Minister seeking legal opinion on retired pensioners participation
on committee to establish joint trusteeship of the Public Service Pension Plan

Finance Minister and Treasury Board President Joan Marie Aylward said today she is seeking a legal opinion from the Department of Justice on whether or not retired public service pensioners should be represented on a joint transition committee struck to establish a joint trustee arrangement for the Public Service Pension Plan.

"The joint management arrangement was negotiated this past spring in the collective bargaining process with all public sector unions," said the minister. "Certainly, the views of the retired public service pensioners were brought to the table by the unions, particularly NAPE, during the collective bargaining process.

"While I appreciate that retired pensioners now want to be represented on the joint committee, the union has not agreed to have them there. Pensioners represent a significant component of the plan membership and there are other groups which are not represented by the unions. Therefore, I am seeking a legal opinion as to whether I can expand the representation on the transition committee without violating any aspect of the collective agreement so as to ensure that the membership on the transition committee fairly represents the interests of all plan members."

Minister Aylward said she met recently with representatives of the pensioners' association about the issue and explained the process that is being followed with respect to the joint management committee.

"I look forward to a resolution of this issue. Meanwhile, the interests and views of the retired pensioners will continue to be addressed through their involvement as members of the Province's Investment Committee," said Minister Aylward.

Minister Aylward further noted that one of the issues to be resolved by the transition committee will be the composition of the Board of Trustees which will be set up to administer the plan under joint trusteeship. Pensioner representation on that Trustee Board will have to be considered as part of the committee's recommendations.

Media contact: Lynn Barter, Communications, (709) 729-0329.

2001 12 13                        1:30 p.m.