Congressional panel to investigate government pensions.

In early December, legislators from the PRI, the center- left Partido de la Revolucion Democratica (PRD), and the conservative Partido Accion Nacional (PAN) announced the creation of a seven-member commission to investigate pensions awarded by NAFIN. The committee is expected to expand its

PRD Deputy Jesus Martin del Campo, who heads the commission, said he hoped the investigation would lead to legislation to eliminate loopholes that allow government agencies to provide privileges to a few bureaucrats.

"Our country has very weak legislation, which allows discretionary agreements that give high pensions to some people at a very young age when most people are tightening their belts and just surviving," Martin del Campo said.

The Gurria case brought strong protests from the government-workers union (Federacion de Sindicatos de Trabajadores al Servicio del Estado, FSTSE) and organizations representing the interests of retired workers.

Gurria's NAFIN pension, which is adjusted to inflation, is in stark contrast to the meager pensions received by most former government workers. Alonso Tejeda, director of the Movimiento Unificador Nacional de Jubilados y Pensionados (MUNJP), said most retirees in Mexico's social security system receive only 80 pesos (US$8.45) to 250 pesos (US$26.40) monthly, compared with Gurria's 85,000 pesos (US$8,975). Unlike Gurria's pension, the ordinary retirement payments do not contain automatic protection against inflation.

"There is an inequality that offends the more than 1.7 million retirees," Tejeda told the weekly news magazine Proceso.

On Dec. 7, following weeks of protests about his pension, Gurria announced he would donate all retirement funds received from his tenure at NAFIN to two charities as long as he is employed. One recipient charity will be the Asociacion Pro Personas con Paralisis Cerebral (APAC), which serves cerebral palsy victims. The other is Recuperacion Total (Reto), which provides support to women with cancer. [Note: Peso-dollar conversions in this article are based on the Interbank rate in effect on Dec. 8, reported at 9.47 pesos per US$1.00]

(Sources: Proceso, 12/05/99; Reforma, 11/17/99, 11/24/99, 12/03/99, 12/07/99; Reuters, 11/17/99, 12/07/99; La Jornada, 11/17/99, 11/23/99, 12/03/99, 12/07/99, 12/08/99; El Universal, 11/17/99, 12/03/99, 12/08/99; Novedades, 12/07/99, 12/08/99; Los Angeles Times, Excelsior, El Economista, 12/08/99)