NETHERLANDS - Trade union FNV, the largest in the Netherlands, will go ahead with its new defined contribution pension fund for self-employed members from next year.
The union, which is currently in talks with various Dutch insurers such as Achmea, expects that within the next few weeks an agreement will be put into place for the new fund, according to a spokeswoman.
The initiative will provide a cheaper way to build up pension for the around 25,000 self-employed or small businesses without staff in the Netherlands.
IPE reported in September that FNV had decided to set up the new fund as currently this group cannot to join any of the relevant corporate-wide pension funds, forcing most self-employed to take out a more costly pension agreement with insurers.
Furthermore, research by Dutch economic research institute EIM recently showed that half of the growing group of self-employed in the Netherlands do not build up a pension, which lead to calls for intervention by minister for social affairs Aart Jan de Geus.
The new alternative union AVV has already set up an open pension fund focusing self-employed and freelancers whose income changes frequently.
FNV's new fund will have the union as financially responsible actor. It will be an insurer without a profit target.