Elsa Fornero, Honorary Professor of Economics at the University of Turin, will be a guest of the Department of Economics, Business, Mathematics and Statistics (DEAMS) at the University of Trieste on Monday, 27 October 2025, at 3:30 p.m. in the Aula Magna of Building D (floor -1) on the Piazzale Europa Campus. The professor will hold an informative seminar entitled “Pension system, intergenerational pact and social policies for growth: what future challenges for Italy?”.

The meeting, organised by DEAMS, is part of the debate on social policies for economic growth, focusing on the Italian pension system and the delicate intergenerational pact that underpins it. Professor Fornero will discuss the demographic, economic and equity reasons that make new pension reforms necessary, highlighting how intervening in such a complex system – which affects rules, habits and acquired rights – is not a mere technical exercise, but a process that requires broad social consensus. In particular, she will emphasise the importance of providing workers with accurate information about their “pension wealth” and of accompanying any changes with widespread financial education. Only by combining information and financial education is it possible to provide a thorough understanding of the logic and objectives of a reform (reducing generational imbalances, strengthening financial sustainability and limiting distortions and privileges) and lay solid foundations for its political sustainability.

This seminar is primarily aimed at students, but is open to the entire University and interested members of the public.

Elsa Fornero is Honorary Professor of Economics at the University of Turin, where she held the chair of Political Economy until 2018. She was Minister of Labour and Social Policies, with responsibility for Equal Opportunities, in the Monti government (2011–2013), and was a member of the Economic Policy Steering Committee at Palazzo Chigi during the Draghi government (2021–2022). She is a keynote speaker, a columnist for La Stampa and a television commentator. Her publications include Chi ha paura delle riforme. Illusioni, luoghi comuni e verità sulle pensioni (Who's afraid of reforms? Illusions, clichés and truths about pensions) (Università Bocconi Editore, 2018).

Pension reforms are three difficult things in one: an emotionally charged topic; a complex restructuring of rules, habits and rights that is far removed from the orderly theoretical models of experts; and an almost impossible task for policy makers.

The main part of the pension architecture (the first pillar or social security) is compulsory, defined by law and managed by the state; the rest (second and third pillars) is provided by the market but subject to national and international regulatory authorities.

Reforms are necessary for demographic, economic and equity reasons, but they are not merely technical exercises. Because they alter people's wealth, expectations and life plans, they necessarily include a political dimension and must obtain not only formal approval from parliament, but also basic popular consensus. The need for a change in beliefs and behaviours points to two other elements that are fundamental to successful reform. First, accurate information: workers must have as clear an idea as possible of their “pension wealth”, investment opportunities (for the funded portion) and retirement options, so that they can make prudent choices and avoid mistakes and disappointments. Second, workers need to understand the basic logic and objectives of the reform: to reduce generational imbalances, strengthen financial sustainability and limit distortions and privileges. Information must therefore be integrated with financial education. Without an adequate combination of information and financial education, the foundations of the political sustainability of the reforms are clearly at risk.