Type of Pension
Social security pension (CNSS) - mandatory state-owned pension plan funded by employer and employee contributions.
Additional plans - in addition, there are voluntary private pension plans.
Key pension transaction considerations
It is important to identify early on whether there is a private pension plan that needs to be replicated in favour of transferring employees as part of the transaction. In the case of an automatic transfer, the benefits are maintained. For an individual transfer, it becomes a matter of negotiation, although in practice the benefits are usually preserved. Changes and/or interruption of private pension plans need to be analysed on a case-by-case basis.