Employees' private pension accounts are 100m-euro poorer

Almost one third of employees that joined a mandatory pension
fund (2nd pillar), i.e. around 1.5 million people, do not regularly
get the contributions owed to them by employers, with the overall
sum that companies failed to transfer into their accounts amounting
to over 105 million euros, according to an analysis made by ZF. “We
expected this progression. This is a significant amount, and has to
do with employers’ lack of discipline and with the rise in
unemployment. Companies have trouble making payments and this will
probably go on until the end of the first quarter of next year,”
Mircea Oancea, president of the Private Pensions Supervisory
Commission (CSSPP), told ZF.
The number of people for whom contributions are not paid on a
regular basis climbed every month since the launch of the private
pensions system, with their share accounting for around 30% of all
participants in the system, according to the latest information
available. The funds currently have over 4.8 million, with the
amounts under management to exceed 310 million euros this year.
Every month, due to the financial difficulties facing all
companies, the sums transferred into the accounts are 7-11 million
euros lower than they should. Contributions to mandatory pension
funds account for 2% of monthly salary incomes and are subtracted
from the state social security contributions. The sums not
transferred by employers will ultimately affect the pensions of
private fund participants.