In 1996 Uruguay introduced a "mixed" pension system, consisting of a public pay-as-you-go first pillar and individual accounts as a second pillar. The first pillar covers employed and self-employed persons, including rural and household workers. There are separate pension systems that cover bank employees, notaries, professionals, the armed forces and the police.
The inclusion in the second pillar is mandatory for those earning above a certain minimum amount legally fixed. However, people with lover income may opt for their inclusion within the individual accounts regime. In December 2009, approximately 900,000 workers (56% of the labor force) had individual accounts in four pension fund management companies (three privately managed and one state run), with assets totaling 70 billion pesos (US$3.4 billion).
Sources: Social Security Programs Throughout the World: The Americas, 2009; Banco de Previsión Social, Boletín Estadístico 2010; "Nuevo Salario Mínimo en Uruguay," Economía para Todos, 8 de marzo de 2010; CIA World Fact Book, September 2010.