Secure Retirement Benefits Through Direct Pension Commitments

Material impacts, risks and opportunities

The rising life expectancy of those entitled to a pension; pay and pension adjustments; and falling capital-market interest rates influence our retirement pension commitments as well. As a company offering welfare benefits, we are obligated to guarantee commitments to our employees in the long term. We see a potential reduction in the plan assets in our company pension fund and higher obligations due to pay and pension adjustments as a financial risk in the medium term.

Strategy

To be able to maintain an attractive pension package for our employees while also minimizing financial risk, we place emphasis on diversifying the investment strategy and on a range of future-proof products for our employees. This topic also involves collective bargaining agreements and comprehensive insurance conditions that apply in Germany. The Executive Board is responsible for the pension fund.

Actions

The pension guarantees with which WACKER provides its employees are covered by various instruments such as the Wacker Chemie VVaG pension fund and other pension funds. Our diversified investment portfolio ensures a sufficient rate of return and limits investment risks. Since 2022, we have offered new employees in Germany retirement benefits on a funded basis to support their financial security.