Morawiecki still hopes for OFE reform to be launched next years

Despite earlier media reports that due to disagreements between Deputy PM Mateusz Morawiecki and Labor Minister Elżbieta Rafalska, the OFE pension fund reform will be shelved. However, Morawiecki still claims that the overhaul should take place next year. “2018 is the year when we want to launch this reform,” he said, adding that his take on the reform did not change. “We maintain our intentions and plans when it comes to OFE reform. From our point of view, nothing changes,” he said. Morawiecki wants to move 25 percent of OFE assets to the state-owned Demographic Reserve Fund managed by the Polish Development Fund, while the rest of the assets, would be transferred to investment funds that would function largely like the current optional pension accounts Individual Pension Accounts (IKE) and Individual Pension Security Account (IKZE). Rafalska prefers dissolving OFE’s and putting all of its assets in the Social Security fund ZUS.