AI Summary of Article 10 Operating requirements
Member States are obligated to ensure that all IORPs (Institutions for Occupational Retirement Provision) within their jurisdictions operate under well-defined rules governing pension schemes. Furthermore, if an employer guarantees retirement benefits, it must ensure regular funding to support these commitments.
Additionally, exercising the principle of subsidiarity, Member States may permit the inclusion of extra benefits, such as longevity and disability coverage, provisions for dependants, and contribution repayment guarantees, provided that there is mutual agreement between employers and employees or their representatives.
Article 10 Operating requirements
1. Member States shall, in respect of every IORP registered or authorised in their territories, ensure that:
(a) the IORP has implemented properly constituted rules regarding the operation of any pension scheme;
(b) where the sponsoring undertaking guarantees the payment of the retirement benefits, it is committed to regular financing.
2. In accordance with the principle of subsidiarity and taking due account of the scale of pension benefits offered by the social security regimes, Member States may provide that additional benefits such as the option of longevity and disability cover, provision for surviving dependants and a guarantee of repayment of contributions are offered to members with the agreement of the employers and the employees or their respective representatives.