EU sets out plans to ensure people receive adequate pensions when they retire.
1 out of 4 Europeans depends on their pension as their main source of income. With the number of pensioners set to grow faster than the working population, governments face a significant challenge in delivering fair, safe and sustainable pensions.
As the economic crisis adds to the financial pressure on national budgets, the EU is exploring how to work with governments to continue providing decent pensions in the future.
Following on from a consultation on European pensions systems and the Commission’s 2012 annual growth survey , a new policy paper on sustainable pensions seeks to better balance time spent working and time in retirement, ensure those who move to another country keep their pension rights, and help people save more for their future.
Key proposals include:
Although national governments are largely responsible for pension systems, they are increasingly a matter of common concern. In line with the EU’s jobs and growth strategy, the Commission will continue to closely monitor and support pension reforms.
The EU can also bring added value with legislation, funding and policy coordination. This includes rules to tackle discrimination (gender and age based in particular), financial support to help older workers stay in the labour market, and country-specific recommendations to guide governments.
In 2011 the Commission provided recommendations to 16 EU countries, and an additional five signed up to make reforms.