Order No. 22059 of 2024: Pension Benefits for Executives and the Pro Rata Principle

The recent Order No. 22059 of August 5, 2024, issued by the Court of Cassation, addresses a matter of significant importance for executives in industrial companies: the calculation of pension benefits following the abolition of INPDAI and the consequent transfer to INPS. This ruling not only clarifies the applicability of the 'pro rata' principle but also highlights how to determine the portions relating to each insurance period, taking into account specific regulations.

Regulatory Context

The order is part of a complex regulatory framework, where the pension benefits for executives are governed by various laws and provisions. In particular, reference is made to Article 42, paragraph 3, of Law No. 289 of 2002, which establishes the 'pro rata' principle for the determination of pension portions. This principle implies that the portions must be calculated considering the different regulations in force at the time of contribution.

• Art. 1 of Presidential Decree No. 58 of 1976: establishes the maximum ceiling for pension benefits.
• Safeguard clause under Art. 3, paragraph 4, of Legislative Decree No. 181 of 1997: protects the rights of INPDAI members.

The Pro Rata Principle and the Safeguard Clause

A crucial aspect of the order concerns the application of the 'pro rata' principle for pension calculations. Essentially, the amount of the portions relating to insurance periods acquired with INPDAI must be calculated considering all provisions in force within the applicable regulatory regime. This means that, for contribution seniority acquired before the abolition of INPDAI, it is necessary to consider the safeguard clause which ensures that the overall pension benefit cannot be lower than that provided by the general compulsory insurance.

Applicability. In the matter of pension benefits for executives previously insured with INPDAI and transferred, following the abolition of that entity, to the social security management of INPS, the 'pro rata' principle, contained in Art. 42, paragraph 3, of Law No. 289 of 2002, requires determining the amount of the portions relating to each insurance period according to all provisions in force in the corresponding regulatory regime; consequently, for the portion corresponding to contribution seniority acquired with INPDAI until its abolition, the calculation must be carried out taking into account also the so-called safeguard clause under Art. 3, paragraph 4, of Legislative Decree No. 181 of 1997, which, even before the abolition of INPDAI, excluded that the overall pension benefit of members of that entity could be lower than that provided by the general compulsory insurance.

Conclusions

In conclusion, Order No. 22059 of 2024 represents an important clarification for executives regarding pension benefits after the abolition of INPDAI. It confirms the importance of applying the 'pro rata' principle and the need to consider the safeguard clause, thus ensuring fair pension benefits for those who contributed to INPDAI. This ruling not only protects the rights of former members but also contributes to clarifying pension calculation methods in an ever-evolving regulatory context.