Canadian Pension Check after Sept 30th 2010

In response to a question as to whether there will be a gap in pension payments when Nortel hands over the Canadian pension to the Ontario administrator on Oct 1st 2010, Anne Clark-Stewart of the NRPC wrote the following helpful response in Yahoo groups.

You will continue to receive your current monthly pension as you have from Northern Trust until the newly appointed Administrator for the Financial Services Commission of Ontario is ready to reduce the pensions and buy the annuities. They have promised a seamless operation.

This process will start once the Administrator is appointed on Oct. 1st and will probably take 3 to 4 months to evaluate the plan and ensure that all of the information is accurate to purchase annuities for each of us. You will only receive one cheque, as you do now, with the PBGF top-up, where pensioners are eligible, included in the pension cheque.

As soon as we have more information on the wind-up process and what involvement we may have, we will communicate to all NRPC members. In any event, we have been told that everyone will receive at least one month's notice before there are any cuts to the pension cheques.

Be aware however, that we still feel that there should be an alternative to buying annuities in such a poor annuity market. We will continue to put our proposals in front of the Government for consideration.

We will also continue to refute any erroneous information that they present and will have that information on the NRPC web site.
Anne Clark-Stewart
NRPC Communications