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Abstract:

The new pension system, introduced in 1999, applies to people born in 1954 and after. The old and the new systems will cover older workers proportionally: people born 1938‐1953 will receive pensions under a mix of the old and new rules. The earnings‐related part is based on notional accounts and there is a small mandatory contribution to individual, defined‐contribution funded pensions. There is also a pension‐income‐tested top‐up. Occupational pension plans ‐ with defined‐benefit and defined‐contribution elements ‐ have broad coverage.

Document Type: Review Article

Publication date: June 1, 2007

oecd/16080289/2007/00002007/00000007/8107071ec031
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