Law On Mandatory Service [Otp Act]

Original Language Title: Lov om obligatorisk tjenestepensjon [OTP-loven]

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Read the untranslated law here: https://lovdata.no/dokument/NL/lov/2005-12-21-124

Law on mandatory service [OTP Act].


Date LOV-2005-12-21-124


Affairs Ministry

Edited

LOV-2015-05-22-31 from 01/01/2016


Published in 2005 Booklet 16


Commencement 01.01.2006

Changes


Promulgated
21/12/2005

Short Title
OTP Act

§ 1. Scope
(1) This Act applies to undertakings:

A)
least two people in the firm who both have a working time and wages constituting 75 percent or more of full employment,

B)
least one worker without ownership interest in the entity that has a working hours and pay in undertaking which represents 75 percent or more of full employment, or

C)
within the entity that each has a working time and salaries accounting for 20 percent or more of full-time position, and which together perform work equivalent to at least two-years.

(2) As enterprises considered limited company, partnership, sole proprietorship and any other entity having an employee in its service.

(3) This Act does not apply enterprises that have pension by law or collective agreement for state or municipal employees.

(4) The King may issue further regulations to supplement or delimit the provisions of this Act. The King may also by regulations or individual exemptions from the law for individual or specific groups of enterprises or workers.

§ 2. The obligation to have an occupational
(1) Enterprises as defined in § 1 subsection shall have pension schemes under the Companies Act, the Defined Contribution Act or legislation in ensuring workers in company retirement in accordance with the requirements of this Act.

(2) pension scheme shall be established within six months after the conditions in § 1 subsection are met.

(3) If the enterprise has parallel schemes, each of the schemes meet the requirements of this Act. If the entity has a combined scheme, the pension scheme with defined benefit retirement fulfill the requirements of this Act.

(4) FSA may determine individual decisions about an entity covered by this Act, and the company's pension scheme meets the requirements of this Act.

§ 3. Rights of workers
(1) Employees in enterprises with an obligation to establish an occupational § 2 are entitled to the pension scheme established in accordance with this Act. This does not employee who may be excluded from its pension scheme under the provisions of the Companies Act, the Defined Contribution Act or occupational law.

(2) If the entity neglects the obligation to establish an occupational, has employee as defined in subsection entitled to that supplement in accordance with the minimum requirements of the law, from the date the obligation to establish an occupational occurred, shall be paid into a pension scheme for employees .

§ 4. Minimum pension plan with defined contribution or occupational
(1) Creates an undertaking a pension plan with defined contribution the entity deposit plan each year pay contributions to a retirement pension for the members. The contribution must be equal to 2 percent of the salary between 1 and 12 G that each member receives from the company during the deposit year, cf. Defined Contribution Act § 5-5. The King may issue further regulations concerning the calculation of deposits.

(2) Creates an undertaking a pension for occupational law, the entity pension plan each year pay contributions to a retirement pension for the members. Annual contributions be less than 2 percent of salary between 1 and 12 G that each member receives from the company during the premium year, cf. Occupational Act § 4-3. The King may issue regulations concerning the calculation of annual contributions.

(3) It shall be the rules for pension determined that for members who become disabled, shall be freedom of contributions in accordance with the degree of disability if the disability rate is 20 percent or more. The degree of disability shall be determined by occupational Act § 8-4. Waiver runs as long as the degree of disability is 20 percent or more, but no further than the member reaches 67 years. Total accrual of entitlement to retirement pension based on earned income and waiver shall not at any time exceed earnings corresponding to 100 percent of full power. The entity shall cover the premium cost of freedom of contributions in addition to the deposit under subsection.

(4) The costs of administering the pension scheme shall be borne by the enterprise in addition to the deposit after the first and second paragraphs. Cost of change of the investment portfolio in the Defined Contribution Act § 3-3 first paragraph shall be borne by the account holder.


(5) This section applies correspondingly to pension sum paid retirement under the Companies Act.

(6) The King may issue regulations to supplement or delimit the provisions of this section.

§ 5. Minimum pension plan with defined benefit
(1) Creates an undertaking a pension plan with defined benefit, the retirement plan will be designed so that it at least will provide retirement in accordance with the minimum requirements arising from second or third paragraph . § 4 third paragraph apply correspondingly to premium exemption under disability, yet so that it can be used the same minimum degree of disability for disability pension under the pension scheme.

(2) Does the pension plan has a disbursement of 10 years from the vesting age, a clear preponderance of the employees are assured a retirement pension equivalent to at least age pension from a pension plan with defined contribution that meets the minimum requirements of § 4

(3) the pension plan has a disbursement that is longer than 10 years from the vesting age should the added value of this is emphasized by the decision of whether a clear preponderance of the employees are assured a retirement pension equivalent to at least age pension from a pension plan with defined contribution that meets the minimum requirements of § 4.

(4) If an entity uses freedom in the Companies Act § 3-9 second paragraph to exclude employees with less than 10 years left to vesting age outside the pension scheme, the enterprise for these workers create a pension plan with defined contribution meeting the requirements of § 4 .

(5) The King may issue further regulations to supplement or delimit the provisions of this section, including rules on the conditions that must be applied in calculating the retirement pension benefits in a pension plan with defined contribution pensions in accordance with the minimum requirements of § 4.

§ 6. Purchasing arrangements enterprise retains control law with its pension scheme even if the company leaves the organization or other association to enter into an agreement with a pension scheme on their behalf. Each enterprise is also liable to the pension scheme for the payment of contributions to the plan.

§ 7. Information in financial statements or an income statement notification shall in the notes to the financial statements disclose whether they are required to have a pension scheme, and the scheme in this case is consistent with the requirements of this Act. Corporate non-financial entity, to provide similar information in the income statement.

§ 8. Orders and coercive measures FSA can order companies that do not have a pension scheme in accordance with this Act, to remedy the situation within a specified period. If an order of supervision is not complied with within the time limit, the FSA may decide that the company shall pay a daily fine until the situation is rectified. Any fine imposed is enforceable by execution.

§ 9. Entry into force and transitional rules
(1) This Act shall apply from 1 January 2006.

(2) Undertakings by commencement of this Act are obliged to have a pension scheme according to § 2, first paragraph, shall have pension schemes for their employees in accordance with the requirements of this Act, or have carried out the necessary changes to existing pension scheme if the scheme does not provide age pension in accordance with the requirements of this Act, by the end of 2006.

(3) Pension Scheme, or changes in the, shall in any case apply with effect from 1 July 2006 or earlier, subject to the waiver or waiver of premium in case of disability shall be established at the latest with effect from 1 January 2007. || |
(4) Enterprises not covered by the second paragraph, which gets obliged to have a pension plan in accordance with § 2, first paragraph, in 2006, will establish a pension scheme in accordance with the time limits specified in § 2, second paragraph. If this deadline expires in 2006, the period shall nevertheless be shifted to the end of 2006.

§ 10. Amendments to other Acts - - -