21 March 2023

Switching to a new pension scheme involves much time and effort. What choices do we make and how do we ensure no one is disadvantaged? At J&J Pension Fund OFP, we are working hard on this. “We are on track!”, says Kathelyne Nijs, who is responsible for the smooth day-to-day running of J&J Pension Fund OFP. “The advent of the new pension system in the Netherlands has huge implications. It involves drastic changes not only for participants, but also for our organisation. For example, the entire accounting system needs to be overhauled. This is a major operation.”

The Future Pensions Act (Wet toekomst pensioenen, WTP) was passed with fits and starts. “We have been working on it for a long time. The new act was delayed a few times. At a detailed level, we are still dealing with changes and plans being postponed. We can move forward once everything is clear.”

Making choices
Kathelyne says that the big picture is clear now. All pension funds must have switched by 1 January 2027. “Based on our current schedule, we will switch on 1 January 2026. Before then, there is a lot of work to be done. It is not that there is only one option and that every pension fund in the Netherlands will have the same type of scheme. There are certainly choices to be made too. We set up the E+E (Employer+Employee) work group for that, led by our pensions manager Ron Verhulst. This work group consists of employer and employee representatives and members of the pension council. They look at which choices best suit our pension fund. Pros and cons are weighed up. They also look at the risks and costs.” Meet the work group.

“Carefully weigh everyone’s interests”
Kathelyne stresses that balancing interests is also given a lot of attention. “Whether you are young and still have a long wait for retirement or you have been retired for a long time; for everyone, you have to consider how the change works out. Everyone’s interests must be weighed very carefully.”

“We want the proposed choices to reflect the wishes of our participants as closely as possible. That is why we will survey them, for example, on the risk that participants are willing to take with their pension money. We are going to conduct a survey on that this year. We want to know their concerns in order to make the right choices.” To include everyone in the changes, our focus this year will also be on communication from the pension fund about the new scheme.

Who decides?
The work group will not make any decision, Kathelyne argues: “The work group will eventually issue an opinion on the new pension scheme and the transition plan, how we go from the old to the new scheme. It is then up to the employers and the Central Works Council (CWC) to reach an agreement. The new scheme and transition plan should be known by 2024. Then we have the year 2025 to get our systems and processes ready for the changes.”

One year ago, Kathelyne took over many of pensions manager Ron Verhulst’s duties. How do you like it? “It was a particularly instructive year. There is a lot going on in the pension world. That’s what makes it engaging. And it is also important work. Pension is people’s income. That has to be right for everyone down to the smallest detail. What can we do to further boost data quality? How can the administrative process be improved? These are important questions that my work focuses on. And the arrival of the new scheme obviously turns things upside down.”

More information
Want to know more about the changes? Our page Pension Agreement contains more information on this. We would also like to ask everyone to check that J&J Pension Fund OFP has your correct private e-mail address. This will allow us to reach you at all times and you will be sure that you will not miss any news about our pension fund. On My pension you can check your e-mail address and change it if necessary.