(2004/C 70 E/009)

WRITTEN QUESTION E-3186/02

by Eluned Morgan (PSE) to the Commission

(7 November 2002)

Subject:   Protection of pensions

What measures does the Commission propose to put in place in order to protect employees' pensions and contributions which are tied to EU companies, when those companies go bust?

Answer given by Mrs Diamantopoulou on behalf of the Commission

(5 December 2002)

Council Directive 80/987/EEC of 20 October 1980 (1) is intended to protect employees in the event of insolvency of their employer. It contains not only provisions relating to the payment of employees' outstanding claims by guarantee institutions but also provisions on social security. Member States are thus obliged to take the necessary measures to ensure that non-payment of compulsory contributions due from the employer, before the onset of his insolvency, to their insurance institutions under national statutory social security schemes does not adversely affect employees' benefit entitlement.

Member States must also ensure that the necessary measures are taken to protect the interests of employees and of persons having already left the business at the date of the onset of the insolvency in respect of rights conferring on them immediate or prospective entitlement to old-age benefits, including survivors' benefits, under supplementary company or inter-company pension schemes outside the national statutory social security schemes.

(1)  Council Directive 80/987/EEC of 20 October 1980 on the approximation of the laws of the Member States relating to the protection of employees in the event of the insolvency of their employer, OJ L 283, 28.10.1980, p. 23.