take action now with the new law

“We have been preparing for a long time, but from now on we can really make decisions together with the social partners,” says chairman Ger Jaarsma of the Pensioenfederatie, the umbrella organization for almost all pension funds in the Netherlands. “As a pension fund from the Netherlands, we are satisfied with this result, which means that we can start the implementation on July 1.”

According to the new pension law, several schemes are possible. It is expected that employers and unions will have to reach agreements on this. “The pension funds then come up with a plan on how they are going to introduce it,” says Jaarsma.

Individual pots

In the new pension system, employees will save more of their retirement provision through individual pots. It is also expected that the pensions will evolve more with the investment results of the funds. As a result, pensions can be increased more quickly in good economic years, but also reduced more quickly in bad times.

The transition to a new pension system is one of the biggest social reforms of recent years. The deadline for everything to be arranged has been pushed back a year to January 1, 2028. According to Jaarsma, the transition will therefore not be a big “big bang”. “This propagation time is useful. It is important that momentum remains in all processes.”

The Dutch Association of Insurers expects the new system to be easier to explain. “I expect this will increase the involvement and influence of participants. Retreats will become less of a spectacle away from my bed,” says Richard Weurding, chief executive of the professional association of insurers.