Newly employed don’t choose private pension funds

Only about 10 percent of newly employed persons now decide to have part of the pension contribution sent to a chosen private pension fund (OFE), according to data quoted by daily Parkiet. In March, this year it was only true for 4,377 out of 43,703 people who took up employment for the first time. The remaining 39,326 preferred to leave all of their pension contribution in the state-run Social Insurance Institution. This year, a pension system reform took effect in Poland, making OFE participation a matter of choice while it had been obligatory before. The funds are not allowed to advertise and there has been a ban on direct marketing since 2011.