1 / 20

PENSION REFORMS ACROSS EUROPE: challenges, institutions and innovation

PENSION REFORMS ACROSS EUROPE: challenges, institutions and innovation. David Natali. Pensions in Europe, European Pensions David Natali, P.I.E. Peter Lang, Brussels. Pension Reforms in Europe. Challenges Population ageing Budgetary strains New social risks EU integration

nira
Download Presentation

PENSION REFORMS ACROSS EUROPE: challenges, institutions and innovation

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. PENSION REFORMS ACROSS EUROPE: challenges, institutions and innovation David Natali

  2. Pensions in Europe, European Pensions David Natali, P.I.E. Peter Lang, Brussels

  3. Pension Reforms in Europe • Challenges • Population ageing • Budgetary strains • New social risks • EU integration • Institutions inherited from the past • European pension models • Innovation (Convergence/Divergence?) • Public/Private Mix Reforms

  4. Pension Models in Europe (end 1980s)

  5. Pension Models in Europe (end 1980s)

  6. Convergence or Divergence between pension systems ? • Persistent divergence • ‘Regime theories’ (Esping-Andersen; Pierson and Myles) • Renewed convergence • ‘the spread of the multi-pillar paradigm’ (Bonoli; Bonker; Arza) • ‘Passive privatization’ (Bonoli et al; Bridgen and Meyer) • ‘Active or coordinated privatization’ (Leisering; Barr)

  7. Passive or Active Privatization? • Passive Privatization • ‘to cut public protection against social risks without the parallel launch of an effective alternative provision’ (retirement-savings gap) • the ‘residualization’ of the role of the state

  8. Passive or Active Privatization? • Active Privatization • the state reduces the direct provision of social benefits but maintains an active role in regulating and/or subsidizing the activity of non-governmental actors • New policy instruments for the state

  9. Passive or Active Privatization? • extent of compulsion, voluntary or mandatory participation to supplementary pension funds • allocation of administration tasks, collecting contribution, paying benefits, managing state pension funds in competition with private funds

  10. Last wave of reforms

  11. Convergence or Divergence? • Convergence • Public pensions’ retrenchment • Increasing role for supplementary private schemes • Progressive abandoning of the single-pillar design • From income-maintenance to salary-savings

  12. Towards one single European model ?

  13. Convergence/Divergence

  14. Pre-reform Public/Private Mix

  15. Post-reform Public/Private Mix

  16. Passive or Active Privatization ? • extent of compulsion • Multi-pillar I gen., (UK, auto-enrolment); collective bargaining • Multi-pillar II gen. (PL, EE) mandatory participation • Social Insurance in Transition (IT, BE; Sl) progressive abandoning of voluntary participation (auto-enrolment; collective bargaining)

  17. Passive or Active Privatization ? • administration tasks • Public collection of contributions (SWE, PL; EE) • Monitoring, collection of information (SWE, UK, PL) • Competition between private and public funds (default fund) (SWE, UK)

  18. Future Risks: social adequacy of public/private mix

  19. Future Risks: 3 scenarios for the future of pensions in Social Insurance systems • Transition to Multi-pillar systems • Lower public protection will be supplemented by widespread supplementary schemes (Multi-pillar system) • Transition towards the ‘Bismarckian Lite’ model, similar to that of the USA • Lower public protection with uneven and limit private pensions’ coverage • The future reverse of reforms introduced in the last twenty years

  20. Pensions in Europe, European Pensions David Natali, P.I.E. Peter Lang, Brussels

More Related