Ontario’s move to expand its youth pharmacare program to seniors in 2019 could be a significant win for plan sponsors offering retiree benefits. “A company would see significant balance-sheet reduction and lower accounting expense, as well as lower cash costs,” says Nabil Merali, senior vice-president and Ontario market leader for health and benefits at Aon Hewitt. […]
More than 60 per cent of Canadians are concerned they’ll outlive their retirement savings and 45 per cent don’t feel confident they’ll be able to afford the post-work lifestyle they want, according to a new survey by RBC Insurance Services Inc. The survey, which polled 1,000 Canadians aged 55 to 75, also found respondents use a […]
Alcoa Corp. is freezing its defined benefit pension plan for Canadian and U.S. salaried employees. Effective Jan. 1, 2021, the change affects approximately 800 workers who will move into defined contribution plans. The defined benefit plan will close on Dec. 31, 2020, with benefits earned up to that point protected, according to the bauxite and aluminum producer’s fourth […]
The Co-operators Life Insurance Co. is introducing retiree benefits plans to help its group plan members transition from their company’s health and dental plans upon retirement. Employees covered by a Co-operators’ group benefits plan through their employer are eligible to apply for the individual coverage within 60 days of the end of their group plan. […]
As a new year begins, many organizations are considering their strategies for benefits plan management in 2018 and beyond. Faced with the challenge of balancing employee needs and wants with changing workplaces and escalating plan costs, employers should prepare for a number of issues in the near future. Here are seven trends to watch in the coming year and beyond: […]
The Ontario Energy Board is ordering Ontario Power Generation Inc. to cut a substantial amount from its pensions and benefits costs by 2021. In a report published last week, the province’s energy regulator said the electricity provider must cut a total of $500 million from its nuclear operations budget over the next five years. While the regulator cited issues such as compensation, corporate and […]
The Canadian Union of Public Employees Local 561 is calling on the Coquitlam, B.C., school district to reverse its decision to cut post-retirement health benefits for all permanent management employees who retire after Dec. 31, 2017. Earlier this year, School District #43 employees received a notice announcing the year-end closure of its post-retirement health and dental benefits […]
While defined benefit pensions often make headlines when a company is struggling, there has traditionally been less of a focus on retiree benefits plans. The issue is paramount, however, in Sears Canada Inc.’s bankruptcy case. After filing for protection under the Companies’ Creditor Arrangement Act in June, Sears sought to suspend payments under its post-retirement […]
While the motion by Sears Canada Inc. retirees to force a windup of the company’s pension plan is in line with a significant body of jurisprudence from the Supreme Court of Canada, that’s not to say there’s any certainty of success. Ultimately, the decision is in the hands of an Ontario Superior Court judge, who enjoys wide discretion. […]
Aon Hewitt is launching a new retiree health exchange aimed at providing retiring workers with benefits tailored to their needs. Due to go live in September 2017 and offered in partnership with La Capital Financial Group Inc., the retiree health exchange is an evolution of Aon’s active health exchange, which offers flexible benefits to current employees. Read: […]