During an extraordinary parliamentary session to be held between 15 and 17 April 2002, parliament shall be called upon to discuss Ms Christine Goll’s minority proposal concerning the 1st revision of the Law on Occupational Pension Funds (Loi sur la Prévoyance professionnelle). This proposal recommends the insertion of an additional paragraph into article 71 on the administration of pension funds:
“Pension funds shall indicate whether or not they are mindful of social and ecological criteria when taking decisions”. (Art. 71, paragraph 3 – amended version).
The proposal requires pension funds to disclose information concerning their investment policies, however, it is not binding. As a consequence, it does not restrict pension funds in their decision-making processes.
Ethos Foundation welcomes this proposal, which is designed to encourage pension funds to systematically assess their responsibilities as investors towards the company in all its aspects. The ethos Foundation concept is grounded in a long-term triple synergy between economic, social and environmental efficacy.
It is essential for investors to be regularly informed of the company’s financial situation, strategy and organisation. Social and environmental data therefore provide the investor with complementary information to guide them in their investment choices. Such complementary data contributes towards a level of transparency that is indispensable, and conducive to the implementation of viable rules of competition.
Such legislative incentives already exist in neighbouring countries. The United Kingdom, in particular, has been a pioneer in this field. An amendment to the 1999 Pension Act which came into force in 2000 requires pension funds to report on the extent to which they take into account ethical, social and environmental considerations and on their policy in relation to the exercise of voting rights.
For further information:
TARGET="_blank">http://www.eurosif.info/srilu.shtml
TARGET="_blank">http://www.justpensions.org
