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Just one-quarter of Swiss believe old-age pension will be secure in 20 years

The Swiss pension system is showing signs of increasing fragility, according to a study published on Thursday by the consultancy firm VermögensZentrum (VZ). Public confidence in the state old-age pension scheme stands at roughly 25%. Expected pension benefits have fallen by 16% since 2002, equivalent to a reduction of CHF12,260 ($15,140) a year for an employee earning CHF120,000. The main reason for this decline is the sharp reduction in benefits paid out under the second pillar, which consists of occupational pension plans, whilst the state old-age pension has increased. Meanwhile, public distrust of the old-age pension system is growing, and the majority of the population continues to oppose raising the retirement age. The report published on Thursday takes as an example a 55-year-old with an annual income of CHF120,000. At the age of 65, this worker will be able to count on an annual pension of CHF62,660. In 2002, the figure was significantly higher, at CHF74,920. A key factor ... Full story here Are you the author?
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