PSAC Pension Fightback Campaign

September 1 , 2005  

Public Service Superannuation Plan Surplus Litigation – Final Pre-Trial Preparations Underway

It has been more than six years (September 14th, 1999) since the Federal Government passed legislation (C-78 - Public Sector Pension Investment Board Act) unilaterally expropriating approximately $30.2 billion in actuarial surplus from the Superannuation Accounts of the Federal Public Service, the Canadian Forces and the RCMP. However, the day of decision for the pensioners, active employees and their survivors impacted by this draconian measure is now finally on the horizon.

The PSAC, along with other bargaining agents, employee associations and retiree groups, filed a Statement of Claim as plaintiffs against the Federal Government in the Ontario Superior Court of Justice in November of 1999. After several years of preliminary legal procedures a trial date has been set by the Court for November 15th, 2005. Expert witnesses from the accounting and actuarial professions have been retained by counsel for the plaintiffs to support the legal arguments against the Federal Government.

On September 7th, 2005 the parties to this litigation will hold a Case Management Conference in order to determine and clarify for the Court the actual issues in dispute in this case and to possibly agree on schedule of events and timetable for the trial deliberations. It is anticipated that the trial will last approximately 3 consecutive weeks.

At a date yet to be determined in October 2005, the parties will convene a Trial Management Conference for the purpose of presenting the names of witnesses to be called during trial along with the substance of their testimony and reviewing the presentation of evidence.

The PSAC will continue to provide the membership with updates on any significant developments which occur during the lead up to the actual trial date. The PSAC is also continuing its opposition to the recently announced increases in employee contributions to the federal superannuation plan. Please read the joint press release from federal public sector labour organizations affiliated to the National Joint Council and the open letter the PSAC National President Nycole Turmel published in an Ottawa daily newspaper about the increased pension plan contributions.