• Service: Tax, Global Mobility Services, Global Compliance Management Services, International Tax
  • Type: Regulatory update
  • Date: 4/22/2014

EU - Directive on pension rights 

April 22:  The European Parliament approved an EU Directive designed to improve the acquisition and preservation of supplementary pension rights.

Current rules only allow for the portability of statutory pension rights (state or social security benefits), and have been considered to be inadequate to safeguard supplementary pension rights (i.e., those built up during an employment with usually a pension fund). In general, these rules have been viewed as constituting a barrier to worker mobility among the EU Member States.

The new rules will help to remove current obstacles to free movement—such as the requirement for very long periods of employment to acquire these rights, "vesting period" or the risk of the rights being lost when leaving a pension plan.

Read an April 2014 report [PDF 145 KB] prepared by KPMG’s EU Tax Centre: European Parliament approves new Directive for supplementary pension rights

©2014 KPMG LLP, a Delaware limited liability partnership and the U.S. member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. All rights reserved.

The KPMG logo and name are trademarks of KPMG International.

KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever.

The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.

Direct comments, including requests for subscriptions, to
For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at:

+ 1 202 533 4366

1801 K Street NW
Washington, DC 20006.


Share this

Share this


Subscribe to receive the latest TaxNewsFlash email alerts (you must select the option for TaxNewsFlash)

Already a Subscriber? Login

Not a member? Subscribe now