Dutch pension fund, PME Pensioenfonds, has reached an agreement with its social partners on what the PME pension will look like under the new Dutch pension system rules.

The new pension scheme is expected to come into effect on 1 January 2026, in line with the requirements of the Future Pensions Act (Wtp), which came into effect on 1 July 2023.

Ahead of the January 2026 deadline, PME worked with employers' and employees' organizations in the metal and technology sector, known as social partners, to agree a draft transition plan.

These social partners were represented by the Metalektro Consultation Council (ROM), and included employer representative, FME, and employee representatives, FNV Metaal, CNV Vakmensen, The Union, and VHP2.

The draft transition plan was then submitted to members for approval, before the parties agreed a final transition plan to share with PME.

During these discussions, the organisations agreed on a solidarity arrangement, which means that the new pension will focus on working “together for a good pension”.

As part of this, the pension fund will continue to invest savers money as usual, while sharing key risks to provide additional "peace and stability", with additional guarantees also built in for everyone who receives a pension, meaning that the fund can use a reserve to prevent pensions from decreasing.

The overall pension goal has remained unchanged, with those who retire expected to receive approximately 80 per cent of their average salary during working life.

However, PME argued that the chance that this goal will be achieved will improved under the new scheme rules.

In addition to this, the parties agreed that members will be able to accrue pension on their shift allowance, with a transitional arrangement to be introduced for this.

Currently, the agreed collective labour agreement shift allowance is 13.3 per cent for a two-shift system and 15.0 per cent for a three or more-shift system.

Now that the transition plan has been agreed, PME is expected to start work on whether these agreements are "feasible and executable", before preparing its administration and systems for the future.

Savers are then expected to receive an estimate of their pension under the new rules at the end of 2025, before the scheme actually switches on 1 January 2026.

Commenting on the agreement, PME executive board chair, Eric Uijen, said: "Social partners have spoken extensively in recent months. This care is important, because it naturally concerns the pension of many people.

"I am happy with the steps that have now been taken and look forward to the transition plan. With that plan in hand, we can start working for everyone with a pension at PME."

Work for the new system is ramping up, as Dutch pension fund, PFZW, also recently agreed on its new scheme with social partners in the healthcare and welfare sectors.

Industry research also found that the Dutch pensions sector is “well on track” with its preparations to switch to the new pension system, despite suggestion that employers could be "taking it easy" with their preparations.

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