Common use of Types of pension Clause in Contracts

Types of pension. The pension scheme can be one of the following types: – a final pay scheme (applicable until no later than the prevailing end date of the statutory transition period); – an indexed average pay scheme (indexation target: wage or price index) (applicable until no later than the prevailing end date of the statutory transition period); – a collective defined contribution scheme (CDC scheme) (applicable until no later than the prevailing end date of the statutory transition period); – an individual defined contribution scheme; – a flat contribution scheme (under Article 10 of the Pensions Act); – or combinations of the above (hybrid scheme) within the stipulated statutory frameworks.