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Employment and pensions: New rules to safeguard supplementary pension rights

United Kingdom
27/10/1998
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The aim of a new Council Directive is to protect the rights of members of supplementary pension schemes who move from one Member State to another. Such protection extends to pension rights under both voluntary and compulsory pension schemes, with the exception of schemes already covered by the Regulation on the application of social security schemes to employed persons and their families moving within the Community.

According to the Directive, the Member States must take necessary measures to ensure equal treatment as regards preservation of supplementary pension rights between those moving from one Member State to another and those who remain within the same Member State. They must also ensure that supplementary pension schemes make payment in other Member States, net of any taxes and transaction charges which may be applicable, of all benefits due under such schemes. Measures must also be taken to enable contributions to continue to be made to a supplementary pension scheme established in a Member State by or on behalf of a posted worker who is a member of such a scheme during the period of his or her posting.

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