Upcoming Pension Plan, Post-Retirement and Active Benefit Plan Changes
The following changes apply to members of WLUSA/OSSTF, Senior Executives, the Management Group, Confidential and Professional Administrative Group (CPAG), Professional Administrative Group (PAG) and Special Constables:
PENSION PLAN CHANGES
- Mandatory enrollment for all eligible full-time employees hired after July 1, 2014.
Member Contribution Increases
- Effective January 1, 2015: member contributions will rise to 8% (from 7.5%) for earnings below the YMPE and 9.5% (from 9%) for earning above the YMPE.
- Effective January 1, 2016: member contributions will be 8% for earning below the YMPE and will rise to 10% (from 9.5%) for earnings above the YMPE.
YMPE = Year’s Maximum Pensionable Earnings ($52,500 in 2014)
POST RETIREMENT BENEFIT CHANGES
- Employees retiring on or after January 1, 2016 will be required to be in receipt of a pension from the Laurier pension plan to be eligible for post-retirement benefits.
- Employees retiring on or after January 1, 2017 will be required to have 10 years of consecutive full-time service immediately prior to retirement to be eligible for post-retirement benefits. This change is not intended to negatively impact current employees. Any employee hired before July 1, 2014 will be required to have more than 5 years of consecutive full-time service immediately prior to retirement to be eligible for full-time benefits.
- Employees retiring on or after January 1, 2017 will be required to pay 15% of the annual premium cost. The University will pay 85% of annual premium cost.
As an offset to the above pension and post-retirement benefit changes, employees will be provided with an additional in-base salary increase of 0.5% on each of January 1st 2015, 2016 and 2017.
ACTIVE BENEFIT CHANGES
Effective July 1, 2014, the following cost neutral changes have been made to the active benefits plans:
- Vision Coverage will increase from $350 to $450 every 24 month
- Paramedical Coverage will increase from $500 to $600 per service per calendar year. P
- Orthotics and Orthopedic Shoes: will increase from $450 to $600 per calendar year.
- Introduction of the Enhanced Generic Substitution program for prescription drugs:
For more information please refer to the Frequently Asked Questions on the Human Resources website.