Introduction
The Caisse de pensions des interprètes et traducteurs de conférence [Pension Fund for Conference Interpreters and Translators] – formerly known as the Caisse commune de pension des interprètes et traducteurs de conférence – is a foundation under Swiss law, originally set up in 1970 in Geneva by conference interpreters and translators, which enables free-lance translators who are members of AITC and who contribute to the Fund to receive a pension on retirement (in the form of a monthly income or a lump sum or a combination of the two). The Fund additionally offers disability benefits, a widow’s or widower’s pension for pensioners’ spouses (or a partner's pension in the event of the death of an unmarried pensioner) and, in the event of the death of an insured person prior to retirement, payment of the entire vested principal to his or her heirs. It also has a solidarity fund, which may be used to assist members in need. The Fund currently has more than 400 members, about a hundred of whom are retired. Proof of work as a conference translator or interpreter is a prerequisite for joining the Fund (entry is automatic for members or candidate members of AITC). The General Assembly, which appoints the members of the Foundation Council, meets every three years; the next Assembly is scheduled for 2009.
While the retirement age (at which members are entitled to receive benefits from the Fund) is 65 in principle, CPIT allows members who wish to go on working beyond that age to continue to contribute up to 70 years of age, thus deferring the time when they start to receive their retirement pension and proportionally enhancing the benefits they will receive. Conversely, early retirement is allowed as early as age 60.
CPIT is subject to the provisions of the Swiss legislation on pension funds, which allows full transfer of benefits to and from other provident institutions. Members who join the Fund after the age of 25 may retroactively purchase years of contribution in order to improve their retirement pension. CPIT is recognized by the United Nations. Accordingly, free-lance translators employed by a United Nations agency that is a party to the AITC-CCAQ Agreement may ask for the social security component of their remuneration (12.39 per cent) to be paid directly to CPIT.
CPIT aims in the long run to ensure a return on capital of about 2.5 to 4 per cent; if results permit, and provided that the necessary reserves have been built up, additional returns are entirely redistributed among members (including retirees already in receipt of their monthly pensions). Over the past ten years the average return has been around 4 per cent. The Fund operates on the basis of a capitalization rather than a distribution principle, which means that it is always in a position to discharge its financial obligations, irrespective of the number of members or the contributor/pensioner ratio.
The Fund’s assets, which are nearly 60 million Swiss francs, are managed by two major Swiss banks specializing in portfolio management, Pictet & Cie and UBS. Investment policy is governed by the Swiss legislation on pension funds, which implies prudent, long-term management. CPIT benefits are calculated and paid in Swiss francs, but may be transferred to any country. The return on Fund investments is exempted from Swiss tax; only its benefits (income or lump sum) are taxable.
A number of documents providing information on CPIT – in particular the Fund’s statutes, its regulations and a practical guide giving answers to frequently asked questions – may be consulted on line in the part of this site reserved for AITC members. If you would like to join CPIT or learn more about it, please send an e-mail to CH-CPIT@Hewitt.com or write to the following address:
CPIT
c/o Hewitt Associates
Avenue Édouard-Rod 4
Case postale 1203
CH-1260 Nyon 1
Switzerland
Tel.: +41 22 363 65 11
Fax: +41 22 363 65 00
Web Site: www.cpit.ch
E-mail: CH-CPIT@Hewitt.com
