Institutions for occupational retirement provision iorp directive 200341ec law details information about directive 200341ec including date of entry into force and links to summary and consolidated version. Comments on the proposed iorp directive insurance europe. This will now be the basis for discussion and amendments in the european parliament throughout the autumn. You can find out more about cookies in our cookie policy. Iorps directive the iorps directive, which was published on 23rd september 2003 is required to be implemented by the member states by 23rd september 2005.
One of the latest developments affecting pension schemes operating with the european economic area eea is eu pensions directive iorp ii. To improve and modernise regulation for iorps that operate dc plans. The recitals of the directive clarify the position on this where the sponsoring undertaking and the iorp are located in the same member state, the mere fact that members or beneficiaries of a. The eu commission has now proposed that the 2003 iorp directive be revised to address these issues. European parliaments proposals positive but work still to be done. Identifies the printing and reproduction services available to agricultural marketing service ams headquarters and field offices, and prescribes procedures for obtaining such services. Institutions for occupational retirement provision i orp directive of 2003, which covers certain occupational pension savings. February 2012 confirmed the iorp directive would be revised. This information should, interalia, be regularly updated, be written in a clear manner, use clear, succinct and.
Iorp ii trialogues offer opportunity to safeguard members and. An iorp shall notify its intention to carry out crossborder activity to the competent authority of the home member state. The latest directive also referred to as iorp ii was nearly three years in the making, with the eu commissions initial proposal for a new directive having been published in march 2014. Iorps and of the risks inherent to these activities and ensure consistency with article 14 of directive 200965ec, article 2 of directive 20098ec and article 12 of directive 201161eu. Revision to occupational pensions directive iorp ii. An iorp proposing to carry out crossborder activity and to accept sponsorship from a sponsoring undertaking shall be subject to prior authorisation by the relevant competent authority of its home member state. However, the proposals to revise the iorp directive need to better balance measures that would make a real difference in crossborder provision and those aiming to ensure safety and security.
All casing ordered prior to the issuance of this directive may be used if it conforms to the design factor requirements in section 1. Member states now have until 12 january 2019 to implement it. Position paper on proposed revision of iorp directive. The aae notes that the original iorp directive was intended to facilitate the establishment of cross border or pan european iorps, and has not achieved this objective to date, although a few major multinational employers have established plans which cover a small number of countries. These are overwhelmingly in the united kingdom 5 5.
Effective june 17, 20, the energy resources conservation board ercb has been. The directive was transposed into the national legislation of the member states in 20052006. The directive should focus on the activities and the risks borne by the iorp, not on the underlying schemes. The revision of the iorp directive, including the qis, is a deeply political discussion where the voice of social partners, pension funds, and the wider pension industry should be heard. Iorp ii focuses on the governance of pension schemes and on their communications with individual members. A maltese iorp may accept sponsorship in terms of the occupational pensions directive from sponsoring undertakings located within territories of member states or eea states other than malta, subject to regulations 4 and 5. Directive as last amended by directive 200274ec of the european parliament and of the council oj l 270, 8. Jan 24, 2017 written by david eatock 4th edition, in 2014, the european commission proposed a revision iorp ii of the existing institutions for occupational retirement provision iorp directive of 2003, which covers certain occupational pension savings.
Aug 31, 2012 our story starts with the 2003 iorp directive, although that was itself many years in the making. With the implementation period running slightly ahead of, but largely in parallel to, the uks brexit negotiations, it is not yet clear how if at. Under the current iorp directive a scheme is treated as a crossborder scheme where the relationship between the sponsoring undertaking and members is governed by the social and labour law of a member state other than the home. The new eu directive on the activities and supervision of institutions for occupational retirement provision iorp ii was adopted in 2016. Publications bringing clarity to the complex energy market find out how lcp enact can help make sense of complex data to help you make better strategic decisions. Making the changes required to comply with this legislation is going to be a lot of work for those involved in running pension schemes. The purpose of the 2003 iorp directive was to establish a system of regulation of iorps or occupational pension funds that was common across the european union subsequently adopted by european economic area eea countries of norway, iceland and liechtenstein. Institutions for occupational retirement provision. Occupational pensions are private, normally prefunded, supplementary pension plans linked to an employment relationship. Those with members living in other eea countries were concerned that this meant they could be carrying out crossborder activity, triggering among other things a requirement for the plan to. A maltese iorp wishing to accept sponsorship in terms of. Dec 21, 2016 the recitals of the directive clarify the position on this where the sponsoring undertaking and the iorp are located in the same member state, the mere fact that members or beneficiaries of a.
Iorp ii, as it is known, was finalised in january 2017. An iorp operating crossborder is subject to the notification procedure set out in the directive. The restriction of the use of certain hazardous substances. Over two years after initially being proposed, the new iorps directive 20162341ec iorps ii was adopted by the european parliament on 14 december 2016 and came. The european insurance and occupational pensions authority eiopa was consulted for advice. These rules minimum standards are designed to ensure that occupational pension scheme transactions. The european commission was keen to copy and paste solvency ii for insurance. Institutions for occupational retirement provision iorp directive 200341ec law details information about directive 200341ec including date of entry into force and links to. The new iorp directive, which emerged from the eus trilogue negotiations on 30 june 2016, will introduce new governance and disclosure requirements for occupational pension plans within the eu. By continuing to use this site you are giving us your consent to do this. Jun 17, 2011 an iorp operating crossborder is subject to the notification procedure set out in the directive. Iorp ii extends the existing iorp directive from 12 pages to over 100 pages, changing and introducing new requirements over a whole range of areas.
This is important since socialsecurity systems are coming under increasing pressure, which means that citizens are likely to increasingly rely on occupational retirement pensions to complement other retirement provisions. As with the iorp i directive, member states can choose to exempt schemes with less than 100 members from much of its scope, but iorp ii further provides that schemes with more than 15 members must be subject to much of the general governance and prudent person investment requirements. Directive eu 20162341, on the activities and supervision of institutions for occupational retirement provision iorp ii came into force on 12 january 2017 and must be implemented into irish law by january 2019. On 27 march 2014, the european commission proposed a revision. The upcoming trialogue discussions on the revised directive on institutions for occupational retirement provision iorp ii between the european institutions provide an important opportunity to ensure appropriate safeguards for iorps members and beneficiaries, according to insurance europe, the european insurance and reinsurance federation. Institutions for occupational retirement provision directive. The authority will provide technical support to the department of employment affairs and social protection in transposing the directive into law by the eu deadline of january 2019. The european parliament, the council and the commission have agreed on a proposal for a revised iorp ii directive the directive.
Draft report econ committee the econ committees rapporteur on the iorp ii directive, brian hayes, has published his longawaited draft report on the legislation. The key objectives of the revised iorp ii directive are to. These regulations are made in exercise of the powers conferred by section 81 of the european union withdrawal act 2018 c. Position paper on proposal for revision of iorp directive 4 this proposal would have added 440bn in total costs. Under the current iorp directive a scheme is treated as a crossborder scheme where the relationship between the sponsoring undertaking and members is governed by the social and labour law of a member state other than the home member state. Iorp ii and solvency ii should be extended until the quantitative requirements applicable to iorps have been revised. To introduce riskbased supervision for iorps, focus on three main pillars 3. The iorp ii directive sets common standards ensuring the soundness of occupational pensions and better protects pension scheme members and beneficiaries, by means of among others. It transforms the directive with extensive new requirements on governance and communications. The proposed revision aims to improve the governance, risk management, transparency. Comments on the iorp directive introduction the aae published a position paper in november 2015 commenting on the european commissions proposal for revision of the iorp directive, which was published in march 2014, including references to the initial draft report by the econ rapporteur. The proposed revision aims to improve the governance, risk management, transparency and information. Moreover, there is no sign that the current iorp regime is failing. It lays down minimum standards on funding pension schemes, the types of investments pensions may make and permits crossborder management of pension plans.
The iorp directive revision a truly political debate. As such, it is easy to see which parts of the proposed directive are new. Institutions for occupational retirement provision iorp. The restriction of the use of certain hazardous substances in electrical and electronic equipment regulations 2006 made 25th may 2006 laid before parliament 6th june 2006 coming into force 1st july 2006 the secretary of state is a minister designateda for the purposes of. Simply put, an iorp will remain subject to the prudential supervision of the relevant authorities of its home member state that is, where the iorp was established, but will also become subject to supervision by the relevant authorities in the host member state or states where it. To simplify legal, regulatory and administrative requirements for settingup crossborder pension funds 2. The requirements in this edition of directive 010 are effective on december 22, 2009. This was the culmination of six months of negotiations and was agreed in june 2016.
The iorp directive already imposes stringent requirements that ecurse the future retirement income of pension scheme members. The directive is the result of almost three years of discussion and negotiation. Lcp guide to the new european pensions directive the iorp ii. This does not preclude an iorp from satisfying the. Iorp ii trialogues offer opportunity to safeguard members. Well servicing operationsinterim requirement regarding the potential for explosive mixtures and ignition in wells. Many b ut not all occupational pensions are regulated at eu level by the directive on institutions for occupational retirement provision o r iorp. The amendments to the existing legislation focus on governance and disclosure. In view of demographic change, sustainability and adequacy, the overall goal should be promotion of occupational pensions. In some member states, selfemployed persons cannot join an iorp unless cer tain requirements, including those imposed by social and labour law, are met. The iorp ii directive chapter 1 on general provisions, article 36 outlines principles on how information provided to prospective members, members and beneficiaries should be provided. You may need a pdf reader to view some of the files on this page. Much of this has been on the back of doomsday modelling of the costs of defined benefit liabilities if solvency ii directive capital requirements were. Vha directive 1118 transmittal sheet january 12, 2017.
Wed like to use cookies which help us understand how our website is used by our visitors. A new european pensions directive the directive came into force on 1 january 2017 formally directive eu 20162341 of the european parliament and of the council of 14 december 2016 on the activities and supervision of institutions for occupational retirement provision iorps, published in the eu official journal of 23 december 2015. Iorp 2 directive developments in the european parliament. Institutions for occupational retirement provision directive 20162341 is a european union directive designed to create an internal market for occupational retirement provision. Iorp directive the eu has recently approved a major revision of the eu legislation on workplace pension schemes the directive on institutions for occupational retirement provision. All casing ordered or manufactured after september 22. Over two years after initially being proposed, the new iorps directive 20162341ec iorps ii was adopted by the european parliament on 14. Update of standard default exposure factors contact us to ask a question, provide feedback, or report a problem. The process of revising the iorp directive must be driven by realistic timelines, and truly aim at improving the adequacy and sustainability of occupational. The occupational and personal pension schemes amendment. In 2014, the european commission proposed a revision iorp ii of the existing institutions for occupational retirement provision iorp directive of 2003, which covers certain occupational pension savings. Eu directive on institutions for occupational retirement. See epas about pdf page to learn more oswer directive 9200. Iorp ii update text of revised iorp ii directive agreed and awaiting formal approval from european parliament the european parliament, the council and the commission have agreed on a proposal for a revised iorp ii directive the directive.