Government employers involved and the Stichting Pensioenfonds Caribisch Nederland (PCN) have agreed on measures to strengthen the pension fund Caribbean Netherlands The most important measure is that fund capital is strengthened by a total of $ 31 million.
The agreement is the result of talks between PCN and the Ministry of the Interior and Kingdom Relations (BZK), coordinating ministry on behalf of the Cabinet. As employer, the government, feels responsible for the pension the civil servants employed by the Rijksdienst Caribisch Nederland, Public enties and care institutions in Caribbean Netherlands. After the preparations by the official top and the board of PCN, State Secretary Knops officially approved the agreements made.
As a result of the agreement, PCN will receive a one-time amount of $ 25 million before the end of 2018, while starting in 2018 during a period of six years, each year an additional $ 1 million will be transferred to the fund as an additional contribution. The additional capital will be transferred to PCN by the Ministry of the Interior and Kingdom Relations. The amounts which PCN will receive come on top of the premiums paid by employers and employees collectively.
The reason for the strengthening of capital, is the fact that the fund had to deal with a number of specific, difficult circumstances since it was founded in 2010. For example, PCN is a small pension fund that has to deal with American financial markets. The fund is the only Dutch pension fund that is subject to regulations specifically written for the Caribbean Netherlands. Partly due to these specific characteristics, the fund had a number of adverse developments, which in April 2017 led to a reduction in pension benefits and pension entitlements of 3.5%
In the build-up to these agreements, the ong-term viability of the fund was also examined. In coming period, this will be further discussed with, among others, the trade unions.