The Swedish word “tack” translates to “thank you,” which is precisely what IKEA is saying to employees with its Tack! loyalty program. In Canada, the program operates as a deferred profit-sharing plan and is part of employees’ total rewards package. “The [program] was launched in 2013 based on the wish of IKEA founder Ingvar Kamprad […]
Canadian defined benefit pension plans are increasingly focused on implementing long-term goals and mitigating asset risk amid a year of market volatility and shifting regulatory landscape, according to a new survey by Aon. Its biennial Canadian pension risk survey found 96 per cent of plan sponsors said they have a long-term strategy to reach their objectives, up […]
The 2008 financial crisis is an event that defined benefit plan sponsors won’t soon forget. Roller-coaster markets exposed gaps in their investment strategies, while de-risking appeared on pension committee agendas as they assessed the damage and focused on the road to fully funded statuses. Back in 2008, few tools were available to de-risk pension plans. […]
Rewind to August 2015. The Newfoundland and Labrador Teachers’ Pension Plan was underfunded on both a solvency and going-concern basis, at 43.7 per cent and 65 per cent, respectively. Fast forward to year-end 2018 and it sits at a healthy 101.7 per cent on a going-concern basis. The turnaround stems from substantial changes to governance, […]
Since Telus Communication Inc.’s journey from defined benefit pension plans to defined contribution began in 1996, it’s come a long way, but it’s far from over. During a session at the Association of Canadian Pension Management’s annual conference on Wednesday, Carol Craig, Telus’s director of benefits and pensions, and Dave Lawson, vice-president of investment management, noted the DC […]
In its capacity as plan administrator, Morneau Shepell Ltd. purchased several buy-in annuity contracts for the Stelco Inc. pension plan in July. The goals of the transaction are to preserve the favourable financial position of the plan, ensure fair treatment of all members and maximize benefit protection, said Morneau Shepell in a press release. The Canada Life Assurance Co., […]
Canadian defined benefit pension plans maintained their solvency levels through the second quarter of 2019, according to Mercer’s latest pension health index. The index, which represents the solvency ratio of a hypothetical plan, reached 106 per cent as of June 30, 2019, an increase from 102 per cent at the year’s outset. The current solvency […]
With renewed volatility prompting money managers back on their toes, equity markets have been leading investment industry discussions over the past few quarters. Against this backdrop, how is fixed income, the other fundamental building block of defined benefit pension portfolios, faring? For David Lafferty, senior vice-president and chief market strategist at Natixis Investment Managers, the […]
With a defined benefit plan closed since 1991, Husky Energy Inc. was facing a dilemma. It wanted to annuitize the plan but had active members still accruing benefits and wasn’t ready for a complete windup. To the organization’s knowledge, no products were available in Canada for plans to provide an annuity for active members still […]
When the World Economic Forum met this year in Davos, Switzerland, it chose a very timely topic: the fourth industrial revolution that’s about to be wrought by automation. Like every revolution, it will have winners and losers. Artificial intelligence will massively increase productivity and create jobs that don’t even exist today. But at the same time, it will […]