Pension Improvements as of January 1, 2021

Active Member Accrual Rate set at 1.625% for 2021

The Pension Board is pleased to announce that the accrual rate for active plan members will be 1.625% in 2021.  There will be no change to contribution rates. The accrual rate, which was set to return to 1.4% in 2021, will return to 1.4% in 2022.

Pension Increase to Retired and Deferred Plan Members Effective January 1, 2021

The Pension Board is pleased to announce that current pensioners. survivors and deferred members will receive a 2%* increase to their monthly pension benefit effective January 1, 2021.  If you are receiving a pension, the increase will be added to your April 2021 pension payment, retroactive to January 1, 2021.  If you are a deferred member, (that is, you terminated employment but left your entitlement in the Plan), the increase will be calculated and shown on your 2021 pension statement, which you will receive in June 2022.

* The Income Tax Act and regulations limit pension increases to the cumulative growth in CPI since the pension commenced. For this reason, recently retired pensioners and deferred members who terminated employment recently will see a lesser increase.

These improvements are possible because of adequate funding levels at the end of 2020, according to requirements set out in the Funding Policy.

 

Pension Information Seminar

Join us for the next Pension Information Seminar on March 9, 2021.  Learn how your pension plan works, other ways to save for retirement and how to apply for your pension.  Click here To register.