(2004/C 78 E/0995)

WRITTEN QUESTION P-0207/04

by Harald Ettl (PSE) to the Commission

(23 January 2004)

Subject:   Further action by the Commission on the portability of supplementary pension rights

On 12 June 2002, the Commission initiated the first-stage consultation of social partners on the portability of supplementary pension rights, which identified the following problems: conditions governing the acquisition of occupational pension rights, the preservation of acquired rights, the transferability of rights, rights to information and the taxation of cross-border benefits.

Unfortunately, the second-stage consultation of social partners on measures to improve the portability of occupational pension rights, which was launched on 15 September 2003, did not produce any results either.

The Commission invited the social partners to inform it, where appropriate, of their resolve to undertake negotiations and whether they wish to adopt a global approach or concentrate on certain aspects of portability. The ETUC stated at a meeting of its Executive Committee on 16/17 October 2003 that it was prepared to undertake negotiations with its European partners. On 19 November 2003, the UNICE rejected the Commission's proposals and made it clear that it was not willing to negotiate on the issues proposed by the Commission (1).

What further action does the Commission intend to take on this issue, which is of relevance to all workers who have had jobs in several Member States during their working life?

Will a proposal for a directive be drafted or will the matter be shelved?

Answer given by Mrs Diamantopoulou on behalf of the Commission

(19 February 2004)

The Commission regrets that the social partners will not hold negotiations with a view to limiting the loss of supplementary pension rights as a result of occupational mobility within the same country or different countries. In the Member States the social partners have the possibility of adapting the rules of their supplementary schemes so as to provide better protection for the rights of persons who change jobs and hence supplementary pension schemes. However, the social partners do not necessarily make use of this possibility, and the Member States in which supplementary schemes are the most common have introduced minimum requirements in order to protect workers who change jobs. These requirements cover the eligibility conditions for schemes, qualifying periods, revaluing of dormant rights (rights of persons who have left a scheme but not yet reached retirement age) and procedures for the transfer of rights.

The Commission is in the process of examining the potential benefits of adopting a binding act introducing similar minimum requirements at Community level. It will take account of Member States' experience, drawing on the expertise of the Pensions Forum.

Furthermore, the adoption of Directive 2003/41/EC of the European Parliament and of the Council of 3 June 2002 on the activities and supervision of institutions for occupational retirement provision (2) will allow supplementary pension schemes to be established at the level of European groups of undertakings, which will facilitate occupational mobility within such groups.

Certain Member States have tax rules which affect pension funds and restrict the freedom to provide services and freedom of movement for workers. The Commission has started infringement proceedings against several Member States, for example against Belgium in respect of various issues, including the specific tax on transfers of capital to foreign pension funds (3).

(1)  UNICE, 19.11.2003.

(2)  OJ L 235, 23.9.2003.

(3)  IP/03/1756.