THE WESTERN CANADIAN LUMBER WORKER

June-July, 1973

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1.W.A.- FOREST INDUSTRY
PENSION PLAN

This booklet has been prepared to provide you
with an explanation of the benefits and other
provisions of this Plan which first comes into effect on
June 15, 1973.

We urge you to read this booklet very carefully so
that you will understand the provisions of the Plan —
its benefits, and what you have to do to receive them.

The benefit levels and other Plan provisions have
been set by your Board of Trustees after very careful
consideration of the results of several actuarial stu-
dies made by the Plan’s consultants. These benefits
are fully supported by contributions to the Pension
Fund made by each of the Employing Companies in
respect to all Plan Members.

While it is the aim of this booklet to answer as
many questions as possible about the Plan, its actual
detailed administration will be governed by the Full
Text of the Plan.

if you have any questions about your rights or
benefits under this Plan, please do not hesitate to
contact the Administrative Office.

Yours very truly,
Employee Trustees Employer Trustees
Jack Moore Keith Bennett
Jack Munro Harry Cooper
Fred Fieber Jack Hall
HIGHLIGHTS OF THE PLAN

PENSION FOR LIFE

This plan provides an income payable to you as
long as you live after retirement.
ADDITIONAL TO FEDERAL
GOVERNMENT BENEFITS

The benefits provided by this Plan are additional
to your benefits under the Canada / Quebec Pension
Plan and your federal Old Age Security benefits.

COSTS YOU NOTHING

Ail costs of this Plan are met from employer

contributions based on the number of hours you
work. You pay nothing.
GUARANTEED FIVE YEARS

The pension under this Plan will continue for at
least five years, regardless of whether you survive,
and thereafter for the rest of your life.
PENSION FOR YOUR WIDOW

You may substitute, if you wish, a reduced joint-
and-survivor pension, continuing to your wife if she
‘survives you after your retirement.
OTHER OPTIONAL BENEFITS

The Pian provides other optional forms of
retirement income which you can elect in place of

your basic pension.

RETIREMENT AGE
Normal retirement is at age 65. Both earlier and

later retirements are provided for under the Plan.

u will hav a year of service credit under

the Plan when you have worked 1600 hours in a Plan
Year in the forest industry, with proportionate credit
for lesser hours.

FIVE DOLLARS TIMES YEARS
OF FUTURE SERVICE

Your basic “future service” monthly pension at
normal retirement is $5 multiplied by your number of
years of credited future service.

PAST SERVICE PENSION
(OVER AGE 50)

In addition, although no contributions were made
in the past, the Plan provides a past service pension
for those over age 50 at the outset of the Plan.

PLAN SOUNDLY FUNDED

Your Plan is funded on an actuarially sound basis
through a separate Trust Fund established for this
purpose.

JOINT TRUSTEES

Administration of the Plan is supervised by six
Trustees, three representing I.W.A. and three
representing employer companies.

QUESTIONS AND ANSWERS

How Soon Can | Get Into This New Plan?

The effective date of this new Plan is June 15,
1973. If you are on that date a member of an |.W.A.
bargaining unit and are regularly employed by a
Company which has agreed to join this Plan; you will
be covered automatically.

If you enter such employment at a later date, or if
you are employed by a Company which agrees with
the I.W.A. and the Trustees to join this Plan at a later
date, then your membership in this Plan will begin at
that time.

lf | Am a Casual Employee?
This Plan is for regular employees. Casual em-
ployees are not eligible for Plan membership.

ABOUT YOUR PENSION

How Much Pension Will | Get?

If you retire on or after your normal retirement
date, your pension under this Plan will be a monthly
amount of $5 for each year of your Credited Future
Service, plus any past service pension due to you if
you were above age 50 on the effective date of the
Plan.

Thus if you were age 37 on the effective date of the
Plan, and work regularly until age 65, gaining 28 years
of service credits under the Plan, your pension will
be:

28 times $5 or $140 monthly

This is additional to .your Canada / Quebec

Pension Plan and federal Old Age Security benefits.

What is the Past Service Pension?

Since those who are nearing retirement age when
the Plan first becomes effective do not have enough
time to build up a meaningful pension based on future
service under the Plan, a portion of the contributions
supporting the Plan has been used to provide a past
service pension, even though no contributions were
made in the past.

This pension is graded evenly between ages 50
and 65. lf you have 5 or more years of Credited Past
Service, and are above age 50 on the effective date,
the monthly amount of your pension will be $3 for
each year at your age above 50.

For example: At age 65 it will be $45 monthly (3
times 15)

64 $42 monthly (3 times 14)
63 $39 monthly (3 times 13)
60 $30 monthly (3 times 10)
55 $15 monthly (3 times 5)
51 $3 monthly (3 times 1)

Example: A Plan member who is age 61 at the
outset of the Plan, and who works regularly until age
65, can look forward to a pension under the Plan of:

$20 for future service plus $33 for past service
or $53 monthly, in addition to his Canada ” Quebec
Pension Plan and federal Old Age Security benefits.

If | Have Less Than Five Years PastService? |

lf your Credited Past Service is less than 5 years,
but the total of your past ‘plus future service will be at
least 5 years, you can still qualify for a partial pension.
In this case your past service pension will be pro-
rated. Thus, if you are now age 60, and have only 3
years of Credited Past Service, it will be three-fifths of

$30, which is $18 monthly, in addition to your future
service pension and your other benefits.

What if | Retired Prior to June 15, 1973?

If you retired from regular employment with a _
company covered by this Plan, in the period between
June 15, 1972, and June 14, 1973, and at the time of
your retirement you were aged at least 65 and had at
least 5 years of Credited Past Service (as defined in /
the Plan) as an |.W.A. member, you will be eligible for
a Special Pension of $42 monthly.

In the case of an I.W.A. member who similarly |
retires from service with a company which agrees to
join this Plan at a future date (ie. after June 15, |
1973), and whose retirement occurs between the ¢
date of such agreement and the Effective Date of the
Plan, and who meets the age and service require-

’ ments just described, he may similarly be eligible for a

Special Pension of $42 monthly. ;

What is Credited Service?
You will be entitled to one year of Credited Future ,
Service if you work at least 1600 hours ina Plan Year. :
If you work less than 1600 hours, you will earn a |
part of a year of credit according to the following :

table:

Number of Hours Worked Credited Service
In Plan Year Earned
1600 or more One full year
1440 - 1599 Nine tenths of a year |
1280 - 1439 Eight tenths of a year
1120 - 1279 Seven tenths of a year

960 - 1119 Six tenths of a year

800- 959 Five tenths of a year

640- 799 Four tenths of a year i

480 - 639 Three tenths of a year

320- 479 Two tenths of a year

160- 319 One tenth of a year

O- 159hours None 4
If you work more than 1600 hours in one. Plan
Year, the excess number of hours over 1600 will be:
carried forward to the next Plan Year (but no further)
to help earn more credits in that Plan Year if you work
less than 1600 hours in that Plan Year.

What About Credited Past Service?

Past service credits are granted in the same way :
as Credited Future Service. It will be necessary for —
each eligible Plan Member to provide proof of having
worked in the forest industry in Western Canada in |
the period immediately before the effective date of .
this Plan (as it applies to his group) sufficient to
qualify for a past service pension, if his age is above —
50 on that date.

What Exactly is the Effective Date of this Plan?

This is June 15, 1973, for all of the employees of ,
companies which are client members of Forest In-:
dustrial Relations Limited, and of any other com-
panies which agree with the |.W.A. and the Board of
Trustees to enter this Plan as of that date.

For the employees of each other company which
agrees to enter this Plan at some later date, the Ef-
fective Date of the Plan will be the date of such entry..,. 4

What is a Plan Year? é

This is a twelve-month period commencing each —
June 15. However, in the case of a company entering
the Plan ona date other than a June 15, the first Plan -
Year will be the part-year period up to the next June |
15 only.

What is “Continuous Employment?”

This is the most recent unbroken period of your
employment in the forest industries in Western”
Canada, including employment both before and after ,
the Effective Date of this Plan. .

What is a Break in Continuous Employment?
If you work less than 320 hours in a two-year ‘
period (tested semi-annually) in employment
covered by this Plan, your continuous employment !s
broken, and prior non-vested service credits are:
cancelled.
However, if you are unable to work due to total and -
permanent disability or during a period when you are
receiving benefits under Workmen's Compensation }
laws, the time away from work for these reasons may |
not cause a break in your Continuous Employment. ;

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When Are My Service Credits Vested?
If you have:
(i) accumulated at least 8 years of Continuous ;
Employment, and
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