Pension issues continue to a key component of negotiations between CUPE and the staff unions. And cost of living adjustments continue to be a high priority, not only for current retirees, but also for active staff planning for the future. CUPE retirees have not had a full cost of living adjustment for the past eight years. (In 2009 and 2010 there were partial adjustments of only 50% of inflation.) Without inflation protection, we have been watching the value of our pension benefits erode year after year. In fact, our pension dollars have shrunk by more than 12% in the last eight years.
The CUPE Employees’ Pension Plan (CEPP) actuary has confirmed that our Plan can afford indexation. We have a generous surplus that can sustain these payments for current and future retirees on a “going concern basis” (an actuarial term that assumes the Plan will remain in effect over the long term). However, there are negotiated conditions and legislative restrictions that currently prevent the payment of cost of living adjustments.
Both CUPE and the staff unions are aware of the different options available to them to reinstate inflation protection for retirees.
Inflation protection for retirees needs to be resolved.
We strongly suggest that you write to the National Officers, National Executive Board members and your staff union to express your concerns about the erosion of your pension dollars and to press for a resolution now.
It’s time for each of us to speak up.