The Voice of Multi-Employer Plan Interests in Canada


Thank you for sharing your interpretation of the long-awaited funding rules for multi-employer target benefit plans in Ontario. It is erroneous. We have a number of concerns with the proposed funding rules and are making a submission identifying them. However, we wanted to correct an error in your release which states “As such, the framework suggests that if the total contribution requirement under the new framework is greater than under the current specified Ontario multi-employer pension plan or defined benefit multi-employer pension plan funding rules, the transitional rules would let the contribution increase be phased in over a three-year period following the transition”. This statement is  simply not true. More stringent funding rules will NOT increase contributions to a target benefit multi-employer benefit plan, they are funded from collective agreement contributions (the money of the worker and not from top by the employer). The impact of more stringent funding rules is a reduction in benefits. It is this wrongminded view of these plans that have historically led to inappropriate funding requirements, including the current proposal to include an excessive provision for adverse deviation. At best, these provisions just create a cushion of funds that can’t be used for benefits but provide comfort for regulators,


Bob Blakely
Multi-Employer Benefit Plans Council of Canada

Joining MEBCO

Five reasons why your MEBCO membership is critical
Your MEBCO membership guarantees that multi-employer plan interests will be considered whenever change is on the horizon. With your support, MEBCO will continue to be a strong and effective voice. Join today!
  1. The threat to multi-employer plans is real.
    The legislative framework is constantly changing, and cost-management and cost reduction are at the top of every agenda.
  2. Legislative changes can be significant.
    Recent proposed changes have threatened to offload costs onto plans, restrict plan coverage, and have compromised the viability of some plans
  3. Multi-employer plans are worth protecting.
    Multi-employer plans play a vital role in providing health services and retirement plans to over 1 million workers and their families in industries typified by small companies and a mobile work force.
  4. Multi-employer plans need a united lobby.
    Multi-employer plans carry a low profile due to the fact that the coverage is thinly spread over many employer groups and mobile workers.
  5. MEBCO is committed to protecting your interests.
    When governments propose changes, MEBCO is the single, clear voice at the table representing the unique interests of multi-employer plans.