CAAT Pension Plan Members from Winnipeg Free Press and Canstar Community News
On August 28, 2020, the Manitoba Office of the Superintendent—Pension Commission approved the transfer of the defined benefit pension plan assets and liabilities from the Retirement Plan for Employees of Winnipeg Free Press and Canstar Community News (“WFP/Canstar Pension Plan”) into the CAAT Pension Plan. Information regarding the approval of the merger has been sent to the CEO of the Financial Services Regulatory Authority of Ontario (FSRA).
It is anticipated that assets totalling almost $55 million will be transferred to the CAAT Pension Plan in November 2020. Members of the WFP/Canstar Pension Plan can expect to receive a communication with further details about their CAAT pension in the coming weeks.
How we got here
On December 29, 2019, an overwhelming 99% of the WFP/Canstar Pension Plan members voted in favour of merging with the CAAT Pension Plan. Members of the WFP/Canstar Pension Plan – its defined benefit (DB) and defined contribution (DC) components – started contributing to, and earning, a pension under CAAT’s DBplus plan design effective January 1, 2020.
FP Canadian Newspapers Limited Partnership filed an application with the Manitoba Office of the Superintendent—Pension Commission and information was shared with the CEO of the Financial Services Regulatory Authority of Ontario.
What is my DBplus contribution rate?
Employees previously participating in the DC portion of the WFP/Canstar Pension Plan and employees hired on or after January 1, 2020 will contribute to DBplus at 5.0%, matched dollar for dollar by FP Canadian Newspapers Limited Partnership.
Employees previously participating in the DB portion of the WFP/Canstar Pension Plan will contribute in each year as follows (annually these pensions will be calculated (deemed) as if both the employer and employee each contributed 5.0% of earnings):
|Effective date||Employee contribution rates||Employer contribution rates||Total (deemed) contributions|
|January 1, 2020||4.0%||0%||10.0%|
|January 1, 2021||4.0%||5.0%||10.0%|
|January 2022 and onwards||5.0%||5.0%||10.0%|
Who do I contact if I have questions about my pension?
Winnipeg Free Press member services at the CAAT Pension Plan
Toll Free: 1.888.441.4065
Details about your new CAAT pension
If you have prior DB pension benefits from the WFP/Canstar Pension Plan, your total annual pension will be the sum of two parts:
WFP/Canstar pension + DBplus pension = Total annual pension payable from the CAAT Pension Plan
- Your WFP/Canstar pension is the DB pension you have earned up to December 31, 2019, which will be replicated and payable from the CAAT Pension Plan, once assets are transferred.
- Your DBplus pension is the pension you are earning under the DBplus plan design as of January 1, 2020.
Inflation protection increases are made when the CAAT Pension Plan is over 100% funded to pensions in pay. This is called conditional inflation protection. Such annual increases are 75% of the annual percentage increase in the Consumer Price Index (CPI) and capped at 8% with a carry forward provision (i.e., in years when inflation is high, any amount above 8% would be carried forward and applied to inflation protection in the following years). Increases are effective on January 1st of each year beginning in 2021, for the pension benefits you earn under DBplus, once you start your pension. Any benefit earned under the WFP/Canstar Plan will receive conditional inflation protection beginning January 1, 2021, for the pension benefits you earn under DBplus, once you start your pension.
Average industrial Wage (AIW)
Starting January 2021 AIW enhancements are applied at the start of each year you contribute to the Plan and are subject to the CAAT Pension Plan Funding Policy.