Cases

These completed cases provide an accurate reflection of our collective corporate pension practice. For expat pension cases please visit: www.expatpensionholland.nl

  • Case1: Restructure German Pension Plan

    Facts

    A German subsidiary of a European concern had a German pension plan which was rather out of date and required change.

    Issues

    It was most relevant to explain to the European and local German Board as well as to the Employees Counsel what the options were according to German law and see to perfect implementation.

    Solutions

    Both Boards as well as the Employees Counsel accepted the proposed option, which was implemented in a pleasant manner.

  • Case 2: Restructure Pension Plan For Global Company

    Facts

    A global company had an insured plan which did not yet have the benefits of much more modern alternatives as provided by certain PPI providers.

    Issues

    Most relevant was explaining that PPI’s can indeed offer a fine and modern alternative to the classic insurance company and to explain these differences and which PPI was deemed most suitable taking into account the already set parameters.

    Solutions

    The company agreed with the presented quote selection and recommendation after which the PPI provided a perfect implementation.

  • Case 3: Dutch Pension Plan For French Global Company

    Facts

    A global French company did not yet have a Dutch collective pension plan for its in Holland working employees.

    Issues

    One of the most relevant issues was if it was indeed possible to create a pension plan for a foreign company with no Fixed Settlement in Holland.

    Solutions

    As our analyses explained that such a plan was indeed possible, the implemented quote selection showed which PPI was most attractive after which we provided for implementation.

  • Case 4: Pension Compensation Due To International Merger And Relocation

    Facts

    As two global companies had merged, many executives had to relocate which also effected their pension claims.

    Issues

    I.e. is was about comparing the former and new national pension claims and to provide calculations and advice about the if deemed suitable correct amount of annual gross compensation.

    Solutions

    After having determined the exact amount of previous pension claims in several countries and compared its prolonged continuation until pension age with the new claim prolongation, we were able to establish the correct compensation. Which was accepted by both the company as well as by the executives.

  • Case 5: Pension Plan For Company With Many Expat Employees

    Facts

    An international company with many expat employees did not yet have a pension plan.

    Issues

    As there was no pension plan, the employees did not have the related tax benefits and no fine and not expensive next of kin coverage. Which the Board did not prefer as they as good employer wanted to provide for their employees.

    Solutions

    We explained to the Board that a corporate pension plan with maximum flexibility would serve many purposes: Low costs for the company and employees, fine next of kin coverage for the employees plus for the employees the option to if so desired infuse additional pension premium with full tax benefits. After which the best fitting PPI quote was implemented.

  • Case 6: Introduction Of Pension Plan Instead Of Informal Pension Contribution

    Facts

    An international company had the impression that is was good not to have a pension plan and instead gave all employees additional gross wages to use as they deemed suitable.

    Issues

    Even though we understood and appreciated that the company liked a ‘lean and mean’ approach, not using substantial tax benefits was very negative for the employees.

    Solutions

    After explaining these aspects to the Board and the employees, we selected the best fitting PPI and saw to implementation. Good to know that now the employees do have the tax benefits!

  • Case 7: Restructure Dutch Corporate Pension Plan For Dutch Company

    Facts

    Our client has a floral company and had not received proper and timely pension consultancy which needed to be corrected.

    Issues

    The main issue, besides selecting the best new pension provider and quote, was how to convince the employees to agree with a substantial and unpleasant but completely correct decrease of their pension claim and increase of their own contribution in order to again have a regular normal corporate pension plan.

    Solutions

    By being frank and transparent the employees understood that due to changed circumstances and extremely increased pension costs, a reduction was unfortunately inevitable.

    As the previous pension consultancy firm had neglected to provide advice that met the legal standard, they agreed to our proposal to pay our fee instead of our client.

  • Case 8: Mediation between American Company and Dutch Executives

    Facts

    Our client is an American company. As the now common switch from a very expensive final pay guaranteed pension claim to an investment based pension plan required implementation, our firm was asked to mediate between the company and the valued regional executives.

    Issues

    According to Dutch law a corporate pension claim can i.e. only be changed if the participants agree to the change. In this case the executives felt not really respected because of the severe change and its indeed rather far reaching impact.

    Solutions

    We have explained to the executives that due to the historically low interest rate the former plan was three times as expensive as a now normal plan. After many meetings the executives finally accepted our proposal as they understood that we not only wanted to create normal pension premium costs for the company but were also sincerely trying to get them the best deal.

  • Case 9: Change Cash Pension For Real Pension Plan For Danish Company

    Facts

    A respected global Danish company offered a cash pension to their regional executive team. As that did not provide any highly relevant tax benefits, that required change.

    Issues

    Besides explaining the huge tax benefits at retirement age to the executives and to HR, we also had to convince HR that it was indeed possible to properly manage a formal corporate pension plan and that there would not be any surprises.

    Solutions

    By providing all inclusive service which also included to function as helpdesk throughout the year, we were able to convince the company to agree. Great to thus contribute to the tax benefit for the executives.