Are you prepared? Plan design changes may affect you
As last month's newsletter and the recent employer bulletin announced, the plan is modernizing to be more equitable. As part of this modernization:
- The 35-year limit on earning service will be removed
- A single simplified rate will replace the differentiated rates
What you need to do
Review your payroll system:
- Check if updates are needed to process the new rate
- Ensure contributions continue for employees who reach 35 years of service on or after January 1, 2018
- Restart contributions for employees who reached 35 years of service before January 1, 2018
Later this year, we will contact affected employees and remind them that contributions will restart in 2018.
Please share this information with the appropriate contacts in your organization.