Every fifth Pole likely to stay in OFE pension system - minister
April 23, 2014
Some 20% of Poles will likely choose to have a portion of their social security premiums still be sent to their privately managed pension funds OFE, deputy Finance Minister Izabela Leszczyna said on Tuesday.
"We expect that some 20% of the insured will decide to stay with OFE, perhaps even closer to some 20%. We should not draw conclusions from the data for two weeks, that the state social insurance board ZUS presented”, Leszczyna told PAP Polish news agency.
Poland has given Poles four months to determine if they wish to have a portion of their social security premiums still transferred to the privately managed pension funds that Poland created in a 1999 partial privatization of social security.
In the first two weeks of a four-month decision-making period, only 25,000 Poles have thus far submitted declarations to stay in the program. That's a mere 0.15% of the 16.7 million Poles with OFE accounts.
"In my opinion, Poles, as ever, will file declarations on remaining with OFE at the very last moment, more people will decide on it when it's closer to the deadline, i.e. July 31," Leszczyna said.
Poles who fail to declare their intention to stick with the OFE system will see their entire premiums sent to ZUS.