The Canadian Blood Services Defined Benefit (DB) Pension Plan is jointly sponsored by Canadian Blood Services and the Participating Unions, and administered by a Board of Trustees representing both. The names of the current Board members appear on the Trustee Talk page.
Third-party administration services for the DB pension plan are provided for the Trustees by Morneau Shepell Ltd. Morneau Shepell Ltd will:
Employees who are represented by the Participating Unions enrol in the DB plan when they meet the eligibility requirements. Other employees may also enrol in the DB plan, if they wish.
All employees who were members of the Canadian Red Cross Pension Plan-Part II (DB plan) on September 27, 1998 joined this plan automatically on September 28, 1998. All service and earnings under the Red Cross plan count toward benefits under this plan.
The DB plan provides an excellent way to begin building retirement income. With the defined benefit pension approach, you will be able to predict how much pension you will have when you retire. This pension is based on a formula that considers the average of your five consecutive years of highest annualized earnings while a member of the plan. Since your years of highest earnings are often at the end of your career, your retirement pension bears some relationship to the amount of money you were earning before you retired. (In contrast, a defined contribution plan provides a pension that depends on your contributions and how well the funds in which they are invested perform.)