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1 |
PURPOSE |
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1.1 |
The purpose of this advice is to provide Crown
corporations and Territorial Governments not using the Regional Pay System
(RPS) with further details regarding the management and reporting of post-1999
pension plan data using the new Crown Process Improvement (CPI) Workbook
reporting tool. |
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1.2 |
In this text, the use of masculine is generic
and applies to both men and women.
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2 |
BACKGROUND |
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2.1 |
Several forms of communication have been sent
to Crown corporations over the past two years regarding pension data collection
requirements, the CPI Workbook tool delivered to collect the data, and
the deadline for submission of backlog data. |
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To date, the project office has provided the
CPI Workbook to all users, delivered training on the use of the workbook
and the reporting requirements, and provided ongoing support to all Crown
corporations. |
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Crown corporations are currently at various
stages of reporting data, from having reported no data to being current
in their reporting. We are taking this opportunity to reiterate the reporting
requirements and to stress the importance of submitting this data in a
timely manner. |
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At the launch of the new Public Service Pension
Fund (PSPF) in April 2000, new processes and accounting controls for management
and reporting of the fund were put into place. We have communicated this
information to Crown corporations and have clearly stated that reporting
of contributions, salary and leave without pay (LWOP) is required on a quarterly basis.
Reporting this pension data on a timely basis is mandatory to support these
new controls.
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3 |
CONTROL PROCESSES |
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3.1 |
Reconciliation |
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Reconciliation of contributions is performed
on a quarterly basis by the Pension Accounting Section in the Superannuation,
Pension Transition and Client Services Sector (SPTCSS). The reconciliation
process compares employee contribution data received from the Crown corporations
via the CPI Workbook with the remittance dollars received from the Crown
corporations. This ensures that money collected from a Crown corporation
matches the contributions reported for each employee. This replaces the
annual reconciliation that was performed prior to the implementation of
the new PSPF. |
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3.2 |
Data Integrity |
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Data integrity tests are performed on individual
accounts stored on the Contributor System data base. The test verifies
that contributions are consistent with the salary and service at the individual
level. Therefore, all key pension data elements (i.e. contributions, salary,
service and LWOP) must be reported to conduct this test. |
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3.3 |
Employee Pension and Benefits Statements |
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Employee Pension and Benefits Statements provide
members of the plan with an annual booklet of their pension plan benefits.
The information produced is based on Contributor System data effective
April 1 of each year. In addition to the annual booklet, the information
will be updated quarterly and will be available to members through electronic
access on the Web. This access is currently in a pilot test phase and is
planned for delivery in the near future. |
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We have committed to providing this service
delivery to the members and this can only be done if the salary for the
last five years and the LWOP information has been provided by the Crown
corporations. Incomplete data will result in the Pension and Benefits Statement
providing inaccurate information to the member.
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4 |
LEGAL REPORTING REQUIREMENTS |
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Please be advised that it is a legal requirement
that Public Service corporations provide pension data reporting. Subsection
37(5) of the Public Service Superannuation Act explicitly states
this requirement: |
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The corporation (refers to a Public Service corporation) shall provide
the information relating to the employment, pensionable service,
salary and contributions to the Superannuation Account or the Public
Service Pension Fund, including reports and assessments respecting
the accurate application of this Act, and any other relevant information,
that the Minister may require with respect to employees or former
employees referred to in subsection (2), at the times and in the
manner that the Minister may direct.
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For those who have already eliminated the backlog,
it is still imperative to remain current and continue sending your data
on a quarterly basis or more frequently. Remaining current means that you
are always reporting up to the end of the most recent quarter. The above
processes can only be performed if Crown corporations have reported all
backlog information and continue to keep their pension data current.
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5 |
REPORTING CHANGES TO STRUCK OFF STRENGTH
(SOS) PROCESS |
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During the backlog reporting period, only the
data for active contributors was to be reported using the CPI Workbook.
Effective July 1, 2004, the SPTCSS will no longer manually update contributions
and salary/service information on behalf of Crown corporations. Effective
that date, Crown corporations will be entirely responsible for reporting
all pension data through the CPI Workbook for both active and SOS accounts. |
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Crown corporations using the Pension Support
System (PSS) application can continue to manage their salary and LWOP information
with this input method and/or through the CPI Workbook. However, all contribution
information must be reported using the CPI Workbook. |
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For SOS accounts, Crown corporations must continue
to complete the Termination and Contributions Advice form (PWGSC-TPSGC
2321), the Salary Service Information - Pension Support System form (PWGSC-TPSGC
2020), as well as the Certification Notice - Pension Support System form
(PWGSC-TPSGC 2386) as they are still required for the purpose of complete
pension benefit processing. |
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A PWGSC-TPSGC 2321 form must still be completed
as usual. Only contributions that have not already been reported via the
CPI Workbook should be reported on the PWGSC-TPSGC 2321 at the time of
termination to avoid delays in processing return of contribution payments
and Canadian Forces Superannuation Account, Royal Canadian Mounted Police
Superannuation Account and pension transfer agreement transfer payments. |
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5.1 |
Personal Record Identifier (PRI) |
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PRI numbers are assigned by the department
or, in some instances, created by the SPTCSS. When Crown corporations are
unable to create a PRI, because they do not have access to the Central
Index System, the SPTCSS will create it for them using the facsimile services
outlined in Section 7 of this notice. However, in order to do so, we require
the substantiating documentation such as the screening form or letter of
offer, stating the pertinent information such as: date of birth, Social
Insurance Number, given name and last name. |
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By having the SPTCSS create the PRI using a
facsimile, this does not override the need for the Crown corporations to
submit the required screening documents, in a timely manner.
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6 |
CPI WORKBOOK - Version 2 |
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Distribution of Version 2 of the CPI Workbook
is currently underway. The new version offers the following new functionality: |
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6.1 |
Remittance Process
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The new remittance process in the CPI workbook replaces the requirement
to manually complete the Monthly Remittance of Superannuation Contributions
form (PWGSC-TPSGC 2292). All the contribution data required for the
remittance is collected and stored within the workbook. The remittance
process automates the calculation and creation of the form using
the contribution transactions stored in the workbook. Contribution
transactions need to be loaded monthly in order for the data required
for the remittance to be stored in the workbook. The remittance form
(PWGSC-TPSGC 2292) is supplemented with a tracking report.
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6.2 |
Taken on Strength (TOS) Transactions
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A TOS worksheet has been added to report new employees. The current process
of completing the TOS/Screening form and submitting it to the SPTCSS
is still required. This transaction will complement the existing
process. It will achieve a more timely activation of new employees
on the Contributor System since the transaction will be processed
more efficiently.
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6.3 |
Status Change Transactions
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A status change worksheet has been added to report employee status changes.
The following are the types of status changes that can be submitted
with the workbook: paylist, given name, last name, initials, date
of birth, marital status, sex and language preference.
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7 |
OPERATIONAL SUPPORT |
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To date, the CPI project team has been providing
operational support to all Crown corporations concerning the use of the
CPI Workbook and pension data reporting requirements. Effective July 1, 2004,
the Information Technology Section of the SPTCSS took over this role. |
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In order to provide a reliable and timely response
to operational support services, we request that Crown corporations document
and forward all requests via facsimile (fax) transmission to the Information
Technology Section at (506) 533-5605.
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8 |
INQUIRIES |
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Any request for information regarding the foregoing
should be addressed to: |
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Don Fulsom
Crown Process Improvement Project
Pension Services Directorate
Finance, Accounting, Banking and Compensation Branch
1451 Coldrey Avenue
Ottawa, ON
K1A 0S5
(613) 941-6506
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R. Jolicoeur
Director General
Compensation Sector
Finance, Accounting, Banking and Compensation
[Print Version]