“We can’t do without pensions. Especially now that we're generally living longer.”

A talk with Ilse van der Weiden, who works at the FNV trade union and has been a negotiator for collective labour agreements for many years. Since 2018 she has been a board member of pension funds in several different sectors, including health care. In March 2020 she joined the boards of NN CDC Pensioenfonds and ING CDC Pensioenfonds as a representative of the FNV trade union. “This the first time I’ve been on the board of a corporate pension fund, a sector that's new to me. It's an interesting challenge!”

Are trade unions always represented in pension fund boards?
“It isn't compulsory, but you do see it a lot. I spend an average of eight to twelve hours a week working for the pension fund boards of NN and ING on behalf of FNV. The trade union promotes the interests of all employees when it comes to work and income. With almost one million members, FNV is the largest trade union in the Netherlands.”

What motivated you to join the boards of these two corporate pension funds?
“I like pension as a topic! It’s very interesting! We can’t do without pensions. Especially now that we're generally living longer. Pension is my line of work, my specialisation at FNV. I already had several board positions in sector pension funds and had some room left in my calendar. I thought it would be interesting to join some funds that have a totally different profile.”

What makes them so different?
“In the health care sector I deal with a relatively large group of pension fund participants who have part-time salaries and very small pensions. At NN and ING, the group of participants is far less homogeneous. When I had just joined, the coronavirus pandemic emerged, meaning a lot of the work is done remotely, but it works in practice.”

“Explaining, negotiating and convincing people of the importance of pension is what truly motivates me.”

Are you involved in the remodelling of the Dutch pension system?
“Well, as part of FNV, I am. You might have read how difficult it was to arrive at an outline for a new pension plan. We worked hard to explain the contents and the importance of it to our trade union members and to ultimately get enough support for the new plan. Explaining, negotiating and convincing people of the importance of pension is what truly motivates me.”

“People working at an insurance company or a bank generally have more knowledge of pensions, but that doesn't mean they put much effort into it”

How does your being a trade union member help you as a board member?
“I’ve been a board member since 2018. Before that, I was a negotiator for collective labour agreements. I enjoy working with others towards a common goal. I love the dynamics of an environment where multiple interests are at play. In all those years, I only called for action once - when we had landed in a stalemate situation. At all other negotiations, we were able to reach agreement by talking with each other and respecting each other.”

What are your areas of focus in the pension funds?
“I focus on pension, governance and communication. The main challenge is: how do we get participants to be interested in their pension? My own fascination for pensions started when I was a CLA negotiator for childcare organisations. Pension was a part of the collective labour agreement. I was surprised to see how little employees knew about pensions. ‘Am I building up a pension? How much? Will it be enough to live off when I retire?’ They had never given their pension any thought, even though it's about money that's rightfully theirs and that they will need as income later in life. I think it’s because they’re afraid pension is too complicated. Knowing more about pensions than others, I enjoyed explaining things to them, and I became a specialist in the topic. People working at a an insurance company and a bank generally have more knowledge of pensions, but that doesn't mean they put much effort into it. Retirement is a long way away and current topics have more priority. But as a board, we want to bring the topic to the attention of the pension fund participants.”

Will we get a new pension system in the Netherlands?
“There have been many changes in society. People are living longer, on average. The proportion of working people is declining in comparison with pensioners. People no longer stay with the same employer or even sector their entire lives, switching jobs or starting their own business instead. These trends have an impact on the durability of the pension system. There will certainly be a new pension system which all pension funds, including ours, will have to deal with.”

What to you consider important in communications with participants?
“Measuring and knowing what does and doesn’t work well, and making relevant changes based on that knowledge. How can we tie in with the needs and perceptions of participants? This month's Special is a good example, as it focuses on age groups. By engaging with them, even though physical meetings are difficult these days. By promoting handy tools such as the government’s website 'mijnpensioenoverzicht.nl' and the Pension Planner to explore your personal financial future. It's also nice for participants to have an impression of the people who are working hard to ensure they have a good pension.”

“Pension is an asset that's important enough to be engaged about.”

Why is it so important to activate participants to monitor their pension?
“By monitoring where your pension is heading, you can estimate whether your future income will be enough to let you live the way you want to. For example by making a comparison with your current income and expenses. If you foresee a gap, you might be able to do something about your financial situation. Pension should be a regular part of your financial affairs. The younger you are when you start monitoring your pension, the more effect it will have. It's also important to give trust. Pension is an important part of your assets. Important enough to be engaged about.”

What do you do when you're not at work?
“I love hiking and cycling in the mountains. When I'm out there, I realise how good our lives are. That makes me happy. At the same time, I worry about social inequality. My work for FNV makes me feel I can at least make a different in that respect.”