GM PENSION REP. REPORT – FEBRUARY 21, 2019
Credited Service – Update “Student time” “5 Year Bank” “Foundry Service”
This report is designed to update members that are affected by credited service disputes with GM. There are multiple issues remaining regarding Credited Service. These issues affected actives and retired members. Major issues include; “student time”, “5 year bank” and “foundry credited service”. We are working with the National Union and trying to deal with them. This issue has affected all 3 plant locations and some retirees from closed GM locations.
In March of 2018, Unifor created a webpage at Unifor.com (then search for “GM Pension”), whereby all members could read the detailed submissions from Unifor, GM, the FSCO, and some other individuals related to the credited service issues.
On November 19, 2018, we had been informed by Corey Vermey (Unifor Director of Pensions and Benefits) that the National Union has requested a hearing with the Financial Services Tribunal and we have now been given a date in December of 2019 The National Union, and their Legal Department will be making their cases at the Tribunal at that time. Pension reps will also be assisting with this Tribunal.
DB Pension Plan Funding
The latest numbers that came out in September 2018 show that the GM Hourly Rate Pension Plan on a Windup basis has a Transfer ratio of 89.1%. This value has gone up about 5% since last year. The plan has about $9.5 billion in it, and would need another $1.1 billion to be fully funded. GM is estimating that their required payment in 2019 will be $265M.
We have had 188 members retire in 2018. About 161 members were able to take advantage of incentive packages that were being offered. We wish all these members all the best in their retirement.
DC Plan Members (New hires since last contract)
Any members that did not sign up for the 1% optional contribution to their DC plan (whereby GM would then contribute an extra 2%) and would like to, please contact Great West Life at 1-800-724-3402, or see pension rep for proper form to fill out. Members that are off on leaves, and are not receiving pay, may still be able to contribute to their pension while off. GM will send a letter asking the member on leave to set up a debit account. Once GM has the information and the funds, GM will also contribute to the member’s account at Great West Life. Active members may not take funds out of their DC plan, since this account is considered Locked-in under Ontario Pension Laws.
Thanks to My Alternate
My alternate Ed Szymaniak has decided not to run again. I would like to thank Ed Szymaniak for all of the help that he gave to the membership over the many years, and for filling in for me during my absences. Thanks Again Ed!
Any further questions please call your Pension Reps at: 905-641-6443
Rob Acker – Pension Rep.
Ed Szymaniak –Alternate Pension Rep.