December private pensions deadline for 35 to 45-year old employees

Employees aged between 35 and 45 who are eligible for optional private pensions (the second pillar) in the August-November period, will fully forfeit this right in December 2007, the Private Pension Supervision Commission (CSSPP) has announced. Under the law, starting next year, all employees aged below 35 have to contribute to second pillar pensions; this option is also open to employees aged between 35 to 45. The period designated for employees to choose a compulsory pension fund (the second pillar) is August-November this year, after which the latter category of employees will fully forfeit the right to opt for a compulsory pension. However, they will be able to purchase an optional private pension (the third pillar), even if they are excluded from the compulsory pension system. “People aged between 35 and 45, who don’t make their choice during the four-month campaign, which starts in August, will lose their right to a compulsory pension,” confirmed Mircea Oancea, chairman of the CSSPP.