Plan membership has more than doubled since the launch of DBplus
in 2018
TORONTO, July 10,
2024 /CNW/ - CAAT Pension Plan ("the Plan"), one of
Canada's fastest-growing defined
benefit (DB) pension plans, is pleased to announce it has surpassed
100,000 members. The milestone demonstrates the increasing demand
for retirement income security among Canadians, and the Plan looks
forward to expanding pension coverage in more sectors across the
country.
Since the launch of the award-winning and innovative plan design
DBplus in 2018, CAAT has seen tremendous growth, with nearly 400
new participating employers joining the Plan and adding more than
50,000 new members. CAAT provides modern DB pensions for employers
in 20 industries, including the for-profit, non-profit, and broader
public sectors.
"CAAT has been working hard to provide more Canadians with
lifetime retirement income so that they can have confidence to
enjoy their retirement years," said Derek
W. Dobson, CEO and Plan Manager, CAAT Pension Plan. "We are
incredibly proud to reach this milestone and to serve our members.
We will continue to innovate modern DB pensions and provide more
Canadians with stable retirement income and the peace of mind that
it brings."
A renaissance for DB pensions
Due to the advancements in modern workplace pension solutions,
such as DBplus, DB pensions are experiencing a resurgence across
Canada.
Recent studies and reports, including a paper by Stephen Poloz, former governor of the Bank of
Canada, suggest a shift in
pensions is underway. Poloz states that "...natural forces [are] in
motion that should foster a renaissance of the DB pension
plan."
Creating a win-win retirement solution for both members and
employers are at the forefront of this renaissance. With DBplus,
employers across different industries and sectors can offer their
employees the advantages of a DB pension. This modern solution
means employers pay a fixed-rate contribution, like a defined
contribution (DC) plan, and no longer need to run their own pension
plan, while employees contribute to a workplace plan that provides
secure lifetime retirement income, in addition to benefits like
inflation protection.
A mission to provide secure, valuable and sustainable
workplace retirement solutions—Key dates and milestones
- June 1, 1967—CAAT Pension Plan is
created to provide retirement support to the Ontario college system.
- 1995 – CAAT becomes an independent jointly sponsored pension
plan (JSPP), which means decisions and risks are shared equally
between employers and members.
- 1999 – The first non-college employer is added when the Ontario
College Application Service joins the Plan. Within six years, 10
more non-college employers sign up.
- 2006 – CAAT establishes its funding policy, which sets
guidelines for the use of contributions, reserves and conditional
benefits to keep the Plan sustainable over the long term.
- 2009 – Derek W. Dobson named CEO
and Plan Manager of CAAT Pension Plan.
- 2014 – CAAT reaches 40,000 members.
- 2016 – CAAT welcomes employees of the Royal Ontario Museum
(ROM) to the Plan. It is the first merger of a single-employer
defined benefit (DB) plan into a jointly sponsored pension plan in
Ontario.
- 2018 – CAAT launches the innovative DBplus design, with Torstar
being the first non-public sector employer to join. DBplus wins the
Innovation in Plan Design and Reform Award from the World Pension
Summit.
- 2022 – CAAT introduces more flexibility to new employers and
members with DBplus with Contribution Choice, which allows
employers to offer a range of contribution rates and to phase-in
their contributions, accommodating the unique workplace needs of
employers.
- 2024 – By May, the CAAT Pension Plan reaches 100,000 members,
with more than 440 employers across Canada.
About CAAT Pension Plan
Established in 1967, the CAAT Pension Plan is an independent,
jointly governed plan that offers two highly desirable designs of a
defined benefit pension. CAAT's award-winning DBplus plan design is
leading an extraordinary pace of growth for the Plan. Originally
created to support the Ontario
college system, the CAAT Plan now proudly serves more than 440
participating employers in 20 industries including the for-profit,
non-profit, and broader public sectors. It currently has more than
100,000 active and retired members. The CAAT Plan is respected for
its pension and investment management expertise and focus on
stability and benefit security. On January
1, 2024, the Plan was 124% funded on a going-concern
basis.
Learn more at: www.caatpension.ca.
For information on how employers can join CAAT, please
visit:
caatpension.ca/pension-solutions/how-to-join
SOURCE CAAT Pension Plan