Date issued: 01/10/2002
Information for New Employees
As a new employee in the Saskatchewan public service you are required to join and contribute to the Public Employees Pension Plan (PEPP). The Government of Saskatchewan (your employer) also contributes on your behalf.
PEPP is a defined contribution pension plan. When you retire, your pension income will be generated from the value of your contributions, the government's contributions, and the money you have earned by PEPP's investment of those contributions.
A portability agreement allows an employee to transfer both pension funds and pensionable service from one employer to another.
A transfer of pension funds into PEPP will affect the total value of contributions and investment earnings when you retire or leave PEPP. A transfer of pensionable service will not affect the value of contributions and investment earnings in PEPP. Nor will it be recognized for long service recognition, seniority or vacation entitlement.
However, your pensionable service will be maintained by PEPP and can be transferred if you move to a different employer with a defined pension benefit. In this type of plan, when an employee retires, his or her pension income will be determined from a specific formula multiplied by years of pensionable service.
Your service will have an impact on the pension benefit you receive from the subsequent employer if they are willing to accept a transfer of your service.
Transfers into PEPP using the portability agreement will only be accepted from the following agencies:
Saskatchewan Public Sector Employers
Crown corporations and Treasury Board agencies
Saskatchewan health districts (but not affiliates) and the Saskatchewan Association of Health Organizations
Educational institutions including boards of education, the Counseil Scolaire, SIAST, the Universities of Regina and Saskatchewan, regional colleges and the Saskatchewan School Trustees Association.
Rural and urban municipalities
Transfer of pensionable service using a portability agreement is available to employees hired on or after April 1, 2000. Employees hired after January 1, 2002, have one year from their date of commencement to request this transfer.
To request a transfer, contact the Public Employees Benefits Agency (PEBA) at (306) 787-5442 and ask for the Pension Portability Information Request form.
Note: You also have the option to transfer retirement funds into PEPP without recognition of pensionable service under normal Canada Customs and Revenue Agency rules.
For more information about pension and other benefits, contact the Public Employees Pension Plan (PEPP) at 1-877-275-7377, or visit the Web site at www.peba.gov.sk.ca.