MYTHS ABOUT OUR PENSION PLAN (4)

cupe1975Negotiations/Bargaining, Pensions

MYTH

“These significant additional contributions are expected to continue into the future under the pension’s current structure”

FACT

This is not true. The most recent actuarial report shows that University contributions have already come down significantly, with further reductions projected for the coming years. For example, in 2017, the employer required contribution to the plan was 16.14% of payroll. In 2018, the rate has fallen significantly to 12.84%. The rate is projected to be 12.05% in 2023 and then 11.37% in 2027 on wards. The Union’s pension proposal, which the University rejected, would bring this rate down even further to about 9%.