De Unie has been in consultation for some time about the transition plan with NN, the other trade unions and the NN CDC pension fund (NCP). The NCP can also switch to a scheme under the new legislation under the Future Pensions Act. Because it is a closed pension fund, entering a new Wtp scheme is the preference of the law, but not an obligation.
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These discussions about the NCP transition are taking longer than intended. The NCP board is also making a decision about the future of the pension fund in the same process. This could cause you to experience a double transition.
Events
- In this member message we provide more information about the (intended) decisions regarding the pension scheme's executor. In this context we also refer you to the message from the pension fund on: Your pension goes to a General Pension Fund (APF)
- On Friday, January 17, members will receive a message about the transition plan.
- Op thursday 23 january is organizing De Unie made a online members meeting van 9.00 to 10.00 hours. Please mark this date in your agenda.
Future pension fund
NCP is a closed pension fund in which no new premium is paid. NN currently pays the implementation costs, so that this does not affect the pensions of the participants.
The board of the pension fund has determined that the pension fund is too small to continue to exist independently. Therefore, the board intends to transfer the managed pension assets elsewhere. This intention has been discussed with social partners. De Unie understands that the pension fund cannot remain independent in the long term, however, this decision does not have to be taken in the short term. However, as a trade union, we are not responsible for this. The decision-making on this subject lies with the board of the pension fund and the advisory bodies of the fund.
Choice of future executor
Various options have been investigated in recent months. This was a broad investigation. For example, it was investigated whether joining an industry pension fund is an option. The buy-out and subsequent transfer to an insurer was another option. And the social partners also asked to investigate whether joining one of the 'sister' funds was a workable option. For various reasons, these options were rejected.
Choice for APF
The pension fund board prefers to transfer the pension assets to a General Pension Fund (APF). This applies to both pensions that are already being paid out and employees who have not yet retired.
The NCP board has opted for a transition to its own circle, so that the pension assets are protected and everything remains as much as possible the same as it is now. In an own circle, more influence on your pension is possible. On the other hand, a greater effort is still required from people, the costs are higher and there is less opportunity to benefit from economies of scale. It should be noted that after the transfer to an APF, the fund will have less say than with independent continuation. The policy of an APF on the size that an own circle must have in order to continue to function as an own circle varies. For now, an own circle makes sense, it is possible that in the future a next step will be to switch to a collective circle.
Timing
The board of the pension fund states that it is likely that the pension assets will be transferred to an APF as early as 2025. This would mean that the pension assets will be transferred before the transition and that the current board will no longer be responsible for the implementation of the transition plan. The agreements that social partners make about the change of your pension must then be implemented by the future board of the new pension circle. This requires additional agreements, whereby De Unie also wants to be able to discuss the implementation costs.
Next steps
The transition plan for NN CDC pension fund is almost ready. Because the pension fund is closed, a transition to the new system is not necessary but is the preference of the legislator.
Social partners aim to have the transition plan ready by Friday, January 17.
Contact
Do you have any questions regarding this message? Please contact the representative Inge de Vries. This can be done by sending an email to: inge.de.vries@unie.nl
