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Last Updated: May 13, 2001

xBell Sygma -  Employees Information Web Site


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Monsanto Precedent

 

 

 

Background

Background / Who We Are / Why We Organized

Questions surrounding a large surplus in the Pension Plan for Employees of Bell Sygma began surfacing in late 1998

In July 1998 Bell Sygma was sold and it’s employees were Integrated with CGI, Bell Sygma employee were informed that CGI did not have a pension plan, and the existing BCE pension plan, that Bell Sygma employees were members of, was going to be terminated.

Several members felt strongly that the Pension Plan Surplus associated with the Bell Sygma employees was rightly ours based upon the FSCO (Financial Services Commission of Ontario) Pension Plan Partial Windup Rules

In 1999 we formed a REP Steering Committee and approached the Toronto law firm, Koskie Minsky LLP, for advice and retained them to act for us. They have no affiliation with BCE and typically act for employee groups in pension related issues.

The REP Alliance was organized to help protect the pension rights of all former Bell Sygma employees transferred to CGI, and to ensure that we all receive the benefits and entitlements we are guaranteed under the Pension Benefits Act (the "Act") in a partial pension wind-up, which is what is happening to us. Our mandate is to seek and obtain the portion of the BCE Pension Plan Surplus that is allocated to former Bell Sygma organization.

We had Koskie Minsky LLP canvas most of your peers to join and support us, and many of you have sent retainer forms and financial contribution to Koskie Minsky LLP, and the number continues to grow.

We believe pension plans surplus should be paid out to members on a Partial Wind-up as the pension law specifies and should not be retained until a Full Windup occurs.

We strongly believe NOW is the time to deal with the Pension Plan surplus which rightfully belongs to our membership.

 

Status/Commentary:

In Aug 2000, REP obtained the latest BCE Actuarial Valuation Report, and the surplus in our Plan was over $82.7 million. As per the FSCO Pension Benefits Act. R.S.O. 1990 (the "Act"). the following clauses of subsections of section 69(1) of the Act may be of particular relevance in determining whether the grounds exist as a result of the above partial windup event: especially item (c).

(a) a significant number of members of the pension plan cease to be employed by the employer as a result of the discontinuance of all or part of the business of the employer or as a result of the reorganization of the business of the employer;

(b) all or a significant portion of the business carried on by the employer at a specific location is discontinued;

(c) all or part of the employer's business or all or part of the assets of the employer's business are sold, assigned or otherwise disposed of and the person who acquires the business or assets does not provide a pension plan for the members of the employer's pension plan who become employees of the person.

There is a similar case for the Monsanto Company that is currently in the courts, and we are awaiting the final outcome before we take significant legal action. In March 2001, Ontario Courts ruled in favour of the Monsanto employees, however we anticipate there will be an appeal.

Due to time and cost considerations, we ask that you direct any questions to REP committee members and NOT to Koskie Minsky LLP. Please browse through the various documents and correspondence we have placed on this website by "clicking" on

the appropriate button. We remind you all work by members is on a voluntary basis and every attempt is made to ensure the accuracy of the information herein.

This website will be updated, as pertinent information becomes available. Please feel free to check periodically.

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