MyBenefits At A Glance Supplement 2017/01/01 Supplement to the mybenefits At A Glance for full-time, regular part-time and TERM employees of the following union groups: CFF; CRPEG; USW 404, 896,1568; CRNSOA; CRPEG: WTEG Please be advised there is no COB provision offered for spouses who are both employees at CNL. When both spouses in a Family Plan are employees of CNL, only one employee can carry the benefits, the other must be named a Dependent under their spouse s plan at CNL. Please discuss your options as a Spouse of a CNL employee with your Employee Experience Advisor during your enrolment period, prior to making your final decision regarding your coverage. IMPORTANT: Where a reimbursement limit is not specified for any of the Health Care and Dental benefits listed below, reimbursement will be limited to Reasonable & Customary Charges as determined by Manulife.. Disability Income Protection Regardless of which mybenefits options you choose, you will be covered under CNL s Disability Income Protection Program as outlined below. Short Term Disability (STD) Intermediate Term Disability (ITD) Provides employees with 100% basic salary for absences due to illness or non-occupational injury. New employees are credited with short-term sick days on date of hire and receive an additional credit on April 01 following date of hire. (Amount credited on date of hire and on April 01 following date of hire will vary based on hire date, location and provisions of collective agreement.) On April 01 of each year thereafter, employees receive a credit of 6 days. Unused short-term sick leave credits are cumulative. Regular Part-time employees working less than 80% of a full-time work schedule earn sick leave on a pro-rated basis. Cost is fully funded by CNL. Provides eligible employees with additional disability income after they have exhausted their shortterm sick leave credits. Eligible employees include full-time and regular part-time employees working 80% of a full-time work schedule. The benefit amount is 75% of basic salary up to a maximum of 26 weeks (182 calendar days). Benefit is reinstated after a return to work of two weeks (10 working days) in the case of relapse or 1 day if a new disability develops. Cost is fully funded by CNL. Page 1 of 5
Disability Income Protection Long Term Disability Insurance (LTDI) Coverage for eligible employees effective from first date of employment. Eligible employees include full-time and regular part-time employees working 80% of a full-time work schedule. Employees who are disabled after their short-term and intermediate term disability benefits run out may apply for LTDI. LTDI benefits provide disability income equal to 66 2/3% of the claimant s pre-disability basic monthly pay up to a maximum of $24,000 per month. Benefits are payable for up to 2 years if unable to perform the essential duties of own occupation. Benefits are payable beyond 2 years if the claimant is totally disabled from performing the duties of any occupation commensurate to the claimant s education, training or experience. Benefits are offset by income received from PSPP, CPP or other government plans. LTDI benefits are not payable beyond age 65. Benefits are increased to reflect increases in the cost of living to a maximum of 2%. Coverage ceases at age 65 (or earlier if the employee elects to cancel coverage because he/she has 25 years pensionable service). Your share of the premium cost for LTDI benefits will depend on the mybenefits option that you choose. Refer to the mybenefits at-a-glance summary. Optional Insurances The Optional Accidental Death & Dismemberment benefit described below is in addition to the Optional Critical Illness and Optional Group Life and Accident Insurance benefits outlined in your mybenefits at-a-glance summary. Optional Accidental Death & Dismemberment - available through AON Consulting. Employees can opt to enroll or renew coverage under this plan during the period from October to early December of each year. An Information Notice is issued each fall announcing the availability of the plan. Employee can purchase the single or family plan. Minimum Benefit is $5,000 - maximum benefit is $350,000. Employee pays annual premium directly to the insurer. Coverage is provided on a 24-hour, 365-day basis in the event of accidental death or injury resulting in dismemberment, paralysis, loss of sight, speech and hearing. Page 2 of 5
Public Service Pension Plan Applicable to Eligible Employees hired on or before September 13, 2015within the following union groups: CFF; CRPEG; USW 404, 896,1568; CRNSOA; CRPEG: WTEG Public Service Pension Plan (PSPP) Employees who are hired on a regular part-time (working an average of at least 12 hours per week), or on a full-time basis for a term of at least 6 months, are required to contribute to the Public Service Pension Plan (PSPP), commencing first day of employment. This plan is governed by the Public Service Superannuation Act (PSSA). This Act, which provides pensions for Public Service employees, has been in effect since January 1, 1954. The required contribution rates are determined annually by Treasury Board. For 2017 and for employees who became plan members prior to January 01, 2013, the employee pays 9.47% on pensionable earnings below the maximum salary covered by CPP/QPP, and 11.68% on earnings above CPP/QPP maximum salary. CNL pays 1.15 times the Employee s contribution on pensionable earnings below the maximum earnings of $163,100 allowed by Canada Revenue Agency for 2017, and 7.74 times the Employee s contribution on pensionable earnings in excess of the maximum. For employees who become plan members on or after January 01, 2013, the employee pays 8.39% on pensionable earnings below the maximum salary covered by CPP/QPP, and 9.94% on pensionable earnings above CPP/QPP maximum salary. CNL pays 1.11 times the Employee s contribution on pensionable earnings below the maximum earnings of $163,100 allowed by Canada Revenue Agency for 2017, and 7.74 times the Employee s contribution on pensionable earnings in excess of the maximum earnings. The maximum salary for CPP/QPP for 2017 is $55,300. Participation in the PSPP ceases on January 01 st following the plan member s 71 st birthday. Defined benefit plan; both contributions and benefits are integrated with CPP/QPP. Prior to age 65, the pensions are calculated as follows: 2% X number of years of pensionable service (maximum of 35 years) X average salary for 5 consecutive years of highest paid service. At age 65, or in case of disability, the Public Service Pension is reduced to take into account the CPP/QPP pension. Pensions fully indexed annually to take into account increases in the cost of living since termination date. Return of Contributions (ROC): payable to plan members who leave the Public Service with less than two years of pensionable service. The employee is refunded his/her share of the contributions, plus applicable interest. Employer s contribution remains in the plan, i.e. it is not refunded to the employer or the employee. Vesting normally occurs after accruing 2 years of pensionable service. Currently all CNL employees continuing to contribute to the Public Service Pension plan are doing so under the terms of a Transitional Coverage Agreement through Treasury Board NL s participation in the Public Service Pension plan will terminate effective September 13, 2018. Page 3 of 5
Pension Benefits for employees who became plan members prior to January 01, 2013: Immediate Annuity: payable at age 60 with at least two years of pensionable service, or at age 55 with 30 years of pensionable service, or at any age if retirement is due to permanent disability and the plan member has two years of pensionable service. Deferred Annuity: payable at age 60. Annual Allowance (reduced pension): payable as early as age 50. Transfer Value (termination of employment before age 50): lump sum value representing the present value of deferred pension; it must be transferred to another registered pension plan or to a locked-in retirement savings vehicle. Pension Benefits for employees who became plan members on or after January 01, 2013: Immediate Annuity: payable at age 65 with at least two years of pensionable service, or at age 60 with 30 years of pensionable service, or at any age if retirement is due to permanent disability and the plan member has two years of pensionable service. Deferred Annuity: payable at age 65. Annual Allowance (reduced pension): payable as early as age 55. Transfer Value (termination of employment before age 55): lump sum value representing the present value of deferred pension; it must be transferred to another registered pension plan or to a locked-in retirement savings vehicle. Survivor Benefit: 1% X number of years of pensionable service X average salary of plan member; children s allowance is equal to one-fifth of the survivor benefit (maximum of four-fifths). Plan members can add eligible prior service in order to increase their pension credits by buying it back or by transferring pension credits under another plan through a Pension Transfer Agreement (PTA). Information on PTAs is available on the Public Works and Government Services Web site at the following: http://www.tbs-sct.gc.ca/psm-fpfm/pensions/plan-regime/forms-formulaires-eng.asp#sb More detailed information on the PSPP can be accessed at the following Web addresses: http://www.tbs-sct.gc.ca/psm-fpfm/pensions/index-eng.asp Note: Part II of the PSSA (Supplementary Death Benefit) does not apply to CNL employees. Page 4 of 5
Canadian Energy and Related Industries (CERI) Pension Plan (Currently Only Applicable to regular full and part time and TERM employees, who were hired on or after September 13, 2015 to one of the following groups: CFF; CRPEG; USW 404, 896,1568; CRNSOA; CRPEG: WTEG) CERI Pension Plan The CERI (Canadian Energy and Related Industries Plan) is a Defined Contribution, Multi-Employer Registered Pension Plan for eligible CNL newly hired eligible employees from the above mentioned union groups, and was established effective January 1, 2017. Employees who are full time, regular (permanent) part time or term (greater than six months) in the above mentioned participating unions, and who were hired on or after September 13, 2015, are required to join the CERI Pension Plan on their date of hire Employees are required to contribute by payroll deduction 9% of pensionable earnings The Plan Sponsor (CNL) is required to contribute a 100% match of required Member contributions CERI pension plan consists of one investment fund for the Defined Contribution Pension Plan so that all employee contributions will have a common rate of return, and the fund is held by Manulife Financial How the Plan works: The CERI Pension Plan is a Defined Contribution registered pension plan (RPP), Eligible employees and CNL (the Plan Sponsor) contribute to the Plan on a regular basis, A Member account is set up in the employees name and all contributions are kept in the Member s account All employee contributions are tax deductible and any investment earnings grow tax free The amount available for retirement depends on the total contributions made and the investment returns they earn Employees will receive regular statements and have access to information and tools to help them manage their Member account The Plan booklet, which provides full details on the pension plan, will be provided to employees upon your date of hire Page 5 of 5