PENSIONS : EP RELUCTANT TO RAISE RETIREMENT AGE.

• Position: European Parliament

MEPs are opposed to the establishment of a connection between life expectancy and statutory pension age. Voting on 16 February on the European Commission's green paper on the future of pensions, they rejected an amendment by rapporteur Ria Oomen-Ruijten (EPP, Netherlands) inviting member states to "debate actively and evaluate [ ] the establishment of a link between life expectancy and statutory pension age".

This provision is nevertheless found in a watered-down version in other parts of the resolution, which recognises "the contribution that would be made by working longer".

For Frederic Daerden (S&D, Belgium), "this vote is proof that Parliament has understood the most important point: the automatic increase in statutory pension age is not inevitable. It rejected the connection between statutory retirement age and life expectancy, whether the Merkel-Sarkozy duo likes it or not."

The resolution calls for use of the open method of coordination in support of a sustainable and appropriate first pillar, a second pillar adapted in consultation with the social partners and better regulation of third-pillar pension funds. The resolution, adopted by 535 to 85, with 57 abstentions, will serve as input for the Commission's drafting of a white paper (announced for September 2011) containing detailed proposals to make pension systems adequate, sustainable and safe.

INCLUSIVE REFORMS

MEPs support the green paper's holistic approach but would like to see gender and social exclusion issues taken further into account in the Commission's reflection on the future of pensions. They suggest that the EU executive draw up guidelines within which each member state could set criteria meant to guarantee a minimum pension. The member states should ensure that first-pillar pensions are higher than the poverty threshold. To ensure gender equality in pension entitlement, MEPs urge...