Company pension: A must for securing the future!

Company pension: A must for securing the future!

Österreich - Company pension (BAV) is becoming increasingly important for companies and employees in Austria and Germany. Joachim Schuller, Competence Center Manager Health & Benefits at Greco, comments in an interview about the results of the current market study on company pension funds and their performance. The study, which was now carried out for the 18th time, shows that the predisposition results of the pension funds were between 2.7 and 6 percent in 2024, which results in an average of almost 5 percent. This represents a positive development compared to the long -term average of around 2.5 percent since the introduction of the pension funds in 2003. The main drivers of this performance were corporate bonds and equity revenues, especially from the USA, reports Leadersnet.

In Austria, the clearance is new to all employers: the inside is mandatory, which means that 1.53 percent of gross containers have to flow into a pension fund. The study emphasizes that the demand for additional models such as the direct performance commitment and the "300-euro model" to improve pension supply is strong. With the decline in state health insurance benefits, the need for additional solutions increases. In addition, the shortage of skilled workers in the economy has expanded, which increases the need for attractive additional services, including tax -favored benefits.

The trend towards company pension schemes

The PWC study on the 2024 pension scheme provides additional knowledge. According to the survey, 41 percent of the companies surveyed have implemented a company pension scheme in the past five years. In addition, three quarters of the companies see BAV as an important incentive for existing employees: inside and new entrances. 48 percent of those surveyed consider a company pension to be extremely important for potential employees. The relevance of the BAV for the election of the employer is confirmed by 96 percent of the companies. This development is particularly important because companies are increasingly dependent on external support due to the shortage of skilled workers to manage and pay the company pension, explains [PWC] (https://www.pwc.de/de/im-fokus/accounting-rorting/- Companse- Pension-pension-consulting/betriebal-alt-2024.html).

Another point that the PWC study appeals is is the complexity of the offers for company pension schemes that often require external need for advice. Many companies have found major challenges regarding resource use in the implementation of their BAV strategies. 74 percent of those surveyed report that communication with the beneficiaries is challenging and that they need support. This shows that the operation of pension funds and funds is under increased supervision and that regulatory practice is further developed, especially in the context of new guidelines such as the EBAV-II directive, which places specific requirements for institutions of company pension schemes.

The strong second pillar

A growing awareness of old -age provision, especially among generation Z, means that this group is skeptical about the state pension. It hardly shows confidence in the sufficient amount of state pensions in old age. Schuller emphasizes the importance of a strong second pillar, i.e. operational provision, risk diversification and to close supply gaps. A quarter of the national budget is currently in pensions, and the tendency is rising. Schuller is optimistic that the public pension system will remain in the next 20 to 30 years, but at the same time warns of possible questions about the quality of life of pension payments.

Overall, it becomes clear that the company pension scheme not only plays an important role in securing living standards in old age, but is also a crucial instrument for companies in employee acquisition and binding. The progressive development in this area, as shown in the PWC study, confirms the relevance of the BAV and its increasing importance in today's world of work. It is essential for companies to carry out a structured analysis of their existing benefits in order to adequately address possible improvements and adequately address the needs of employees, as well as [pwc] (https://blogs.pwc.de/de/insurance-news/article/243036/pwc-studie-alters pension-2024-vero.) Notice.