State clears way for fair value accounts Lingen (EMS)-working time accounts are now in many companies an important instrument of the flexible organisation of working time. Early retirement, partial retirement, or even paid time off – all this is possible with time value accounts. The companies are bagging not only image enhancement, but also tangible liquidity advantages. Time value and working life accounts can help workers and companies to establish a win-win situation. Says Harald Roder, Managing Director of the German consulting company for fair value accounts and working life models.
According to a recent study, 84% of German workers would go like earlier than with 67 years in retirement. That so far only one fifth of them a fair value account has, illustrates the enormous need for action. Since 1998 with the law on the social protection of more flexible working time arrangements (Note: the so-called Flexi-Act) established ability to accumulate hours worked in a special value credit and at a later date to use for the short, medium or even long-term exemption from work, has proven itself. Since the experts agree, like for example-Heinz-Jurgen Zink, Managing Director of business consulting of foresight in Lingen (EMS). He says that fair value accounts are an essential tool that can replace the working time regulation expiring in the year 2009.
With their help the employer may make in the future – retirement and old age part-time. Fully equipped working time accounts serve company as a successful instrument of motivation for its employees. What’s behind the flexi-Act? In many sectors of the economy, a retirement age of 67 is unwelcome and hardly realistic. With the adoption of the flexi-II Act, the Federal Government has responded to the trend towards fair value accounts and repaired main points as of January 1, 2009. Account management from January 2009 fair value accounts can be made only in money.