout the contingency in the event of minor or partial permanent disability, and in the event of death, the Government admits that in the case of minor permanent disability, section 218 of the Labour Code only gives entitlement to a five-year periodical payment, whereas Article 36 of the Convention envisages the provision of a periodical payment for life. With regard to partial incapacity, the Government indicates that, although section 239 of the Labour Code envisages a ten-year periodical payment, in a resolution (VIII of 10 December 1990) the Executive Board of the National Insurance Institute decided to “convert the periodical payments for permanent partial incapacity into payments for life, in compliance with the provisions of the Labour Code, such that the period of ten years may be extended for consecutive periods of five years where, through socio-economic studies, it is demonstrated that the beneficiary is substantially dependent on the periodical payment for subsistence, or that the latter represents 50 per cent or more of her or his income”. The Committee notes this information.

The Committee observes that the degree of loss of earnings capacity considered to be a minimum threshold by the legislation (section 223 of the Labour Code) ranges between 0.5 per cent and 50 per cent. The Committee has always considered that permanent incapacity for which the degree of loss of earnings capacity is higher than 25 per cent cannot be considered a minimal level of loss of capacity. This being the case, the Committee is bound to hope once again that the Government will take the necessary steps to amend the relevant provisions of the Labour Code so that in all cases of permanent incapacity and partial incapacity higher than 25 per cent or death periodical cash payments are granted for life, in accordance with the Convention, without any condition as to resources.

The Committee would also be grateful if the Government would provide detailed information on the issues raised in a direct request.

[The Government is asked to reply in detail to the present comments in 2008.]

Direct Request (CEACR) - adopted 2003, published 92nd ILC session (2004)

The Committee notes with interest the information supplied by the Government in its report concerning the application of Part VIII (Maternity benefit) of the Convention.

Part VII (Family benefit). Article 44 of the Convention. In response to the Committee’s previous comments, the Government refers, inter alia, to section 27 of the Regulations on invalidity, old age and death, 29 July 1995. The Committee observes that this provision lays down the requirements for entitlement to survivors’ benefit and not the contingency covered by Article 40 of Part VII of the Convention which covers "responsibility for the maintenance of children as prescribed". Family benefit is a benefit to be provided to living ensured persons protected by the social security scheme and is a separate branch of social security from survivors’ benefit. The Committee accordingly asks the Government once again to indicate whether the total value of the benefits granted to the persons protected (i.e. the total amount of periodic cash benefits provided to families with dependent children, and the cost of providing food and clothing in various rural centres) is such as to represent, in accordance with Article 44: (a)3 per cent of the wage of an ordinary adult male labourer, as determined in accordance with the rules laid down in Article 66, multiplied by the total number of children of persons protected; or (b) 1.5 per cent of the said wage, multiplied by the total number of children of all residents.

Part XIV (Miscellaneous provisions). Article 76, paragraph 1(b)(ii) (in conjunction with Article 36). With reference to its previous comments, the Committee observes that the Government merely lists a number of provisions of the Labour Code pertaining to occupational risks. It therefore again asks the Government to provide the information required under Articles 65 (Titles I, II and IV) or 66 (Titles I, II and IV) of the report form adopted by the Governing Body in respect of Employment injury benefit (Part VI) of the Convention.

Observation (CEACR) - adopted 2003, published 92nd ILC session (2004)

I. The Committee notes the Government’s observations of 22 April 2002 in response to a letter of the Rerum Novarum Confederation of Workers raising a number of points concerning the application of the Convention.

Rerum Novarum asserts that the Government of Costa Rica has failed to comply with Article 29 of the Convention by ignoring decision No. 6842-90 of 1999 in which the Constitutional Court ruled that "the Convention applies to persons having contributed for 20 years to the scheme to which they belong". The Rerum Novarum further asserts that the failure to apply that decision means that workers have to complain to the competent courts, where procedure is so slow that entitlement to retirement pension is inoperative.

In reply, the Government endorses what the Social Security Fund of Costa Rica (CCSS) said in a report of 10 January 2002, namely that Rerum Novarum’s complaint "lacks any basis in law and rests on a misconstruction of Article 29 of the Convention and a misappreciation of the Constitutional Court’s decisions". According to that report, no provision of the Convention establishes that 20 years of contributions to a scheme gives entitlement to old-age pension if other requirements set by the applicable rules, such as minimum age, are not fulfilled.

The Committee notes the Government’s reply to the comments by Rerum Novarum. It points out in this connection that under Article 26, paragraphs 1 and 2, of the Convention, a minimum age may be prescribed for entitlement to old-age benefit, but may not be more than 65 years.

In a letter of 24 June 2003, referring to article 19, paragraph 8, of the ILO Constitution, Rerum Novarum asked whether "a literal interpretation of a Convention should take precedence over a decision granting rights which are more favourable to the beneficiaries of a pension scheme". The Committee recalls in this connection that article 19, paragraph 8, of the ILO Constitution provides that: "In no case shall the adoption of any Convention or Recommendation by the Conference, or the ratification of any Convention by any Member, be deemed to affect any law, award, custom or agreement which ensures more favourable conditions to the workers concerned than those provided for in the Convention or Recommendation."

In the Committee’s view, however, decision No. 6842-90 of 1999, to which Rerum Novarum refers, has no bearing on the application of the Convention since it refers to provisions (Article 27, paragraph (c), and Article 29, paragraph (a)) that apply to universal, non-contributory schemes and are therefore irrelevant to schemes financed by contributions, as is the case in Costa Rica.

II. The Committee notes the information supplied by the Government in its last report.

1. In its previous comments the Committee pointed out that the Regulation of 29 June 1995 on invalidity, old-age and survivors’ insurance did not appear to provide, in accordance with Part V, Article 29, paragraph 2(a), of the Convention, for payment of a reduced old-age benefit to a person protected who has completed the qualifying period of 15 years of contributions. In its report the Government merely states that in its ruling on the application of the Convention the Constitutional Court, whose decisions are binding and apply erga omnes, took the period of contribution as a basis and applied, pursuant to Administrative Directive No. 001-2000, a period of 20 years for eligibility. The Committee takes note of this information. It points out to the Government that the purpose of Article 29, paragraph 2(b), of the Convention is to ensure that where payment of a benefit is conditional upon a minimum period of contribution or employment, as is the case in Costa Rica, persons protected who have completed in accordance with prescribed rules a qualifying period of 15 years of contribution or employment are entitled to a benefit which is reduced in relation to the pension calculated pursuant to Article 29, paragraph 1, of the Convention. The Committee requests the Government to indicate the measures it is planning to adopt in order to ensure, in accordance with Article 29, paragraph 2(a), of the Convention, that a reduced old-age pension is paid to a person protected who has completed 15 years of contribution.

2. In its previous comments the Committee requested information on the impact of the Workers’ Protection Act, adopted on 24 January 2000, on the application of the Convention. The Committee notes that little specific information is available because the Act was passed only recently. It notes, however, that regulations to implement the Act came into force on 24 April 2001. It also notes the information on the number of members of each of the pension funds. It asks the Government to continue to provide information on the operation of the pension funds, including statistics on commissions, profits and the number of members.

III. Further to its previous comments, the Committee notes that the Government’s report contains no reply to most of the questions raised. It is therefore bound to raise these matters again:

1. With reference to its previous comments the Committee notes once again that the Government’s report does not contain the information required by the report form under Title VI, Article 65, of the Convention. So that it can assess the real incidence of pension increases on changes in the general level of earnings or the cost of living index, the Committee again asks the Government to indicate whether the pensions have been revalued, and, if so, to provide information on the cost of living index, earnings and benefits in respect of a single period.

2. Part VI (Employment injury and occupational illness benefit), Articles 34, 36 and 38 of the Convention (in conjunction with Article 69). In its previous comments the Committee requested the Government to take the necessary steps to amend sections 218, 228 to 232, and sections 237 to 239 and 243 of the Occupational Risks Act, No. 6727 of 1982, so as to bring all these provisions into line with the Convention with regard to: (a) the nature of medical care, which must correspond to the provisions of Article 34 of the Convention and be provided free of charge throughout the contingency (i.e. until recovery or the stabilization of the person’s invalidity); (b) the grant of cash benefits, also throughout the contingency, in the event of minor or partial permanent disability and in the event of death. In both cases these benefits are paid under the abovementioned provisions of Act No. 6727 for a period of five or ten years, depending on the circumstances, whereas the Convention stipulates that they must be provided to the disabled person for life and to dependents for as long as they fulfil the conditions prescribed under national laws.

The Government supplied in this connection a draft amendment to Title IV of Act No. 6727, published on Monday, 18 December 2000 in the Diario Oficial La Gaceta No. 242. The Committee notes with regret, however, that as regards to the abovementioned provisions of Act No. 6727 of 1982, the draft makes no amendment in respect of the matters to which the Committee has been drawing attention for several years. It therefore hopes that the Government will take the necessary steps in the near future to bring the legislation into line with Articles 34, 36 and 38 of the Convention.

The Committee would also be grateful if the Government would supply detailed information on the questions raised in a direct request.

Direct Request (CEACR) - adopted 2001, published 90th ILC session (2002)

The Committee notes that the Government’s report has not been received. It hopes that a report will be supplied for examination by the Committee at its next session and that it will contain full information on the matters raised in its previous direct requests, which read as follows:

  Part VIII of the Convention (Maternity benefit). The Committee again asks the Government to indicate which provisions of the law establish payments in full during four months of the pregnancy.

  Part VII (Family benefits), Article 44. In reply to the Committee’s previous comments the Government refers to sections 12 and 13 of the Regulations on invalidity, old age and death of 29 July 1995. The Committee observes that these provisions lay down the requirements for entitlement to a benefit for orphans and not the contingency covered by Article 40 of Part VII of the Convention which covers "responsibility for the maintenance of children as prescribed". This constitutes a benefit which has to be given to living insured persons, with dependent children, protected by the social security scheme. The Committee therefore again asks the Government to indicate whether the total value of the benefits granted to the persons protected (i.e. the total amount of the periodical cash payments provided to families in respect of dependent children, as well as the cost of supplying food and clothing in the various rural centres) represents, in accordance with Article 44: (a) either 3 per cent of the wage of an ordinary adult male labourer, as determined in accordance with the rules laid down in Article 6 of this instrument, multiplied by the total number of children of all persons protected; (b) or 1.5 per cent of the said wage multiplied by the total number of children of all residents.

  Part XIV (Miscellaneous provisions), Article 76, paragraph 1(b)(ii) of the Convention (in conjunction with Article 36). The Committee again asks the Government to provide the information required under Article 65 (Titles I, II and IV) or 66 (Titles I, II and IV) of the report form adopted by the Governing Body, with regard to Employment injury benefit (Part VI of the Convention).

Observation (CEACR) - adopted 2001, published 90th ILC session (2002)

The Committee notes the letter sent by the Rerum Novarum Confederation of Workers with regard to certain points of the application of the Convention. The letter was communicated to the Government on 22 September 2001. It requests the Government to provide information on this matter.

The Committee notes that the Government’s report has not been received. It must therefore repeat its previous observation which read as follows:

I. The Committee notes the information supplied by the Government in its latest report.

1. It notes with interest the adoption of the Regulation of 29 June 1995 concerning invalidity, old-age and survivors’ insurance. The Committee notes that the Regulation still does not appear to envisage payment, in compliance with Part V, Article 29, paragraph 2(a), of the Convention, of a reduced old-age benefit to a person protected who has completed a qualifying period of 15 years of contributions. It requests the Government to indicate the provisions which govern payment of this benefit.

2. The Committee also notes the Workers’ Protection Act adopted on 24 January 2000. It notes that one of the purposes of this Act is to lay down the framework for the establishment of a compulsory supplementary pensions scheme, based on individual capitalization. It requests the Government to supply information on the impact of this Act, in fact and in law, on the relevant parts of the Convention.

II. With reference to its previous comments, the Committee notes that the Government’s report does not reply to most of the questions raised. It is therefore bound to reiterate the points raised previously.

1. The Committee again asks the Government to supply the information required by the report form, Part VI, Article 65, of the Convention, so that it can ascertain the real impact of pension increases in relation to the evolution of the general level of earnings or the cost-of-living index. It also asks the Government to supply in each report information on new increases made in this regard.

2. Part VI (Employment injury benefit), Articles 34, 36 and 38 of the Convention (in conjunction also with Article 69). In its previous comments, the Committee requested the Government to take the necessary measures to amend sections 218, 228-232, 237-239 and 243 of Act No. 6727 of 1982 in order to bring them all into full conformity with the abovementioned provisions of the Convention concerning: (a) the nature of medical care, which must correspond to the provisions of Article 34 of the Convention and be provided free of charge throughout the contingency (namely, until the recovery or the stabilization of the invalidity of the person); and (b) the granting of cash benefits, also throughout the contingency, in the event of a minor or partial disability or of death. Under the abovementioned sections of Act No. 6727, such benefits are, in both cases, paid for a period of five or ten years depending on circumstances, whereas the Convention stipulates that they must be provided throughout the victim’s life and to dependants for as long as they fulfil the conditions prescribed.

In its previous report, the Government indicated that negotiations were continuing between the National Social Security Institute and the Costa Rican Social Security Fund and that study was continuing on the draft reform of Act No. 6727. The Committee expresses the hope that the Bill in question will be adopted in the near future, with possible technical assistance from the ILO, and that the revision will bring national legislation into full compliance with the Convention.

In addition, the Committee would be grateful if the Government would supply detailed information on the questions raised in a direct request.

The Committee hopes that the Government will make every effort to take the necessary action in the very near future.

Direct Request (CEACR) - adopted 2000, published 89th ILC session (2001)

Part VIII of the Convention (Maternity benefit).  The Committee again asks the Government to indicate which provisions of the law establish payments in full during four months of the pregnancy.

Part VII (Family benefits), Article 44.  In reply to the Committee’s previous comments the Government refers to sections 12 and 13 of the Regulations on invalidity, old age and death of 29 July 1995. The Committee observes that these provisions lay down the requirements for entitlement to a benefit for orphans and not the contingency covered by Article 40 of Part VII of the Convention which covers "responsibility for the maintenance of children as prescribed". This constitutes a benefit which has to be given to living insured persons, with dependent children, protected by the social security scheme. The Committee therefore again asks the Government to indicate whether the total value of the benefits granted to the persons protected (i.e. the total amount of the periodical cash payments provided to families in respect of dependent children, as well as the cost of supplying food and clothing in the various rural centres) represents, in accordance with Article 44: (a) either 3 per cent of the wage of an ordinary adult male labourer, as determined in accordance with the rules laid down in Article 6 of this instrument, multiplied by the total number of children of all persons protected; (b) or 1.5 per cent of the said wage multiplied by the total number of children of all residents.

Part XIV (Miscellaneous provisions), Article 76, paragraph 1(b)(ii) of the Convention (in conjunction with Article 36).  The Committee again asks the Government to provide the information required under Article 65 (Titles I, II and IV) or 66 (Titles I, II and IV) of the report form adopted by the Governing Body, with regard to Employment injury benefit (Part VI of the Convention).

Observation (CEACR) - adopted 2000, published 89th ILC session (2001)

I.  The Committee notes the information supplied by the Government in its latest report.

1.  It notes with interest the adoption of the Regulation of 29 June 1995 concerning invalidity, old-age and survivors’ insurance. The Committee notes that the Regulation still does not appear to envisage payment, in compliance with Part V, Article 29, paragraph 2(a), of the Convention, of a reduced old-age benefit to a person protected who has completed a qualifying period of 15 years of contributions. It requests the Government to indicate the provisions which govern payment of this benefit.

2.  The Committee also notes the Workers’ Protection Act adopted on 24 January 2000. It notes that one of the purposes of this Act is to lay down the framework for the establishment of a compulsory supplementary pensions scheme, based on individual capitalization. It requests the Government to supply information on the impact of this Act, in fact and in law, on the relevant parts of the Convention.

II.  With reference to its previous comments, the Committee notes that the Government’s report does not reply to most of the questions raised. It is therefore bound to reiterate the points raised previously.

1.  The Committee again asks the Government to supply the information required by the report form, Part VI, Article 65, of the Convention, so that it can ascertain the real impact of pension increases in relation to the evolution of the general level of earnings or the cost-of-living index. It also asks the Government to supply in each report information on new increases made in this regard.

2.  Part VI (Employment injury benefit), Articles 34, 36 and 38 of the Convention (in conjunction also with Article 69).  In its previous comments, the Committee requested the Government to take the necessary measures to amend sections 218, 228-232, 237-239 and 243 of Act No. 6727 of 1982 in order to bring them all into full conformity with the abovementioned provisions of the Convention concerning: (a) the nature of medical care, which must correspond to the provisions of Article 34 of the Convention and be provided free of charge throughout the contingency (namely, until the recovery or the stabilization of the  invalidity of the person); (b) the granting of cash benefits, also throughout the contingency, in the event of a minor or partial disability or of death. Under the abovementioned sections of Act No. 6727, such benefits are, in both cases, paid for a period of five or ten years depending on circumstances, whereas the Convention stipulates that they must be provided throughout the victim’s life and to dependants for as long as they fulfil the conditions prescribed.

In its previous report, the Government indicated that negotiations were continuing between the National Social Security Institute and the Costa Rican Social Security Fund and that study was continuing on the draft reform of Act No. 6727. The Committee expresses the hope that the Bill in question will be adopted in the near future, with possible technical assistance from the ILO, and that the revision will bring national legislation into full compliance with the Convention.

In addition, the Committee would be grateful if the Government would supply detailed information on the questions raised in a direct request.

Direct Request (CEACR) - adopted 1994, published 81st ILC session (1994)

1. The Committee notes the information provided by the Government in reply to its previous comments on Part XIII (Common provisions), Article 69(f) (in conjunction with Article 38).

2. Part VIII of the Convention (Maternity benefit). With reference to its previous comments, the Committee notes that there is no ceiling to the maternity benefits prescribed in the law. It also notes that in Costa Rica, pregnant workers are paid their salaries in full during four months of the pregnancy. It asks the Government to indicate which provisions of the law establish the payment of this benefit.

3. The Committee observes that the report does not contain the detailed statistical information required by the report form since, according to the Government, Costa Rica is in the process of modifying some of the plans that constitute its social security system. The Committee hopes that once the above reform of the social security system has been completed the Government will be able to provide full information on the following points:

(a) Part VII (Family benefit), Article 44. Please indicate whether the total value of the benefits granted to the persons protected (i.e. the total amount of the periodical cash payments provided to families in respect of dependent children, as well as the costs of supplying food or clothing in the various rural centres) represent, in accordance with Article 44: (a) either 3 per cent of the wage of an ordinary adult male labourer, as determined in accordance with the rules laid down in Article 66 of this instrument, multiplied by the total number of children of all persons protected; (b) or 1.5 per cent of the said wage multiplied by the total number of children of all residents.

(b) Part XIV (Miscellaneous provisions), Article 76, paragraph 1(b)(ii), of the Convention (in conjunction with Article 36). Please provide the information required under Articles 65 (Titles I, II and IV) or 66 (Titles I, II and IV) of the report form adopted by the Governing Body, with regard to employment injury benefit (Part VI of the Convention).

Observation (CEACR) - adopted 1994, published 81st ILC session (1994)

1. The Committee notes the information supplied by the Government in its report and particularly the information supplied in answer to its previous comments concerning the representation made by a number of trade union organizations in Costa Rica in 1984 under article 24 of the ILO Constitution.

(a) In this connection, it notes with interest the information on the review of current amounts of pensions. It none the less asks the Government to provide the information required in the report form under Title VI, Article 65 of the Convention, so that it can assess the real impact of the pension increases in relation to changes in the general level of earnings or the cost of living index. It also asks the Government to provide information on any new increases in this area in each of its reports.

(b) With regard to Article 71 of the Convention, the Committee notes the agreements signed in 1985 and 1991 by the Costa Rican Social Security Fund and the Ministry of Industry, regulating the form of payment of state contributions. Furthermore, the Committee notes that the reform of the medical care financing system established in the agreement of 7 December 1988 is still under way in the framework of the Programme for State Reform and Reform of the Health Sector. The Committee asks the Government to continue to provide information in this respect.

2. Part VI (Employment injury benefit), Articles 34, 36, and 38 of the Convention (also in conjunction with Article 69). In its previous comments the Committee asked the Government to take the necessary steps to amend sections 218, 228 to 232, and sections 237 to 239, and 243 of Act No. 6727 of 1982 so as to bring them fully into conformity with the above-mentioned provisions of the Convention with regard to: (a) the nature of medical care, which must correspond to the provisions of Article 34 of the Convention and be provided free of charge throughout the contingency (i.e.: until recovery or the stabilization of the person's invalidity); (b) the grant of cash benefits also throughout the contingency in the event of minor or partial permanent disability and in the event of death. In both cases these benefits are paid under the above-mentioned sections of Act No. 6727 for a period of five to ten years depending on the circumstances, whereas the Convention stipulates that they must be provided to the disabled person for life and to dependents for as long as they fulfil the conditions prescribed under national law.

In its report the Government states that the negotiations between the National Insurance Institute and the Costa Rican Social Security Fund are still under way and that the proposed reforms of Act No. 6727 are still being examined. In this connection, the Government states that it is awaiting the results of the technical studies so that it can assess the implications, in actuarial terms, of harmonizing the above Act with the Convention. It also states that it will give priority to examining the possibility of requesting ILO technical assistance in this matter. The Committee notes this information. It hopes that the above-mentioned reforms will be adopted in the near future, possibly with ILO technical assistance, and that the national legislation will thus be fully in conformity with the Convention.

Furthermore, the Committee requests the Government to supply detailed information on the questions it is raising in a direct request.

Direct Request (CEACR) - adopted 1993, published 80th ILC session (1993)

The Committee notes that the Government's report has not been received. It hopes that a report will be supplied for examination by the Committee at its next session and that it will contain full information on the matters raised in its previous direct request, which read as follows:

1. Part VII (Family benefits), Article 44. In its earlier comments, the Committee requested the Government to specify whether the total value of the benefits granted to the persons protected (i.e. the total amount of the periodical cash payments provided to families in respect of dependent children, as well as the costs of supplying food or clothing in the various rural centres) represented, in accordance with Article 44: (a) either 3 per cent of the wage of an ordinary adult male labourer, as determined in accordance with the rules laid down in Article 66, multiplied by the total number of children of persons protected; (b) or 1.5 per cent of the said wage, multiplied by the total number of children of all residents. The Committee expresses once again the hope that the Government will not fail to communicate the statistical data requested earlier.

2. Part XIII (Common provisions), Article 69(f) (in conjunction with Article 38). Please supply copies of cases of practical application of section 199(b) of Act No. 6727 of 1982, with regard to the risks created by drunkenness and drug use.

3.(a) The Committee has noted the information supplied by the Government, particularly that relating to Part XIV (Miscellaneous provisions), Article 76, paragraph 1(b)(ii), of the Convention (in conjunction with Articles 28, 56 and 62) with regard to the amount of old-age, invalidity and survivors' benefit.

It again asks the Government to be good enough to supply the information required under Article 65 (titles I, II, IV and V) or 66 (titles I, II, IV and V) of the report form adopted by the Governing Body with reference to employment injury benefit (Part VI of the Convention).

(b) The Committee asks the Government to be good enough to state whether a maximum has been prescribed for the amount of maternity benefit or for the earnings to be taken into account in the calculation of such benefit (Part VIII of the Convention).

Observation (CEACR) - adopted 1993, published 80th ILC session (1993)

The Committee notes that the Government's report has not been received. It must therefore repeat its previous observation which read as follows:

1. With reference to its previous comments in connection with the representation made by a number of trade union organizations of Costa Rica in 1984 under article 24 of the ILO Constitution alleging in particular non-payment to the Banco Popular and the Costa Rican Social Security Fund of the employers' contributions due from the State (Article 71, paragraph 2, of the Convention) and non-revaluation of pensions (Article 65, paragraph 10, and Article 66, paragraph 8), the Committee notes with interest that the Government discharged its obligations to the sickness and maternity insurance schemes by means of bonds in 1988 and in 1989. It also notes that the agreement concluded between the Ministry of Finance and the Costa Rican Social Security Fund on 7 December 1988 has been carried out in full. It would again be grateful if the Government could supply information on the progress made in the reform of the medical care financing system provided for in the above agreement. With regard to the review of pensions, the Committee points out that it has always attached importance to this question; in this connection it refers to the general observations it made in 1989 relating to Conventions Nos. 102 and 128, in which the Committee considers, in particular, that, given the effects of inflation on the general level of incomes and the trend in the cost of living, governments should consider reviewing long-term benefits, especially in the general economic climate of today. The Committee consequently asks the Government to do everything possible to continue to apply the aforementioned Article 65, paragraph 10, and Article 66, paragraph 8, of the Convention and to supply in its future report the statistical information requested for these Articles of the Convention, conforming to the report form adopted by the Governing Body under Article 65, Title VI. 2. Part VI (Employment injury benefit), Articles 34, 36 and 38 of the Convention (also in conjunction with Article 69). In its previous comments, the Committee requested the Government to take the necessary measures to amend sections 218, 228 to 232, 237 to 239 and 243 of Act No. 6727 of 1982 in order to bring them all into full conformity with the above-mentioned provisions of the Convention concerning: (a) the nature of medical care, which must correspond to the provisions of Article 34 of the Convention and be provided free of charge throughout the contingency (namely, until recovery or the stabilization of the person's invalidity); (b) the grant of cash benefits, also throughout the contingency, in the event of a minor or partial permanent disability and in the event of death. Under the above-mentioned sections of Act No. 6727, such benefits are, in both cases, paid for a period of five or ten years depending on the circumstances, whereas the Convention stipulates that they must be provided throughout the contingency (that is to say, to the victims for their life and to their dependants for as long as they fulfil the conditions prescribed under national law). In a previous report, the Government indicated that with regard to medical care it was considering, through the Costa Rican Social Security Fund, how it could regulate the matter in conformity with the provisions of the Convention, and that it had referred the question of the amendment of section 237 to the National Insurance Institute, the body responsible for such matters. As regards cash benefits, the Government indicated that a commission composed of representatives of the Ministry of Labour, the Costa Rican Social Security Fund and the National Insurance Institute was considering the question of bringing Act No. 6727 into conformity with the Convention. Furthermore the amendments proposed, particularly those to sections 218, 228, 232, 237, 238, 239 and 243 of the above-mentioned Act, were to be studied in depth by a subcommission which was to submit a report on the matter to the Technical Committee responsible for drafting the new Labour Code. Since there is no information on the subject in the latest report either, the Committee again expresses the hope that those reforms can be carried out in the very near future and that they will bring the national law into full conformity with the Convention. It asks the Government to report on progress made in the above reforms. In view of the importance of this problem, the Committee ventures to suggest to the Government that it might request the technical advice of the ILO with a view to overcoming this difficulty of application in the near future.

In addition the Committee would like the Government to supply detailed information on the questions raised in a direct request.

Direct Request (CEACR) - adopted 1992, published 79th ILC session (1992)

1. Part VII (Family benefits), Article 44. In its earlier comments, the Committee requested the Government to specify whether the total value of the benefits granted to the persons protected (i.e. the total amount of the periodical cash payments provided to families in respect of dependent children, as well as the costs of supplying food or clothing in the various rural centres) represented, in accordance with Article 44: (a) either 3 per cent of the wage of an ordinary adult male labourer, as determined in accordance with the rules laid down in Article 66, multiplied by the total number of children of persons protected; (b) or 1.5 per cent of the said wage, multiplied by the total number of children of all residents. The Committee expresses once again the hope that the Government will not fail to communicate the statistical data requested earlier.

2. Part XIII (Common provisions), Article 69(f) (in conjunction with Article 38). Please supply copies of cases of practical application of section 199(b) of Act No. 6727 of 1982, with regard to the risks created by drunkenness and drug use.

3.(a) The Committee has noted the information supplied by the Government, particularly that relating to Part XIV (Miscellaneous provisions), Article 76, paragraph 1(b)(ii), of the Convention (in conjunction with Articles 28, 56 and 62) with regard to the amount of old-age, invalidity and survivors' benefit.

It again asks the Government to be good enough to supply the information required under Article 65 (titles I, II, IV and V) or 66 (titles I, II, IV and V) of the report form adopted by the Governing Body with reference to employment injury benefit (Part VI of the Convention).

(b) The Committee asks the Government to be good enough to state whether a maximum has been prescribed for the amount of maternity benefit or for the earnings to be taken into account in the calculation of such benefit (Part VIII of the Convention).

Observation (CEACR) - adopted 1992, published 79th ILC session (1992)

1. With reference to its previous comments in connection with the representation made by a number of trade union organisations of Costa Rica in 1984 under article 24 of the ILO Constitution alleging in particular non-payment to the Banco Popular and the Costa Rican Social Security Fund of the employers' contributions due from the State (Article 71, paragraph 2, of the Convention) and non-revaluation of pensions (Article 65, paragraph 10, and Article 66, paragraph 8), the Committee notes with interest that the Government discharged its obligations to the sickness and maternity insurance schemes by means of bonds in 1988 and in 1989. It also notes that the agreement concluded between the Ministry of Finance and the Costa Rican Social Security Fund on 7 December 1988 has been carried out in full. It would again be grateful if the Government could supply information on the progress made in the reform of the medical care financing system provided for in the above agreement.

With regard to the review of pensions, the Committee points out that it has always attached importance to this question; in this connection it refers to the general observations it made in 1989 relating to Conventions Nos. 102 and 128, in which the Committee considers, in particular, that, given the effects of inflation on the general level of incomes and the trend in the cost of living, governments should consider reviewing long-term benefits, especially in the general economic climate of today. The Committee consequently asks the Government to do everything possible to continue to apply the aforementioned Article 65, paragraph 10, and Article 66, paragraph 8, of the Convention and to supply in its future report the statistical information requested for these Articles of the Convention, conforming to the report form adopted by the Governing Body under Article 65, Title VI.

2. Part VI (Employment injury benefit), Articles 34, 36 and 38 of the Convention (also in conjunction with Article 69). In its previous comments, the Committee requested the Government to take the necessary measures to amend sections 218, 228 to 232, 237 to 239 and 243 of Act No. 6727 of 1982 in order to bring them all into full conformity with the above-mentioned provisions of the Convention concerning: (a) the nature of medical care, which must correspond to the provisions of Article 34 of the Convention and be provided free of charge throughout the contingency (namely, until recovery or the stabilisation of the person's invalidity); (b) the grant of cash benefits, also throughout the contingency, in the event of a minor or partial permanent disability and in the event of death. Under the above-mentioned sections of Act No. 6727, such benefits are, in both cases, paid for a period of five or ten years depending on the circumstances, whereas the Convention stipulates that they must be provided throughout the contingency (that is to say, to the victims for their life and to their dependants for as long as they fulfil the conditions prescribed under national law).

In a previous report, the Government indicated that with regard to medical care it was considering, through the Costa Rican Social Security Fund, how it could regulate the matter in conformity with the provisions of the Convention, and that it had referred the question of the amendment of section 237 to the National Insurance Institute, the body responsible for such matters. As regards cash benefits, the Government indicated that a commission composed of representatives of the Ministry of Labour, the Costa Rican Social Security Fund and the National Insurance Institute was considering the question of bringing Act No. 6727 into conformity with the Convention. Furthermore the amendments proposed, particularly those to sections 218, 228, 232, 237, 238, 239 and 243 of the above-mentioned Act, were to be studied in depth by a subcommission which was to submit a report on the matter to the Technical Committee responsible for drafting the new Labour Code. Since there is no information on the subject in the latest report either, the Committee again expresses the hope that those reforms can be carried out in the very near future and that they will bring the national law into full conformity with the Convention. It asks the Government to report on progress made in the above reforms.

In view of the importance of this problem, the Committee ventures to suggest to the Government that it might request the technical advice of the ILO with a view to overcoming this difficulty of application in the near future.

In addition the Committee would like the Government to supply detailed information on the questions raised in a direct request.

Direct Request (CEACR) - adopted 1989, published 76th ILC session (1989)

The Committee requests the Government to refer to its observation. Furthermore, it notes the Government's reply to its previous direct requests and wishes to point out the following:

1. Part VI (Employment injury benefit), Articles 34, 36 and 38 of the Convention (relating also to Article 69). The Committee requested the Government to take the necessary measures to amend sections 218, 228 to 232, 237 to 239, 243 and 199 of Act No. 6727, of 1982, in order to bring them into conformity with the above-mentioned provisions of the Convention concerning: (a) the nature of medical care, which must be similar to that mentioned in Article 34 of the Convention and be provided free of charge throughout the contingency (namely, until the recovery or the stabilisation of the person's incapacity); (b) the grant of cash benefits, also throughout the contingency in the event of a minor or partial, permanent disability and in the event of death. In fact, under the above-mentioned sections of Act No. 6727, such benefits are, in both cases, paid for a period of five or ten years depending on the circumstances, whereas the Convention stipulates that they must be provided throughout the contingency (that is to say, to the victims for their life and to their dependants for as long as they fulfil the conditions prescribed under national law); (c) the suspension of benefits in some cases not covered by the Convention (such as drunkeness and the use of drugs).

In its latest report, the Government indicates that with regard to medical care, it is considering, through the Costa Rican Social Security Fund, how it could regulate the matter in conformity with the provisions of the Convention, and that it has referred the question of the duration of medical benefits, provided for in section 237, to the National Insurance Institute, the body responsible for such matters. As regards cash benefits and cases where benefits are suspended, the Government indicates that a tripartite commission composed of representatives of the Ministry of Labour, the Costa Rican Social Security Fund and the National Insurance Institute is considering the question of bringing Act No. 6727 into conformity with the Convention. Furthermore, the amendments proposed, particularly those to sections 218, 228, 232, 237, 238, 239 and 243 of the above-mentioned Act are to be studied in depth by a subcommission which is to submit a report on the matter to the Technical Committee responsible for drafting the new Labour Code. The Government adds that the proposals submitted by the latter Committee will be communicated to the ILO. The Committee notes that information with interest and trusts that the above-mentioned reforms can be carried out in the very near future and that they will bring national legislation into full conformity with the Convention.

2. Part VII (Family benefits), Article 44. In its earlier comments, the Committee requested the Government to specify whether the total value of the benefits granted to the persons protected (i.e. the total amount of the financial assistance provided to families in respect of dependant children, as well as the costs of supplying food or clothing in the various rural centres) represented, in accordance with Article 44: (a) 3 per cent of the wage of an ordinary adult male labourer, as determined in accordance with the rules laid down in Article 66, multiplied by the total number of children of persons protected; (b) or 1.5 per cent of the said wage, multiplied by the total number of children of all residents. The Government's report once again gives no information on that matter, but indicates that the question of family benefits has also been referred to the above-mentioned tripartite commission. The Committee notes that information and expresses once again the hope that the Government will not fail to communicate the statistical data requested above.

3. In its earlier comments, the Committee also requested the Government to provide it with statistical data to enable it to assess the extent to which the Convention was applied in respect of the rate of the various cash benefits granted under national legislation. Since the Government's report again contains no information on that subject, the Committee is bound to refer to that part of its earlier comments, which was formulated as follows, in the hope that the next report will contain the information requested:

Part XIV (Miscellaneous provisions), Article 76, paragraph 1(b)(ii), in conjunction with Articles 28, 36, 50, 56 and 62. The Committee notes from the Government's reply to its earlier comments that for the calculation of periodical old-age, maternity, invalidity and survivors' benefits the Government intends to refer to Article 66. It also notes the monthly wage rates of an ordinary adult male labourer selected in accordance with paragraphs 4(b) and 5 of Article 66. In spite of this information, the Committee is still not able to assess whether the percentage prescribed by the Convention is attained in respect of each contingency. Indeed, Article 66 can only be used for the calculation of benefits in a system where, as is the case in Costa Rica, benefits are calculated in relation to the earlier wages of the insured or of his family breadwinner, on condition that the benefits may not be lower than a prescribed minimum amount. (For the application of Articles 65 and 66, see the General Survey on Convention No. 102, paragraphs 15 and 16 (International Labour Conference, 1961, Third Part of the Report of the Committee of Experts).)

Consequently, the Committee would be grateful if the Government would supply the following information for the same reference period:

(a) the wage of the ordinary adult male labourer;

(b) the minimum amount of benefits paid to a standard beneficiary as established in the Schedule appended to Part XI of the Convention for each of the contingencies referred to by the following Articles of the Convention: Article 28 (Old-age benefit); Article 36 (Temporary incapacity, permanent incapacity and survivors' benefit in the event of employment injury); Article 50 (Maternity benefit); Article 56 (Invalidity benefit); and Article 62 (Survivors' benefits);

(c) the percentage represented by the minimum amount of benefits in respect of each of these contingencies in relation to the wage of an ordinary adult male labourer.

In the event that, for all or a number of the contingencies referred to by Articles 28, 36, 50, 56 and 62, the percentage mentioned under point (c) above does not attain the percentage prescribed in the Schedule appended to Part XI of the Convention or that, for one or another of the benefits, there is no minimum prescribed amount, the Government should then refer to Article 65 for the calculation of periodical benefits. In this case, the Government should supply the following statistics:

(a) the wage of a skilled manual male labourer defined in accordance with paragraph 6 or 7 of Article 65;

(b) the maximum amount of benefit, for each contingency, paid to a standard beneficiary, as defined in the Schedule appended to Part XI of the Convention;

(c) the limit envisaged by the national legislation with regard to the previous earnings of the beneficiary (or his family breadwinner) taken into account for the calculation of benefits. [The Government is asked to report in detail for the period ending 30 June 1990.]

Observation (CEACR) - adopted 1989, published 76th ILC session (1989)

The Committee notes the Government's reply to its observation and previous direct requests.

1. Regarding the representation made by a number of Costa Rican trade union organisations, under article 24 of the Constitution of the ILO, alleging non-compliance with certain provisions of the Convention, namely non-payment to the People's Bank and the Costa Rican Social Security Fund of the employers' contributions due from the State (Article 71, paragraph 2, of the Convention) and non-revaluation of retirement pensions (Articles 65, paragraph 10, and 66, paragraph 8), the Committee notes with interest the conclusion, on 7 December 1988 (for a period of three years), of an agreement between the Ministry of Finance and the Costa Rican Social Security Fund concerning the modalities for the reimbursement of the State debt in respect of the contributions in question. However, the Committee notes that the agreement provides for a reduction in the State's contribution to sickness and maternity insurance costs together with a comprehensive reform of the system for financing health care. The Committee hopes that such reform will not affect the application of the Convention and that in its next report the Government will be able to supply information on the implementation of the measures provided for in the above-mentioned agreement.

The Committee also notes the information provided on the review of the level of retirement pensions and requests the Government to continue to supply data on that subject, set out in the manner prescribed in the report form for the Convention, under Article 65, Title VI.

2. Regarding the comments made earlier on Part VIII (Maternity benefit), Article 52, the Committee notes with satisfaction that article 43 of the sickness and maternity insurance regulations was amended on 9 September 1987 (Official Gazette, No. 145, of 31 July 1987) to provide for maternity cash benefits to be granted for a period of four months.

Regarding the other points raised in its earlier comments, the Committee asks the Government to refer to the request addressed to it directly.