Unions and employers have reached a draft agreement on how to reform the pension system, including a guaranteed real annual rise in the state pension up to 2028, Nos television reports.

Sources say the deal calls for a 0.6% annual state pension rise above inflation every year. The pension age will go up to 66 in 2020 and 67 in 2025. People who stop working at the age of 65 will get a 6.5% pension cut.
The guaranteed increase in the AOW clears the way for a more flexible approach to corporate pensions, the Telegraaf states. A draft agreement was first signed a year ago, but ran into trouble after some unions said it did not offer enough guarantees on the size of payouts.

Stock exchange
In particular they are worried that corporate pensions would be too dependent on stock exchange movements. The draft deal does not include guarantees on the size of corporate pension payments, Nos says.
Nos says a definitive deal could now be signed within a week. However, the Telegraaf quotes union officials as saying ‘there is light at the end of the tunnel’ but there are still obstacles to overcome.
The government hopes unions and employers can agree a united approach to the reforms because this will make them much easier to implement.