Blog: No indexation of the pensions per 1 January 2022

22 December 2021 | Blog

In this last blog of 2021 we can conclude that the pandemic has still strongly determined the life and work of all of us this year. But the financial situation of the Heineken Pension Fund has been influenced.

The low funding ratios of last year are still reflected in the so-called policy funding ratio. The policy funding ratio is the average of the funding ratios of the past 12 months. In order to base decisions that are financially far-reaching for participants and the pension fund on an average and more stable reflection of the financial situation, the policy funding ratio is leading in such decisions. Far-reaching decisions are for instance the decision to decrease or increase pensions.

At the end of September, the policy funding ratio of the Heineken Pension Fund was 105.5%, which is insufficient to increase pensions on 1 January 2022 based on the applicable law and regulations. However, the financial situation of our pension fund is still enough to ensure that no cutbacks of pensions will need to be made.

You may have heard in the news that pension funds are allowed to increase pensions at a policy funding ratio of 105%. Unfortunately, this has not yet been laid down in regulations, which is why the pension fund cannot yet execute this. Should an increase in pensions later prove to be possible, the board will still assess whether the pensions can be increased.

Happy Holidays and a Happy and Healthy New Year!

Related posts

Blog: Pension accrual during leave

27 September 2022

During your employment you can take different types of leave. Think about holidays, maternity and birth leave, parental leave or a sabbatical. But what about your pension accrual then? Read more about this in this blog.

Blog: Pension Comparator

22 June 2022

With the Pension Comparator you can compare two pension schemes. This is useful with a value transfer or if you are looking for a new job.

Blog: Value transfer

28 March 2022

If you change jobs, you can transfer your accrued pension to the new pension provider. We call this value transfer. Read more about value transfer in this blog.