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Pensions at a Glance 2023

OECD and G20 Indicators

image of Pensions at a Glance 2023

The 2023 edition of Pensions at a Glance highlights the pension reforms undertaken by OECD countries over the last two years. It includes a special chapter focusing on pension provisions for hazardous or arduous work. It describes existing rules, characterises recent policy trends and assesses the design and functioning of early-retirement rules for hazardous or arduous jobs given changing working conditions and ageing pressure on pension systems.

This edition also updates information on the key features of pension provision in OECD and G20 countries and provides projections of retirement income for today’s workers. It offers indicators covering the design of pension systems, pension entitlements, the demographic and economic context in which pension systems operate, incomes and poverty of older people, the finances of retirement income systems and private pensions.

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Funding ratios of defined benefit plans

Funding ratios of DB plans, which measure the amount of liabilities that available assets cover, have evolved differently over the years across countries, but tended to improve in most of them. Among the 12 reporting countries, 9 recorded a stronger funding ratio than a decade or so before, with the largest improvement occurring in the United Kingdom (30 percentage points more between end‑2012 and end‑2022), Ireland (20 percentage points more between end‑2015 and end‑2022) and the Netherlands (12 percentage points more between end‑2012 and end‑2022) (Figure 9.6). The funding ratio of DB plans also improved but to a lesser extent in Finland, Germany, Luxembourg, Norway, Switzerland, and the United States. By contrast, the funding ratio deteriorated in Iceland (by 29 percentage points between end‑2012 and end‑2022), Mexico (by 13 percentage points between end‑2012 and end‑2021) and Indonesia (by 6 percentage points between end‑2012 and end‑2021).

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