[Full text of a speech given by President Raul Castro at the close of the first ordinary period of sessions of the seventh legislature of the National Assembly of the People's Government at the Havana Convention Centre on 11 July 2008 - recorded]

[Raul Castro] Comrades, the resolution approved by this Assembly in support of our five compatriots who are enduring unfair imprisonment in US prisons is another modest step in the fight for their freedom, in which we will not waver with the growing support of those who in believe in justice in this world until their return. To Gerardo, Antonio, Ramon, Fernando, and Rene we send a warm hug from the Cuban National Assembly [applause].

An important part of yesterday's meeting and in this first morning session, although shorter, was dedicated to discuss issues as important as workers' welfare and their right to a fair retirement. The preliminary draft of the new Social Security Law - and we repeated some of the issues you already discussed in depth to better inform our people -[pauses] in other words, the preliminary draft of the new Social Security Law, especially the proposed changes regarding retirement age and number of years of work required to be entitled to it, correspond with the reality of a nation where life expectancy is higher every day and the birth rate has remained very low for several years. This is a typical phenomenon among developed nations; the difference is that, in out case, it is in an underdeveloped nation and therefore has its own unique characteristics.

Allow me to spend a few minutes highlighting, or explaining or updating some of the figures you were given -provided -yesterday and today, as we already mentioned, in an intelligent manner by the Labour and Social Security Minister, especially yesterday's version which was much more extensive regarding these two figures, life expectancy and birth rates which make it necessary to modify the Social Security Law, in order to inform our people directly, as we already said.

I have here the executive summary of the Study on Life Expectancy in Cuba completed only a few days ago by the National Statistics Office, which has yet to be published. I will read one paragraph:

During the 2005-2007 period Cuba attained a life expectancy at birth of 77.97 years of age for both sexes; 76 for men and 80.2 for women. In other words, this privilege that all Cubans equally enjoy places us among the top 25 per cent of the world population whose children can expect to live 77 or more years. It also means that our comrades live five years more than the average person in Latin America and the Caribbean.

There is not a significant difference among the provinces but as a point of interest I will add that the one with the lowest figure is the capital [Havana] with 76.81 years of age.

Where are the delegates from the capital? Over there. Good. Greetings!

And the highest are in Las Tunas with 79.28. Where are the delegates from Las Tunas? Congratulations.

Therefore, I will not recommend moving from the east to the west [laughter] to those who hope to live as long as possible [chuckles]. A little jest if you do not mind.

That last part ought to be that way in reality, but it is not going to be that way because, for example, no one in Havana wants to work as a policeman, and we have to bring in, not thousands, but tens of thousands of policemen, especially from the eastern provinces, with all the problems that implies; and by the time they are experienced, a large number, as is natural, want to return to their families, the lack of housing, etc, etc.

It seems no one in Havana wants to be a policeman. It is not going to be as we stated in the document, and I continue with the jest, once in a while my jests bear a message, because, who is going to work in construction in Havana unless construction workers come from throughout the country? Particularly from the eastern provinces, because hardly anyone in Havana wants to be a construction worker. It seems there are many options although all jobs are honourable. We even have to bring in teachers from other provinces, particularly the eastern provinces, to work in Havana. I believe Havana has the largest population.

We rack our brains over how to solve the problem of the policemen. How to solve the even more complex problem of the lack of construction workers with so many things needing to be built, with a materials enterprise, no, the construction materials enterprises we are endeavouring to develop with planned investments in new cement factories and the upgrade or enlargement of the existing ones, as one of the main components for the construction sector, etc, etc, etc.

I think -and continue with the jest, I will let you know when it am done [pause] I was telling Interior Minister Colome in recent days as we studied these problems that we might reach a point when we have to ask all the provinces, even the microprovince [Isla de la Juventud] of my friend Kcho [ANPP delegate Alexis Leyva Machado] -I call it a microprovince because it is a special municipality that has always aspired to be a province but cannot because it would cost more -that each of the provinces, as I was saying, ought to have its own construction workers, ought to have its own teachers, and ought to have its own policemen, just to mention three important sectors.

What do you think? I believe we have to research it. We have to speculate that if the people from the eastern provinces do not come to watch over the people of Havana the number of robberies will begin to rise [pause] but I believe that [pause] this is only to give you something to mull over. End of the jest. I continue with the address.

In the1950-1955 period, during which we attacked the Moncada Garrison, life expectancy at birth was a little over 59 years of age. In other words, since then, it has grown by nearly 20 years, despite the difficulties imposed by the blockade and the rest of the empire's aggressions, to which then were added the problems derived from the Special Period. It is undoubtedly a great victory for the Revolution.

Another very important index, given its significance for the topic we are discussing, is how much longer will a Cuban live on average who presently reaches the age of 60? This is what is called geriatric life expectancy - in other words, how long one lives after 60, which at present is 20.8 years for men, the 8th place in the world with France and Italy. In order words, the eighth place. I will add that the United States is in 10th place. For Cuban women, the geriatric life expectancy is 23.4 years, 16th place on the planet and ahead of countries such as the United Kingdom, Denmark, and Norway.

To those retirement years one must add the more than 20 years that normally comprise childhood and student periods, during which, as is logical, nothing is produced but it is instead a period for the acquisition of necessary knowledge, something equally important.

In other words, during a period of over 40 years, a little more than half of the life expectancy of a Cuban citizen, all the expenses incurred are shouldered by the working population, which as I will explain further ahead -a topic which was already broached yesterday and today -tends to be smaller and smaller number every day.

This is a very different demographic and economic situation to that of 1 January 1963, the year when the Revolution circulated Law 1100 which for the fist time in our country guaranteed social security for all workers and their families. Since that day, the revolutionary state undertook the expenses of the 55 so-called retirement funds that existed up to that point, unable to pay the pensions of thousands of workers who had contributed to these funds their entire labour lives to find out in their old age that these funds had been embezzled by officials of the corrupt governments prior to 1959 and above all by the Batista dictatorship which had utterly forsaken them.

Since then, May 1963, the retirement age has remained at 60 years for men and 55 for women. [Words indistinct] in May 1963, the retirement age for men was set at 60 years and 55 for women. At the time, the main problem facing the country was the thousands of unemployed. Birth rate broke historic records and life expectancy was relatively low. In 1963 it was 62 years.

The current situation is radically different and it requires us to extend the active life of citizens. Remember that in the budget approved by this assembly [pauses] for the current year, social security and social assistance expenses represented 13.8 per cent, close to 5.2 billion pesos. There is also the issue of low birth rates, which has been an ongoing issue for several decades now. This and other factors have caused population numbers to continue dropping in recent years.

In 2006, birth rates reached the lowest levels in 60 years and population dropped by more than 4,000 people compared to the previous year. Last year, in 2007, the drop was lower, as a result of a slight increase in birth rates, but the trend remained. The combination of all these factors is already appearing in unfavourable trends among the working-age population -in 1980, almost 30 years ago, more than 238,000 youths reaches this age, and last year it was 166,000. That is 72,000 less and estimates indicate that it will drop to about 129,000 by 2020.

Those same estimates indicate, as the labour ministry said this morning, that by 2025 there will be 770,000 fewer citizens than now in that age bracket. Under the stipulations of the current social security law, there would be more leaving active employment than there would be joining it. Also, these problems, as almost all demographic problems are, cannot be solved in the short term, and time flies. In 2007, people over 60 years of age were 15 per cent, excuse me, accounted for 16.6 per cent of the country's population; the year before, they constituted 15.9 per cent. That was in 2006, and in 2007 it was 16.6 per cent. These figures will continue to increase together in a more prominent way in coming years.

Really, we have not revealed anything new as the data you have there indicate. The amendments included in this draft bill have been implemented for years by nations facing similar demographics, and the exact figures were provided by comrade [Alfredo] Morales Cartaya this the morning. In general, developed nations and the number that have had to take these measures [pauses for six seconds]. However, these countries [pauses] that is, despite that, as you already know, they absorb these negative effects through brain drain and the importation of cheap labour from the Third World, and when they face crises, we then see incidents such as the one we criticized in the declaration the assembly approved earlier.

Here is some information. Retirement age in the United States is 65 for both males and females. The same goes for Canada and Mexico, as well as others countries in the Americas. In Europe, Finland, Sweden, Spain and Germany, they have the same parameters of 65 for both sexes, also in Asia. Japan does, and we can cite others. Let's see the countries that have 65 for men and 60 for women as we are proposing -in the Americas: Argentina, Brazil, and Chile, among others. In Asia, Israel and Iran, and in Europe, Italy, Poland, Rumania and Austria, the latter has already announced it will raise it to 65 for women. There are more examples.

Also, many countries have privatized the social security system or do not cover the entire population. In a good part of the world, neoliberalism has simply opted to have the state get rid of the problem and leave people to deal with it as best they can.

This is not only about numbers. It is evident that Cubans in general, just like people who have adequate health services and satisfactory sustenance, reach the ages of 60, 65, and even older in good physical and mental condition. This is evident, but as with any rule, there are exceptions that the law has taken into account. Also, the majority are professionals, technicians, or people with valuable skills. Sometimes in areas where there are shortages and that are highly needed in the country, therefore they feel they are able to continue providing and receiving the corresponding benefits.

This is a viable given the real and current economic possibilities of raising the income of a great number of the population; [?I am obviously referring to those who agree with the regulations of the new law.] I have talked a long time, but I think the topic deserves it. The draft bill introduced includes other possibilities such as the reincorporation into the workforce and receiving full salary for those who retire under the new rules, I repeat, under the new rules. It also modifies the calculations for pensions so that those who retire under the new age restrictions and number of years employed, could receive a higher pension that would be consistent with the salary, contributions, and years of service.

Also, we are reviewing, although not as part of this law, the possibility of having more than one work contract and receiving the total income by the person who so choose, the so-called multiple jobs [pluriempleo]. As we have explained before, the implementation of the new rules will be a gradual process that would extend through the next seven years so as not to affect the workers who will reach their age of retirement in that timeframe, as established in the current law, and who wish to receive only the benefits.

In the beginning, we thought about a transition period of ten years, but by extending more, we would have to deal with a growing crisis since as you know, by the year 2020, only 11 years from now, more people will be leaving than joining the active workforce based on the terms of the existing law. Also remember what I said earlier in this address, by 2025 we will have about 770,000 fewer workers, hence the decision to propose a seven year period.

Once we include the deliberations from the deputies and the ones we expect to receive after holding consultations with the workers, a draft of the law will be submitted for approval during the next ordinary session at the end of the year. It is one of the many steps we will have to take to establish norms and mechanisms in order for salaries to restore their role.

I will only add that we will continue to review the problems with salaries in order to gradually increase them based on priorities. I am not giving dates nor sectors, it will have to be determined by the economic situation of the country, which is inevitably linked to the current worldwide crisis that could even get worse. It is my duty to speak frankly, as creating false expectations would be dishonest."

Moving on to discuss another important issue. Today we are in need of teachers and professors. For various reasons, thousands of them are no longer in the classroom; some because they retired and others because they took on new responsibilities in the education sector. Since they are ideal cadres for multiple tasks, they are wanted everywhere. We also have a problem with wages. As an example of what I said, I would like to ask those of you who were teachers and are in the Council of State and the national assembly to please raise your hands. We could almost start a new university with you all. So, I would like to call those teachers and professors to return to their noble profession.

In the case of retirees, those who are still capable of offering their professionalism and experience in a classroom, we would like to propose to the Council of State that before the new school year begins in September and before the new social security law is ratified at the end of year, to provisionally and exceptionally authorize them to receive in full, upon their return, the salary assigned to that job without taking away their pensions, so that they can get the two in full. [applause]

These statements and applause are not enough. Starting with the union, the CTC [Cuban Workers Federation], the Party, mass organizations, they can all contribute a lot to this, and all of us should make an effort because [words indistinct]. Obviously, a good disposition is not enough. We will have to see what new guidelines the new education minister establishes and who will be accepted or not. We trust that many will return to continue contributing to the advancement of our education system and in doing so, to support the training and development of young teachers, who have contributed to Cuba staying ahead in this decisive front as was revealed in a recent UNESCO study.

It placed our country ahead of all Latin American countries in third grade reading and math and sixth grade science and math with more than 100 points above the regional average.