Monday, 19 October 2015 - 16:55
Netherlands rises to second-best pension system on Mercer index
The Netherlands has the second best pension system in the world, coming in behind Denmark in the seventh edition of the Melbourne Mercer Global Pension Index. The Netherlands passes Australia in this years’ index to finish second, and results indicate the success to be in the increased savings of households. With increased pressure on both social security and private sector pension funding, significant pension reforms had to be considered and implemented in a number of countries. According to Mercer, over the past year the Netherlands has especially improved the extent to which a pension provides a livable minimum wage. The scores on sustainability, on the other hand, dropped. Mercer has called on the government to step in and assist with pension improvement points urging to make retirement saving more attractive as well as to improve accumulated capital protection against employer fraud or insolvency. Netherlands is one of the few countries that links retirement to the mortality trends such as life expectancy, and Mercer expert Tim Burggraaf believes that the Netherlands may even top the list next year if Mercer's suggestions are followed. The Netherlands has already this year been proclaimed to have the best international pension system in the world by insurance company Allianz.