CBC employees who are in the Optional Life Insurance Plan and the Accidental Death and Dismemberment Plan are about to get a break on their premiums. Both plans are in a surplus position, and at the June meeting of the Consultative Committee on Staff Benefits we approved premium holidays for both plans.
There will be a nine-month premium holiday under the AD&D plan and a six month premium-free period for Optional Life plan. Members will see the difference on the first pay in July.
Members of the Group RRSP are going to be paying lower fees as of July 1. We reviewed the competitiveness of Great West Life fees and the company is trimming them on funds that are currently open for contributions. The reductions range from 0.25 per cent on the Continuum Funds to 0.10 on the Trimark Global Equity Fund. Overall, the fee reductions work out to an average of 0.14 per cent.
The fee reductions do not apply to three legacy funds that Great West Life does not usually offer. They were part of an older version of the group plan and were transferred to GWL when we switched companies. They include the Integra Diversified Balanced Fund, the Integra Canadian Equity Fund and the Setanta Global Equity Fund. Members can no longer make new contributions to these funds. The CCSB will be reviewing the status of these funds.
Relatively few CBC employees are taking advantage of the Group RRSP to make payroll deductions. They are competitive funds with lower than average management fees. And when you contribute to your RRSP through payroll deduction the CBC can adjust your taxes accordingly so that you don’t have to wait until you get your income tax refund to see the tax benefit. Later this year you’ll be hearing more about the Group RRSP and how to participate.
The June meeting was the first for our new member, Nicole Gauthier of Ottawa. Welcome, Nicole. We also would like to thank Ralph Legare, who has just finished his term as a member of the CCSB. CMG President Carmel Smyth sat in on our meeting as an observer, as well.
Your representatives at the June CCSB:
Carrie Bradshaw
Bob Fisher
Nicole Gauthier
Marc-Philippe Laurin
Jon Soper
Gabi Durocher
Dan Oldfield