Design of compensation in case of system change to a degressive accrual system

This project analyzes the design of compensation in the system change to a degressive accrual system. What are the possible solutions for designing compensation in the case of system changes and the abolition of the uniform contribution system? Is that effect different with DB than with DC schemes? In this paper we identify pitfalls (age discrimination, taxation, transitional periods) and we explore measures to make compensation more economically and legally defensible.

Netspar, Network for Studies on Pensions, Aging and Retirement, is a thinktank and knowledge network. Netspar is dedicated to promoting a wider understanding of the economic and social implications of pensions, aging and retirement in the Netherlands and Europe.

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