KEY DIRECTIONS FOR IMPROVING THE ORGANIZATIONAL AND ECONOMIC MECHANISM OF PENSION PROVISION FOR CITIZENS ON THE PATH OF EU INTEGRATION

Abstract

The article examines current issues and prospects for improving the organizational and economic mechanism of pension provision for citizens of Ukraine in the context of integration into the European Union. The authors emphasize the need for a systematic approach to reforming the pension system based on the principles of financial stability, social justice, and economic efficiency. The main factors influencing the functioning of pension provision are analyzed, including demographic changes, labor migration levels, economic growth rates, and structural features of the labor market. The study analyzes the experience of EU member states in the field of pension provision, which allows identifying key directions for reforming the national system: diversification of pension funding sources, introduction of a multi-tier pension model, promotion of voluntary pension insurance, development of private pension funds, and improvement of citizens’ financial literacy. Special attention is paid to the role of state regulation, the formation of incentives for deferred retirement, and the optimization of pension expenditure. The article emphasizes the importance of harmonizing the legislative framework and pension standards with EU norms, which will facilitate the integration of the Ukrainian pension system into the European socio-economic space. Problematic aspects of the national system are identified, including imperfections in legal regulation, low levels of pension savings, limited public trust in financial institutions, and risks related to demographic burden. The article proposes strategic directions for improving the organizational and economic mechanism of pension provision aimed at enhancing its efficiency: modernization of the system’s organizational structure, improvement of pension fund financial management, integration of information technologies to increase transparency and accessibility of services, as well as the intensification of international cooperation in experience sharing and adoption of European practices. The scientific results of the study can be used in shaping state policy in the field of pension provision, developing strategies for social system reform, and providing scientific and practical recommendations for government authorities and financial institutions.