Wabush Mines pensioners in Newfoundland and Quebec will see some reversal of the pension cuts that went into effect when the operations’ parent company filed for creditor protection in 2015. When Cleveland-Cliffs Inc. shuttered Canadian operations, it left the defined benefit pension plan underfunded, subjecting pensioners to a benefits cut of more than 20 per […]
A consultation paper by the U.K. government is considering how defined contribution plans could incorporate more illiquid investments. Specifically, the consultation’s proposals include requiring larger DC plans to set out their policy and current practice for illiquid investments and report on it annually. It also proposed requiring smaller DC plans to conduct a triennial assessment […]
Three-quarters (76 per cent) of U.S. defined benefit plan sponsors with de-risking goals intend to completely divest all of their DB plan liabilities at some point in the future, according to MetLife’ annual pension risk transfer survey. Among all plan sponsors surveyed 10 per cent said they’ll completely divest their plans within the next two years; 24 per […]
The Association of Canadian Pension Management is calling on the federal government to take caution in creating any new significant disincentives “that would push more corporations to abandon their DB plans.” In its response to the government’s consultation on enhancing Canadians’ retirement security, the association said the best protection for workers’ and retirees’ pensions is a strong employer. […]
Many defined benefit plans’ funded statuses are in relatively good territory, but with an uncertain investment atmosphere on the horizon, is now a good time for plans to consider taking risk off the table by purchasing an annuity? And for plans looking to de-risk in the future, what considerations are there from an investment perspective? […]
The Corporation of the City of York Employee Pension Plan officially transferred the management of its assets and liabilities to the Ontario Municipal Employees Retirement System plan last week, as part of a broader initiative to transfer four pre-OMERS plans from the City of Toronto to OMERS. The City of York plan was closed to […]
The Pension Investment Association of Canada isn’t supportive of providing a super-priority for unfunded pension liabilities and other post-retirement benefits in an insolvency situation. “While we recognize that the intention of such a change would be to enhance retirement security for plan beneficiaries, we believe that overall impact on the retirement income system would be negative,” […]
Three lawsuits were filed in December by the parties seeking the best possible outcome for former Sears Canada Inc. employees with regard to the funding deficit of their defined benefit pension plan. Collectively, the suits were filed by the monitor in the Sears Companies’ Creditors Arrangement Act proceedings; the Hon. Douglas Cunningham, the litigation trustee appointed by the CCAA court; […]
The largest corporate pension plans in the United States experienced a slight drop in their funded status at the end of 2018 due to the sharp decline in equities, according to an analysis by Willis Towers Watson. The study, which looked at the defined benefit pension plans of 389 Fortune 1000 companies, found their pension assets […]
While 2018 ushered in a number of significant changes to Ontario’s pension legislation, including a major revamping of the funding rules for defined benefit plans, additional pending changes are afoot for 2019. Other provinces, such as British Columbia, Manitoba and Nova Scotia, are also reviewing solvency funding requirements for plans registered in their respective jurisdictions. […]