Offer to Settle – Option B

	$1,500 Signing Bonus in lieu of retro pay.  Amount is equal to a 3% increase using the average salary of a full-time CUPE employee (1% wage increase per year). The lower signing bonus reflects the increase to the employer’s pension plan contribution rate compared to Option A.
	2% Wage Increase in 2019 and 2020
	Salary Model Changes opens for more growth. Employees are guaranteed their salary won’t be reduced transitioning to the new model
	$400 Flexible Spending Benefit currently $200 and can put into either a personal or health spending account
	Days off with pay at Christmas so employees no longer have to use vacation or banked time
	25 Vacation Days after 14 years of service (currently 17 years) 30 Vacation Days after 22 years of service (currently 23 years)

Target Benefit Plan

	Employees contribute 7.5% of pensionable earnings to plan
	Employer contributes 7.5% of pensionable earnings to plan
	Monthly benefit defined by a set formula 1.75% x Best average earnings (20 years) x pensionable service (months and years in plan)
	Retirees receive Post Retirement Cost of Living Adjustment = 40% inflation
	Plan trustees, along with investment experts, choose where and how much to invest
	Retirees receive monthly benefit for their lifetime
	New employees are enroled and vested immediately in the pension plan. 0.5 ft and an appointment greater than 6 months
	Early retirement age is 55 or Rule of 80 with a 3% reduction/year to age 65 RULE OF 80 = age + service
	In case of significant surplus or shortfall, a prioritized, predefined list of benefit changes are in place to bring the pension back into balance

• Offer to Settle – Option B