Issstecali Withholds Funds

Issstecali holds back state funds due to unpaid contributions, with over 100 million pesos withheld from municipalities. Employees in Tijuana protest reforms impacting benefits and job security.

### Issstecali Holds Back State Allocations to Address Unpaid Contributions

The Instituto de Seguridad y Servicios Sociales de los Trabajadores del Gobierno y Municipios del Estado (Issstecali) has been compelled to withhold state and municipal allocations due to unpaid contributions from municipalities and other state entities. This was confirmed by Dagoberto Valdez Juárez, the institution’s director general. Valdez specified that through this method, they’ve managed to withhold over 100 million pesos only from the municipalities.

Municipalities and state agencies have not met their financial obligations, leading Issstecali to initiate the retention of funds with approval to do so monthly. If employers do not respond positively, an administrative process follows to ensure payment.

Valdez Juárez explained that employers have been required to cover their share of Issstecali’s deficit based on their number of retirees. Many have agreed to commitments to pay these dues through installment agreements. This coordinated effort aims to improve their revenue system as the institution deals with increasing pension obligations for 18,500 retirees.

Due to current laws, Issstecali cannot seize the assets of municipalities or state agencies, limiting their collection methods to withholding funds or establishing long-term payment agreements. An outstanding historical debt, primarily from Ensenada and Tecate municipalities, exceeds six billion pesos.

The payment shortfall has impacted medication and supply stocks, which currently stand at 65% and 85%, respectively. While prioritizing patient needs, Issstecali maintains its outsourced services and uses a reimbursement scheme for medications not covered directly. Despite these challenges, all seven municipal administrations and the Tijuana State Public Services Commission have kept current with payments or have settled significant debts, such as a 107 million peso bill.

### Secondary Article: Employees Protest Against Issstecali Reforms in Tijuana

Amid ongoing issues with funding and operational constraints, workers in Tijuana have expressed their dissatisfaction with proposed reforms to Issstecali. Employees have organized demonstrations to voice their concerns about the changes which they fear could further impact their benefits and job security.

The protestors demand greater transparency and involvement in the decision-making process regarding any modifications affecting their pensions and healthcare benefits. These changes are part of broader discussions intended to address Issstecali’s financial health and the sustainability of its services.

The local government continues to work on a comprehensive solution, with suggestions that a reform package could be approved by the first quarter of 2025. The proposed reforms aim at balancing the institution’s budget while ensuring the needs of its members are met. However, the ongoing protests highlight the complexity and sensitivity of balancing fiscal responsibility with worker rights in public sector institutions.