English 
Français THE SPECTRE OF A MERGED AVS AND 2ND PILLAR…
...Or how to prevent citizens from having the funds (or the portion required for a mortgage) to purchase property abroad should they leave Switzerland!
Will future pensioners ever receive an enhanced AVS, without a second pillar? AVS and the second pillar merged… Isn’t this simply a despicable ploy to rob people of their savings?
It is undoubtedly time to invest for those who are still hesitating…
Now, what might happen to all the self-employed who have no second pillar… Will the state plunder their third pillar to merge it with the AVS as well? We know from experience that this sort of proposal never favours citizens’ freedom of choice, so we must remain vigilant!
A minimum AHV of 4,000 francs soon?
The Swiss will vote on pension reform on Sunday. If they reject it, a federal initiative could be launched to merge the AVS and the second pillar.
On Sunday, we will finally know whether Alain Berset’s flagship project will pass the popular vote. Indeed, the Swiss are heading to the polls to vote on pension reform. Uncertainty reigns over the outcome of both parts of the proposal. But if Pension Reform 2020 is rejected, there is already a Plan B, the Tages-Anzeiger reported on Friday.
Indeed, a federal initiative from left-wing opponents, which the Tagia has seen, is ready or almost ready to be launched. And it revolutionises the field of social insurance as well as the three-pillar system. The text calls for the compulsory part of the second pillar (occupational pension provision) to be integrated into the first pillar, i.e. the AVS. In practical terms: pensioners would receive a pension of at least 4,000 francs (compared to 1,175 francs from the AVS today) and a maximum of 6,000 francs (2,350 francs today).
Strengthening the first pillar
The Swiss Labour Party is behind this proposal. It was already known that the party was considering such a proposal. However, as Le Tagi points out, the details were not yet known. The party has just invited numerous other organisations, trade unions and left-wing parties to a meeting in Bern on 4 November to discuss the matter. These are largely the same circles that oppose Pension Reform 2020. “We are firmly committed to strengthening the first pillar and reducing the second,” explains Denis de la Reussille, a National Councillor from Neuchâtel representing the People’s Party, to the Tagi.
According to the Tagi, the text of the initiative is very detailed and contains numerous transitional provisions. This is because the transition from the current three-pillar system to a two-pillar system is complex. According to the text, it should be achieved over the course of a generation. The AVS funds would be financed by employee contributions and state funding. During the transition period, the capital would be managed by the current occupational pension system, so that all insured persons can maintain their current level of benefits.
(cht/nxp)
