#4 OMERS 2020 Proposed Plan Changes

The OMERS SC Board adopted changes to its decision making process that allow for more consultation time regarding proposed plan changes.  

On May 15 the OPFFA hosted a webinar detailing two proposed plan changes OMERS is considering this year.  

 

People Asked

Q - What are the two plan changes that OMERS is proposing:

A - Non-full-time enrolment:

  • Employees of an OMERS employer will have the option to join OMERS regardless of hours worked or salary earned
  • Currently, only non-full-time employees who meet the specified work hours or salary earned thresholds have the option to join OMERS.
  • The change would mean that all non-full-time employees will be eligible to join OMERS if they wish. 
  • This assists in several ways
    • Improves the appeal of non-full time work for potential employees
    • Strengthens the Plan by providing for more members
    • Avoids conflict of employees desiring to join and employers denying

Shared Risk Indexing:

  • Changing the scope of responsibility for plan funding
  • Currently OMERS pensions are fully indexed to inflation with very minimal restriction
  • Items such as economy and plan maturity can put financial pressures on the Plan 
  • When only active members and employers bear this risk, it puts an undue and unbalanced pressure on those two
  • Sharing the risk, by permitting the reduction of an annual index amount, will balance the load maintaining Plan stability
  • See the heading on Shared Risk Indexing for more information

 

Q - While I appreciate the OPFFA's information, where can I find more.

A - There is a lot more to read here at OntarioFireFighters.Org, but the OMERS website also has information on the proposed changes, along with some additional infographics.

  • The information is not specific to fire service members however is consistent
  • Link to the OMERS proposed plan changes by CLICKING HERE