Amendment No. 1 to the Canadian Pacific Railway Company Pension Plan (Effective January 1, 2025)

Contract Categories: Human Resources › Retirement Agreements
Summary

This amendment updates the Canadian Pacific Railway Company Pension Plan, effective January 1, 2025. It introduces the definition of "Executive DB Member" and allows certain employees who move from union to management positions, and then become Executive DB Members, to irrevocably elect to switch to the Defined Contribution (DC) plan within a specified timeframe. The amendment also clarifies the default pension plan status for management employees who do not make an election and updates related participation provisions.

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EX-10.2 2 exhibit102q22024.htm EX-10.2 Document

Exhibit 10.2

AMENDMENT NUMBER 1

TO THE CANADIAN PACIFIC RAILWAY COMPANY PENSION PLAN

REVISED AND CONSOLIDATED AS AT JANUARY 1, 2024


AMENDMENTS EFFECTIVE JANUARY 1, 2025

1.Add the following as paragraph 2.24.1:

“2.24.1 Executive DB Member

“Executive DB Member” means a DB Member who holds a permanent position in an eligible salary classification as determined by the Board.”

2.Add the following as clause 4.02(d)(iii):

“(iii) Notwithstanding clause (i), an Employee who:

(A)either:

(I)was in a position covered by a collective agreement with a Union on June 1, 2013 and subsequently became a Management Employee; or

(II)was hired by the Company in a position covered by a collective agreement with a Union after June 1, 2013 and subsequently became a Management Employee;

(B)in accordance with clause (i), elected to remain a DB Member upon becoming a Management Employee under subclause (A) above; and

(C)subsequently becomes an Executive DB Member,

may irrevocably elect, within the time period and on a form prescribed by the Company, to become a DC Member effective January 1 of any year that is:

(D)on or after January 1, 2025; and

(E)coincident with or subsequent to his becoming an Executive DB Member.”

3.Replace subparagraph 4.05(e) with the following:



"(e)Any Management Employee described in clause 4.02(d)(i) or 4.02(d)(ii) who fails to make an election thereunder shall be deemed to have irrevocably elected to remain a DB Member.

4.Replace clause 6.11(d)(iii) with the following

"(iii)who was in a position covered by a collective agreement with a Union and, who upon becoming a Management Employee, or at any time thereafter in accordance with clause 4.02(d)(iii), elects to participate in the Defined Contribution Provision, or”