Estimated read time: Less than a minute
This archived news story is available only for your personal, non-commercial use. Information in the story may be outdated or superseded by additional information. Reading or replaying the story in its archived form does not constitute a republication of the story.
WARSAW, Poland (AP) - Poland's government has opened a debate on a controversial plan to transfer part of pension savings from private funds to a state account.
Under the plan announced late Thursday and to be debated Friday, private pension funds would have to transfer their government bonds to a state account, but would be allowed to keep stock. Every Pole will have to decide whether to stick with only the state fund or have a private one, too.
Prime Minister Donald Tusk's government argues private funds weigh pension investments too heavily toward shares and might result in low pensions, due to the impact of the global financial crisis.
Critics of the plan, however, say the government wants the private pension savings on its books so it can close an unexpected deficit shortage.
(Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)
