INDEX LINKAGE AND LIFESPAN FACTOR Sample Clauses

INDEX LINKAGE AND LIFESPAN FACTOR. The amount of an additional pension that has been pegged in accordance with subsection 2.2 is reviewed annually by applying the salary coefficient pursuant to the Employees’ Pensions Act in force on 1 January 2005. Supplementary pensions that are being paid out are tied to the pension index under the Employees’ Pensions Act that is in force on 1 January 2005. Peggings of supplementary pensions based on already recorded paid-up poli- cies and the preservation of their value before retirement are retained un- changed. These peggings refer to, among others, the arrangement made in connection with the dissolution of the Savings Bank Pension Fund, in which the insurance portfolio was transferred to a life assurance company. The lifespan factor pursuant to the Employees’ Pensions Act that came into force on 1 January 2005 will not be applied. Accordingly, the lifespan factor does not have an effect on the amount of the basic pension that is used in cal- culating the amount of the supplementary pension. Nor does it affect the amount of a supplementary pension.
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