Company Pension Funds
A company pension fund is a fund established by one or several employers with the aim of awarding pensions to the persons insured with the company pension fund.
Company pension funds are divided into A, B and AB funds, depending on whether they arrange only statutory pension provision or also offer voluntary supplementary pension provision for their insured members. The voluntary supplementary pension provision of company pension funds is financed solely by the employer.
B company pension funds handle only statutory pension provision under the Employees Pensions Act. In addition to pension provision under the Employees Pensions Act (B department), AB company pension funds offer also voluntary supplementary pensions (A department). An A company pension fund offers only voluntary supplementary pensions.
In the 2000s, the number of company pension funds has declined from 37 to 14.
Regulation of company pension funds
The Act on Company Pension Funds (1774/1995) is applied to company pension funds. Establishing a company pension fund presupposes at least 300 insured. On the basis of a stipulation in the rules of the company pension fund, the fund’s sphere of activities may include also certain other persons. Legally, the company pension fund is a separate unit, where the employer is represented in the administration.
Engaging in activities through a company pension fund requires that the rules of the funds and changes to them are conformed by the Insurance Supervisory Authority and that the fund is reported for registration in the register of company pension funds within the prescribed time.
As for new industry-wide pension funds, a new company pension fund can be established if a pension insurance company transfers some employer- or partner-specific part of the insurance portfolio under the Employees Pensions Act with assets and a certain solvency margin to a new company pension fund.
At the end of 2013, company pension funds handled approximately 20,100 persons insured under the Employees Pensions Act and 20,500 retirees. Approximately one per cent of all persons with an earnings-related pension insurance were insured with a company pension fund.
The number of persons insured with a company pension fund in 2013 amounted to 15 per cent of the level at the beginning of the 2000s.
Eläkesäätiöyhdistys supervises the interests of the industry-wide and company pension funds.
Company pension funds handling statutory pension provision in 2015
- Kymin Eläkesäätiö
- Sanoma Learning Eläkesäätiö
- Sandvik Eläkesäätiö
- Maataloustuottajain Eläkesäätiö
- Kontinon Yhteiseläkesäätiö
- Eläkesäätiö Polaris Pensionsstiftelse
- Yleisradion Eläkesäätiö
- ABB Eläkesäätiö
- L-Fashion Group Oy:n Eläkesäätiö
- Honeywell Oy:n Henkilökunnan Eläkesäätiö
- Soneran Eläkesäätiö
- Yara Suomen Eläkesäätiö
- Orionin Eläkesäätiö
- Oriolan Eläkesäätiö.