CHINA - The Chinese Ministry of Labour and Social Security (MOLSS) has signed a memorandum of understanding (MOU) with the Organisation for Economic Co-operation and Development (OECD) to study second pillar pension provision.
Research is due to start in early 2008 and would cover best practise in legislative and investment trends in OECD countries.
Yu-Wei Hu, economic consultant, OECD private pensions, told Global Pensions: “MOLSS is very interested in gaining international experience from member countries about second pillar, or occupational pensions.”
China has implemented the World Bank three pillar model for its pension system. These debates would influence the reforms already planned for the second pillar.
Hu continued: “We have a core team of four or five people at OECD working on the project, but this will increase as we involve external consultants and request delegates to join the discussions.”
Any resulting reforms have been given a short timeframe, with Chinese officials hoping to make changes to the country’s system by mid to late 2008.
Initially, workshops would include a select group, but the OECD said subsequent meetings in China would be open to a wider section of industry. Interested parties should contact the organisation.
The OECD and MOLSS have previously collaborated on China’s first legislation on collective pension funds in 2006-2007.
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