Pension schemes: reform needed to ensure sustainability and adequate income, says Employment Committee

Published: 2 February 2011 y., Wednesday

The EU and its Member States must act to ensure that pension schemes can sustainably deliver an adequate income to the EU's growing number of retired people, despite the economic crisis, says Parliament's Employment Committee in a resolution voted on Tuesday. Pension portability must also be addressed, as must inequalities faced by women and older workers, say MEPs.

"At present there are four people of working age for every person over 65, by 2060 there will be just two" says a European Commission Green Paper, to which the Employment Committee resolution responds. 

"Although Member States have the lead, there are aspects where coordination at European level is important. The ageing of the population has a big impact because not all Member States have put money aside for their pensions. This could lead to enormous expenses which will have consequences for the Stability and Growth Pact. The supervising authority should monitor pension systems and some Member States must be encouraged to foresee a safe and adequate pension system", commented Ria Oomen-Ruijten (EPP, NL), who drafted the resolution.

Economic pressures

Responsibility for pensions lies with Member States, which are re-evaluating or reforming their schemes in the light of the current economic situation and the ageing of their populations. MEPs urge EU countries to maintain ”stable, reliable and sustainable” pension systems, as well as adequate retirement allowance levels to combat poverty in old age. Proper consultation should take place before making changes, they add.

Portable pensions

Europeans usually work for several employers during their careers, and many spend periods working in different EU countries. MEPs want the EU and Member States to remove obstacles to mobility and address pension transferability difficulties within and between EU Member States. For example, they say retirement plans should not require long contribution periods to be valid. 

Older workers

MEPs note the wide gap between the statutory pension age (which is under review in some countries) and the actual age at which many stop work. Older workers would benefit from better adapted workplaces and working conditions, as well as improved protection against dismissal, they say. 

Gender inequality

Inequalities in the labour market are translating into lower pensions for women, who face a high risk of poverty in old age. On average, women are paid less than men for equivalent work. They are also more likely to work part-time and take longer career breaks to care for family. MEPs urge the Commission and Member States to address inequalities and take account of these factors in retirement benefits.

 

Šaltinis: europa.eu
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.

Facebook Comments

New comment


Captcha

Associated articles

The most popular articles

Related videos

05/02/2014

Padėkime augti

EU continues support for victims of landmines

Every year 10 000 people lose their lives due to landmines. more »

Nuclear disaster cartoon goes viral

Frustrated by the technical explanation of the nuclear crisis in Japan, artist Hachiya Kazuhiko creates cartoon character "Nuclear Boy" for clarification. more »

Chopin death photo possibly uncovered

A Polish collector discovers a photo believed to be of Frederic Chopin taken just after his death in 1849. more »

Satellite service makes air travel even safer (36682)

EGNOS-for-aviation, a satellite navigation service launched on 2 March 2011, will increase flight safety, reduce delays and open up new destinations. more »

Time capsules in Christchurch rubble

Worker finds two time capsules amid earthquake rubble in Christchurch as search and rescue teams continue to comb through debris from the New Zealand earthquake. more »

Running against time

A group of elderly men in Brazil have taken up running as they race disease and old age. more »

Cabbies strike a pose to distress

"Taxi Yoga," a new exercise class for taxi drivers, helps stretch away the stress of driving a cab in New York City. more »

Circus lions head for safe haven

Twenty-five rescued circus lions leave Bolivia for a new life at a U.S. animal sanctuary. more »

Valentine’s roses head to the USA

Colombian flower growers prepare rose exports for Valentine's Day and hope to reap profits despite a strengthening peso. more »

Anti-bullfighting protest in Mexico

Mexican animal rights activists coat their bodies in fake blood to protest bullfighting. more »