Dutch pension funds have continued to announce indexation increases to pensions amid broadly strong funding levels in the Netherlands.

The PostNL pension scheme, Pensioenfonds Hoogovens, Pensioenfonds SNS Reaal, and Mars Pensioenfonds have all announced increases from 1 January 2023.

Pensioenfonds PostNL increased pensions by 10 per cent following an agreement between the employer, trade unions and pension fund.

Part of the adjustment is that the fund has switched to being a collective defined contribution scheme, as of 31 December 2022.

The parties said that the adjustment was the best way to ensure pensions grow more closely in line with inflation.

Furthermore, the parties have expressed a preference for a solidarity premium scheme when the Future Pensions Act comes into effect, and plan to transfer the pensions already accrued to the new pension system.

Pensioenfonds Hoogovens announced that pensions were increased by 7.73 per cent on 1 January 2023.

This decision was based on the current and policy funding ratios at the end of October 2022, with the current funding ratio standing at 133.6 per cent and the policy funding ratio being 127.6 per cent.

Pensioenfonds SNS Reaal stated that pensions increased by 3.39 per cent on 1 January 2023 due to the scheme’s policy funding ratio being 116.1 per cent at the end of October 2022.

Finally, Mars Pensioenfonds announced that it increased pensions by 3.27 per cent on 1 January 2023.

Deputy Prime Minister and Minister for Poverty Policy, Participation and Pensions, Carola Schouten, recently announced that the temporary arrangement that allows pension funds to index at a funding ratio of at least 105 per cent will be extended until 1 July 2023.

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