Half of Lafarge staff have joined a voluntary fund

Lafarge Romania, the largest cement manufacturer on the local market, has decided to contribute to a voluntary private pensions fund (3nd pillar) on behalf of its staff as part of the employee benefits package.
“Out of the 1,490 Lafarge employees, 720 (48%) have already joined a voluntary pension fund,” says Gabriel Matauan, HR & public affairs director of Lafarge Romania.
The voluntary pensions plan is open to all employees, regardless of their position or line of business.
The company also follows a rule of symmetry, i.e. the employee and the employer contribute the same amount. “The deductibility limit is of 200 euros a year, and the employee participation rate is what we had anticipated,” says Matauan.
However, in the case of employees with very low salaries, they contribute only a third of their salaries to the pension fund, whilst the company pays the remaining two thirds. The pension fund that Lafarge employees have joined is ING Optim.
The contributions to voluntary pensions are deductible up to a maximum of 200 euros per year, both for the employee and for the employer, i.e. 400 euros per year in all. Therefore, the company that contributes any sum to voluntary pensions as benefits to employees will pay a lower profit tax than in the case of a salary increase equal to the sum contributed.
Lafarge’s contribution to the 720 employees will amount to around 150,000 euro per year. “If all employees were to join the fund, it would cost us 300,000 euros a year,” says Matauan, who added that he hoped that the share of employees who will join the 3rd pillar would increase in the coming few years.
The average age of employees in the three lines of business – cement, plaster, aggregates and concrete, is 42-43 years.
“There were a few hundred aged over 50, who appeared more reserved with regard to joining a voluntary pension fund.” The biggest participation rate, 62%, was registered for the aggregates and concrete division, which employs younger members of staff.