People who do not build up a pension cost the Dutch taxpayer 5 billion euros annually. That’s what trade union CNV calculated. According to the union, when they reach retirement age, many workers fall back on benefits for care and rent to make ends meet because of the poverty trap.
Over a period of 19 years, the average time that people receive a pension, the total costs for taxpayers are almost 100 billion euros, according to CNV.
According to the union, 1.6 million people in the Netherlands do not build up a pension. With the high number of self-employed people, the union believes that the number of pensioners will only increase.
Is it right that taxpayers should pay for the costs of workers without pension accrual, or should everyone be obliged to accrue pension?