With Mexico's population aging, past pension commitments present major problems for the current government.
Mexico is facing serious political and fiscal problems due to pension pledges that are becoming increasingly costly to cover. Reforms introduced in 1997 and 2007 have proved insufficient. The government now faces the huge challenge of bringing further reform to the pension system, while rebuffing the heavy criticism that will come from opposition parties as a result.
With the government lacking a working majority in the Senate, any fast track pension legislation will be impossible.
The Supreme Court would likely refuse to sanction any changes that imply a repudiation of legal commitments.
On top of the pressure from those formally in work, the government will have to devise support for informal workers with no pension rights.
