Surplus Sharing Update – Notice Delayed (January 24, 2024)

Due to some technical issues the distribution of the “second notice” to pension plan members has been delayed until later this week or early next week.  Notice will be sent by email to those with known email addresses and mailed via Canada Post to others.

The “second notice” process demanded by the pension regulator (OSFI) is an important step of the process.  It is issued by the CBC after it requests the release of funds from the plan to make the payments to pensioner plan members. Nearly $130 million is being requested for distribution. Those who wish to comment on the payout will be given 30 days from receipt of the notice to offer any comments.  You are not required to respond to the notice. 

At some point after the 30-day period ends OSFI will release its decision. Assuming it agrees to the release of funds, there is then a further 40-day hold on funds before they can be released.  It appears the earliest possible date for the payments would be sometime in mid-April. We cannot predict precisely when OSFI will make its decision.

Calculations are based on two separate years, but the distribution will be by a single payout.  Pension plan members will be notified in advance of how much they will be receiving and how that calculation was made. For employees, the payout may be directed to an RRSP. At this point there is no similar option for retirees so lump sum payments will be made with the minimal tax withholding demanded by CRA.

We will keep you informed of further developments as soon as we are notified.