Changes to the Pension Regulations as of 1 January 2022
The Federal Council enacted the legislation on the further development of the IV as of 1 January 2022. In particular, it provides for more detailed gradations of the invalidity pension. The Invalidity Insurance Act has corresponding effects on the Occupational Pensions Act (OPA). As a result, the Pension Regulations have to be amended as regards invalidity. Transitional provisions apply to people drawing an invalidity pension whose entitlement existed prior to 1 January 2022.

The rules concerning parital retirement from the age of 58 will also be amended. Partial retirement will still be possible from the age of 58. However, the restriction whereby the option of taking partial retirement ends on reaching the ordinary retirement age will be lifted.

Until now, it was the case that any voluntary continued insurance after being made redundant by your employer ended automatically if contributions were not paid for at least two months. Due to a regulatory provision, the automatism will now be deleted from the regulations. In future, the Foundation will issue express notice of termination

No pension increase in 2022
The affiliated pension fund pensioners  was founded as of 1 January 2020. Pension increases can only be financed by pension plan surpluses. A longer observation period is required for any distribution. That is why the pensions will not be adjusted for inflation in 2022.  

Advance notice
Our offices will be closed from 24 December 2021 up to and including 2 January 2022. 

As of 30 June 2020, the affiliation agreement was terminated by Dassault Aviation Business Services LTD (DABS).

The Foundation Board has determined and decided that

• the prerequisite for the partial liquidation is fulfilled as a result of the termination of the affiliation agreement with DABS as of 30 June 2020;
• the partial liquidation will be carried out;
• the authoritative balance sheet date is 31 December 2019;
• the group of persons affected includes the active insured persons of DABS as of 30 June 2020 and a collective departure to a new pension scheme will take place;
• the individual departures from 1 January 2020 to 30 June 2020 will not be taken into account where the partial liquidation is concerned.

The coverage ratio on 31 December 2019 was 106.9%. The value fluctuation reserve had not yet reached the target size of 117%, so that no funds were available as of 31 December 2019. Thus, the group departing is only entitled to the individual vested benefits and – on a pro-rata basis – to the provisions and reserves in accordance with the partial liquidation balance.

Information on legal options
You have the right to lodge a written appeal against this partial liquidation with Management within 30 days, stating the reasons (appeal deadline: 24 October 2021; Submissions must be filed no later than the last day of the limitation period by handing over to Swiss Post or a diplomatic mission or consular office of Switzerland.).

If you do not agree with the Foundation Board’s appeal decision, you are entitled to have it reviewed and decided on by the Supervisory Authority within 30 days.

If no appeals are lodged within the specified deadline, the partial liquidation as of 30 June 2020 shall be deemed to have been carried out and completed.

The managing director will answer any questions you may have: from Monday to Thursday from 8.30 a.m. to 11.30 a.m. and 1.30 p.m. to 4.30 p.m. 

2020 annual report and annual financial statements
The Foundation Board approved the 2020 annual report and annual financial statements. These are Livica’s first annual financial accounts. The consolidated coverage ratio at Foundation level amounts to 106% for 2020. In the year under review, all pension funds have a coverage ratio of more than 100%. Depending on the pension fund, this figure ranges from 102% to 116%. With the acceptance of the annual report and annual financial statements, the conversion to a collective foundation has now been definitively completed. A new era begins.

And another one ends…
However, the final meeting of the 2021 term of office, which is drawing to a close, also marked the end of an era: the Foundation Board had to bid farewell to Urs Kiener and Benoît Macherel, two members of outstanding merit. In his capacity as a member of the project group, Urs Kiener played a decisive role in establishing what was then called Vorsorge RUAG, a company founded in 2001. He was President of the Investment Committee from 2001 to 2012. From 2013 onwards, he was the President of the Foundation Board. Benoît Macherel was elected to the Foundation Board in 2005. From 2013 onwards, he also replaced Urs Kiener as President of the Investment Committee. During their long-standing service, both of them made a significant contribution to ensuring that the Foundation always did its homework in a foresighted and targeted manner. As a result, the right conditions were created over the years for the successful conversion of the Livica Collective Foundation. Urs Kiener is leaving RUAG International. Benoît Macherel will serve the Foundation Board for one final quarter before taking his well-earned retirement at the end of August.

Constitution of the Foundation Board
The newly elected Foundation Board convened on 6 July 2021 for its constituent meeting. It constitutes itself. In line with the rotating principle, the employee representatives nominate the presidential candidate. Hugo Gerber, external representative, was elected President and Dr Christian Ferber, Chief Human Resource Officer at RUAG International, was elected Vice President. Further information about Hugo Gerber is available here. 

Employer representative

• Ferber Christian (re-elected), Chief Human Resource Officer, RUAG International
• Macherel Benoît (re-elected until 31 August 2021), Chief Financial Officer, RUAG MRO Holding Ltd
• Christian Priller (newly elected from 1 September 2021), Chief Financial Officer, RUAG MRO Holding Ltd
• Mägerle Michelle (re-elected), Chief Human Resource Officer, RUAG MRO Holding Ltd
• Quabba Angelo (newly elected), Chief Financial Officer, RUAG International

Employee representative

• Bieri Sabina (re-elected), Senior Manager Digital & Branding, RUAG Ltd
• Gerber Hugo (re-elected), External representative
• Mollet André (re-elected), Quality Manager Engineering/Projects & Products, RUAG Ltd
• Wiesmann Eric (re-elected), Manager Sales and Programs Mechanisms, RUAG International

The Foundation Board shall constitute itself at its first ordinary meeting in July.

Interest of 1.5% will be paid in 2020 on the retirement assets of insured persons from all pension plans (previous year: 1.5%). In spite of the coronavirus pandemic and the strongly fluctuating financial markets, positive returns were generated for the individual pension plans. In mid-December, the pension committees therefore specified an interest rate of 1.5%, a figure that lies above the minimum OPA (Occupational Pensions Act) rate of 1.0%.