Pension for Members of the Føroya Arbeiðarafelag
Pension Contribution:
- Rate: 12% of the salary.
- Payer: The employer, simultaneously with the salary transfer to account no. 9181-480.302.9 at Betri Bank.
Applicable to:
- Everyone working within the collective agreement area of the Føroya Arbeiðarafelag, regardless of age.
Holiday Pay:
- Holiday pay is part of regular income.
- Pension must also be paid on holiday pay.
- Calculation: Holiday pay is added to regular income, after which the pension portion is calculated.
Pension Contributions for Pensioners
- Organizations in the private labor market (FA, HAF, HAK, KAMF, KLKV) have agreed that:
- Pensioners will receive the amount that should have been transferred as a pension, paid out as salary instead.
- Prior to payment, deductions that need to be paid simultaneously with the salary will be taken from the amount, so the employer's expenses remain unchanged.
From May 1, 2025:
- An additional 10.28% will be added to the salary of hourly workers.
- An additional 11.29% will be added to the salary of those who take holidays with pay.