NETHERLANDS – The 47 billion euro Dutch health and social workers’ pension fund PGGM says it will set up a members’ council.

“The executive board of PGGM has taken a decision in principle to establish a Members Council,” said PGGM. The composition of the council will be formulated over the next few months.

The advisory council of the fund, which comprises employee, employer and pensioner representatives will be “closely involved” in the new body, it said.

“The decision in principle has been taken in view of the recent agreement in principle between the Labour Foundation and the Coordinating Organ of Cooperating Elderly Organisations regarding a second covenant on pensioners’ participation in the administration of pension schemes,” the fund, Europe’s second largest, said.

Earlier this month the Dutch labour foundation Stichting van de Arbeid and the elderly organisations’ umbrella group Coordinatieorgaan Samenwerkende Ouderenorganisaties, agreed to the proportional representation of pensioners on governing boards.

The move will add to PGGM’s policy structure. Its policy is currently determined by a 13-strong board of governors – comprising six employer and six employee representatives as well as an independent chairman. The board is supported by an advisory council, which includes representatives of the employers and employees and pensioner organisations.

The final decision on the establishment of the council would be taken “in the course of 2003”, the Zeist-based fund said.

PGGM runs the group pension schemes of more than 1.6 million employees, former employees and pensioners in the healthcare and social work sector.