Amendment No. 18 to the Canadian Pacific Railway Company Pension Plan (Effective January 1, 2023)

Contract Categories: Human Resources › Retirement Agreements
Summary

This amendment updates the Canadian Pacific Railway Company Pension Plan, effective January 1, 2023. It revises the indexing percentage for pension benefits, adjusts member contribution rates, modifies the calculation percentages for pensionable service, and updates pension limit dates and amounts for various employee groups. The changes affect how benefits are calculated and how much employees contribute, depending on their union affiliation, hire date, and service period. The amendment applies to Canadian employees participating in the plan.

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EX-10.77 3 exhibit107710-k2022.htm EX-10.77 Document

                                            Exhibit 10.77

AMENDMENT NUMBER 18

TO THE CANADIAN PACIFIC RAILWAY COMPANY PENSION PLAN

CONSOLIDATED AS AT JANUARY 1, 2009

AMENDMENTS EFFECTIVE JANUARY 1, 2023

1.Delete paragraph 2.27.1 and replace it with the following:

“2.27.1 Indexing Percentage

“Indexing Percentage” means:

(a)In respect of the USW Service of a Member:

(i)whose Last Date of Hire is prior to January 1, 2021, and

(ii)whose Date of Cessation of Membership is on or after January 1, 2021 and prior to January 1, 2023,

60%;

(b)In respect of the USW Service of a Member:

(i)whose Last Date of Hire is on or after January 1, 2021 and prior to January 1, 2022, and

(ii)whose Date of Cessation of Membership is on or after January 1, 2022 and prior to January 1, 2023,

60%;

(c)In respect of the USW Service of a Member:

(i)whose Last Date of Hire is prior to January 1, 2023, and

(ii)whose Date of Cessation of Membership is on or after January 1, 2023,

70%; and

(d)In respect of all other periods of Pensionable Service, 50%.

2.Delete subparagraph 5.01(a) and replace it with the following:

"(a) Every Member:

(i)who is a Canadian Employee;

(ii)whose Last Date of Hire is prior to the Pension Limit Date applicable to the Union Service or Management Service they are currently accruing; and

(iii)who is accruing Pensionable Service,



shall contribute to the Fund in accordance with the percentages set out in the table below:

Periods of Pensionable Service:Earnings that Do Not Exceed the Year’s Maximum Pensionable Earnings:Earnings that Exceed the Year’s Maximum Pensionable Earnings:
TCRC-MWED5.45%7.03%
CPPA5.67%7.25%
USW5.67%7.25%
IBEW5.67%7.25%
Unifor5.48%6.98%
TCRC-RTE6.94%7.23%
RCTC5.48%6.98%
Management3.50%5.50%

3.Clause 8.01(b)(iii) is deleted and replaced with the following:

“(iii) multiplied by the applicable percentage determined from the following table:

Period of
Pensionable Service
If Member’s last date of hire was before:then the following percentage is used:If Member’s last date of hire is on or after:then the following percentage is used:
TCRC-MWED ServiceJune 1, 20131.80%June 1, 20131.70%
CPPAJune 1, 20131.80%June 1, 20131.70%
USW ServiceJanuary 1, 20231.90%January 1, 20231.70%
IBEW ServiceJanuary 1, 20231.80%January 1, 20231.70%
Unifor ServiceMay 1, 20151.80%May 1, 20151.70%
TCRC-RTE ServiceJanuary 1, 20231.80%January 1, 20231.70%
RCTC ServiceJune 1, 20131.80%June 1, 20131.70%
Management ServiceJune 1, 20131.30%June 1, 20131.30%

4.Delete subparagraph 8.08(a) and replace it with the following:

"(a) Pension Limit Date, Prior Pension Limit, and Future Pension Limit are the dates and amounts, as applicable, set out in the table below:

123
Period of Pensionable ServicePension Limit DatePrior Pension LimitFuture Pension Limit
TCRC-MWED ServiceJune 1, 2013$1,975$1,715
CPPA ServiceJune 1, 2013$1,975$1,715
USW ServiceJanuary 1, 2023$1,975$1,715
IBEW ServiceJanuary 1, 2023$2,175$1,715
Unifor ServiceMay 1, 2015$2,050$1,715
TCRC-RTE ServiceJanuary 1, 2023$2,250$1,715


RCTC ServiceJune 1, 2013$2,200$1,715
Management ServiceJune 1, 2013$1,975$1,715