UNION PENSION REACHES SURPLUS POSITION
Trustees of the Unifor Multi-Employer Pension Plan met last week and learned that the pension is not only fully funded but boasts a small surplus.
The plan’s last formal valuation in 2013 showed the plan to be only 75 per cent funded. Significant cuts to benefits were made in order to restore the viability of the plan.
The latest valuation – based on assets and liabilities as of Dec. 31, 2016 and to be filed with the pension regulator before the end of September – shows the plan with a funded ratio of 102.8 per cent with an annual surplus estimated at about $280,000.
The valuation is good for three years and will be due again as of Dec. 31, 2019.
The dramatic change in funded status is due not only to the benefit cuts but to greater than expected investment returns.
The Unifor Multi-Employer Pension plan has 455 active members. More than half are in eight Local 2000 shops, the largest of which are Black Press, Mitchell Press and the Okanagan Valley Newspaper Group.
-By Rob Munro, Vice President