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BackFour months after the official end of the consultation period on the Green Paper on Pensions, the EU Commission presented the results for the first time. It is a summary of the over 1,700 reactions received. Europe will not be able to rid itself quickly of the pension debate as the Commission plans to publish a “White Paper on Pensions” as early as the third quarter of this year. It will already contain the next measures to be taken. One thing is already clear - this will not be an easy ride.
Reform of the pension systems: Commission already formulates clear messages
A total of 14 questions were asked in the Green Paper on Pensions. Not all of them were answered. But this was to be expected. However, the Commission has already formulated its replies in a very clear and precise manner. The answers came long before this week’s presentation of the results on the Green Paper on Pensions, namely in form of the Annual Growth Survey. In it, the Commission has directed clear messages in form of a guide for pension reforms to the Member States: increasing the retirement age and linking it with life expectancy; reducing early retirement schemes and greater targeted incentives to employ older workers; supporting the development of complementary private savings to enhance retirement incomes; and considering the impact of pension payments on the long term sustainability and adequacy of public finances. One cannot repress the suspicion that the Consultation on the Green Paper was actually only incidental. How otherwise can one explain that the Commission had already formulated clear demands prior to the presentation of the results on the Green Paper.
Commission will pursue demands of the Annual Growth Survey with vigour
The reactions to the Green Paper were relatively clear. Any interference by the Commission resp. by the EU into national pension systems is clearly unwanted. This makes one wonder how the Commission reaches the conclusion that it will vigorously pursue the messages of the Annual Growth Survey in a way that is relevant for the individual Member States. In particular the point referring to the development of complementary private savings to enhance retirement incomes will be met with strong resistance as the experiences of the past years have shown that private provisions have not exactly improved the retirement income. One ought to think that people learn from their mistakes, but that does not always appear to be the case. The Chamber of Labour will continue to oppose tendencies, which result in detrimental consequences for workers. The Commission’s White Paper, which has been planned for autumn 2011 will have to be viewed with particular care.
Further Information:
Report on the Consultation on the Green Paper on Pensions
A total of 14 questions were asked in the Green Paper on Pensions. Not all of them were answered. But this was to be expected. However, the Commission has already formulated its replies in a very clear and precise manner. The answers came long before this week’s presentation of the results on the Green Paper on Pensions, namely in form of the Annual Growth Survey. In it, the Commission has directed clear messages in form of a guide for pension reforms to the Member States: increasing the retirement age and linking it with life expectancy; reducing early retirement schemes and greater targeted incentives to employ older workers; supporting the development of complementary private savings to enhance retirement incomes; and considering the impact of pension payments on the long term sustainability and adequacy of public finances. One cannot repress the suspicion that the Consultation on the Green Paper was actually only incidental. How otherwise can one explain that the Commission had already formulated clear demands prior to the presentation of the results on the Green Paper.
Commission will pursue demands of the Annual Growth Survey with vigour
The reactions to the Green Paper were relatively clear. Any interference by the Commission resp. by the EU into national pension systems is clearly unwanted. This makes one wonder how the Commission reaches the conclusion that it will vigorously pursue the messages of the Annual Growth Survey in a way that is relevant for the individual Member States. In particular the point referring to the development of complementary private savings to enhance retirement incomes will be met with strong resistance as the experiences of the past years have shown that private provisions have not exactly improved the retirement income. One ought to think that people learn from their mistakes, but that does not always appear to be the case. The Chamber of Labour will continue to oppose tendencies, which result in detrimental consequences for workers. The Commission’s White Paper, which has been planned for autumn 2011 will have to be viewed with particular care.
Further Information:
Report on the Consultation on the Green Paper on Pensions