Welcome Grant Walsh and David Minas!
WISE Trust is pleased to welcome two new Trustees to our Board. Grant Walsh, Chair of the WSIB, and David Minas, CFO of the WSIB, have joined the Board of Trustees, as appointees of the WSIB as Employer Sponsor, effective July 1, 2023. Grant Walsh will join the Governance and Human Resources Committee and the Audit and Finance Committee of the Board. David Minas will chair the Audit and Finance Committee and join the Asset and Liability Management Committee
We would like to thank two departing Trustees for their time and service to WISE Trust. Helga Reidel served on the Board of Trustees since 2019 and was a part of the original Board of Trustees that supported the transition to a jointly sponsored pension plan (JSPP). Helga was an integral member of the team who helped WISE Trust build a strong foundation during the standing up of our organization. Peter George served on the board since 2022 and we thank him for his entrepreneurial insights and diverse perspectives for during his service to WISE Trust.
The WISE Trust Board of Trustees is made up of eight members: four appointed by the WSIB and four appointed by the Ontario Compensation Employees Union (OCEU). The new makeup of the Board will sit for the first time as a group in September 2022 and will continue to deliver on commitments made in WISE Trust’s 2022-2025 Strategic Plan. As always, the Trustees’ focus is to deliver long-term retirement stability and deliver the defined benefit promise to WISE Trust’s 10,000+ members.
New Trustee Bios
Grant B. Walsh, MBA, C.Dir
WSIB is a Province of Ontario Crown Corporation. It holds $405 billion in investment assets; $5 billion in revenue, 330,000 employer members, 5.6 million insured employees, and employs 4,200 people.
Mr. Walsh was formerly the Chairman of Canada Lands Company Limited, a Government of Canada Crown Corporation with real estate properties across Canada and tourism properties including the CN Tower; Downsview Park; the Old Port of Montreal; and the Montreal Science Centre.
Mr. Walsh was President and CEO of St. Peter’s Health System and Vice President of Hamilton Health Sciences, Hamilton, ON. As Executive Vice President of The ServiceMaster Company, Chicago, IL, Mr. Walsh was accountable for $550 million in revenue (US in 1998), 30,000 employees, and 10,000 facilities in 44 states and across Canada.
Mr. Walsh has a Master of Business Administration from Southern Illinois University and a Bachelor of Arts from Roberts Wesleyan University in English and Philosophy. He holds a designation as a Chartered Director from McMaster University and the Conference Board of Canada.
David Minas
With experience over a breadth of industries which includes Financial Institutions (Banks, Brokerage, Insurance and Trust companies), technology, industrial technology, nuclear engineering, medical device, aviation and automotive, in various stages of development from startups to restructuring to growth and steady state businesses, in Canada, the United States and internationally, David has accumulated extensive experience delivering results for both public and private enterprises, creating exceptional profitability in B2B and B2C.
David has been involved in twenty-three (23) M&A transactions, taken a company public, implemented systems, raised capital in both public and private markets, which included creating the second largest ABL debt facility in Canada involving eleven (11) banks, managed Risk and IT and has entered into strategic partnerships that accelerated growth. While David was the CFO of Nuclear Safety Solutions, he worked with Actuaries and reported on the defined pension plan that was a spin off from Ontario Power Generation.
David also has prior Board experience, as he was a member of the Board of Financial Executives International Canada (FEI Canada), Toronto Chapter, as well as, a Board member of the Deep Bay Rate Payers’ Association.
David holds a Bachelor of Commerce from Dalhousie University and CPA, CA designations from CPA Ontario.
On July 1, 2023, your pension contribution rates will increase by 0.6 per cent of your pensionable earnings.
Effective July 1, 2023, contribution rate A (the per cent of pensionable earnings below the YMPE*), will increase to 7.6 per cent and contribution rate B (the per cent of pensionable earnings above YMPE), will increase to 9.4%.
*Year’s maximum pensionable earnings (YMPE) is set by the Government of Canada, which is $66,600 for 2023.
Why is this happening?
Since July 1, 2020, member contribution rates have gradually increased by 0.6 per cent of pensionable earnings per year and will do so until the funding for the Plan reaches a 50/50 employer-member cost-sharing ratio.
When will the new contribution rates be reflected on my pay?
Your contributions are deducted directly from your bi-weekly pay. All members from our six participating employers will see the contribution increase on your July 27th pay date.
Effective July 1, 2023, member pension contribution rates will increase by 0.6% of pensionable earnings. The employer normal cost contribution rate will be 234.5% of member contributions, as of July 1, 2023, determined by the actuarial valuation report as of December 31, 2021, filed in 2022.
Contribution Rate Schedule
The following table summarizes the employee and employer contribution schedule for the periods covered by the actuarial valuation report as of December 31, 2021:
| Member | Employer | ||
| Effective Date | Up to YMPE | Above YMPE | As % employee contributions |
| January 1, 2022 | 6.4 % | 8.2 % | 249.3% |
| July 1, 2022 | 7.0 % | 8.8 % | 222.0% |
| January 1, 2023 | 7.0 % | 8.8 % | 260.8% |
| July 1, 2023 | 7.6 % | 9.4 % | 234.5% |
| July 1, 2024 | 8.2 % | 10.0 % | 211.8% |
| July 1, 2025 | 8.8 % | 10.6 % | 190.2% |
Background
The contribution schedule is established by the actuarial valuation report most recently filed with the regulators. The last actuarial valuation was filed as at December 31, 2021.
The next actuarial valuation must be filed with an effective date no later than December 31, 2024. However, the Board of Trustees may choose to file a report earlier. We will inform our participating employers of any change in the contribution requirements when the next valuation report is filed.
Our 2022 Annual Highlights for Members marks WISE Trust’s third annual report. With two full calendar years under our belt since converting to a Jointly Sponsored Pension Plan (JSPP), we are proud to see our membership grow to over 10,000 active, retired, and deferred members.
2022 was a year of steady progress for WISE Trust as we continued to establish a strong operational foundation for WISE Trust. In 2022, we revisited our strategic asset allocations and investment policies with our investment manager, IMCO, to maximize and stabilize our returns during a year of global economic uncertainty.
While 2022 was a challenging year for markets around the globe, we are pleased by our strong funded status of 95%, on a going concern basis, and $3.8B of net assets at the end of 2022.
Key Highlights from 2022
What is included in the Highlights for Members report?
· Letter from the Co-Chairs of the Board of Trustees
· Letter from our CEO, Chris Brown
· Data on our financial performance and funded status
· Employer vs employee contribution information
- Governance strucutre
· Investment insights and more!
2022 Highlights for Members
The WISE Trust team is pleased to welcome our new Chief Executive Officer, Chris Brown!
Chris brings extensive experience and expertise leading pension and investment strategies, policies, and teams to deliver unprecedented value to members and pensioners. Most recently, Chris served as the President and CEO for Local Authorities Pension Plan (LAPP) Corporation in Alberta where he led LAPP’s transition to become a jointly sponsored pension plan (JSPP), the same transition WISE Trust undertook in 2020.
The WISE Trust team is proud to have Chris lead us through WISE Trust’s next chapter as we continue to deliver the defined benefit pension promise to our over 10,000 members.
Read Chris’ full bio:
Chris Brown
Prior to joining WISE Trust, Chris was the President & Chief Executive Officer of LAPP Corporation, the administrator, and trustee of the pension fund, of the Local Authorities Pension Plan (LAPP). The largest pension plan in Alberta, LAPP serves the health, municipal and education sectors in the province.
Previously, Chris was a practicing lawyer for over 20 years and has been a leading pension expert counselling clients and working with regulators and other pension policy makers on pension legislation and governance at the provincial and national levels. Over his legal career, Chris had extensive experience counselling clients on all matters relating to the governance, investment, administration and regulatory compliance of pension plans and other employment benefits and compensation plans. Chris was a founder and managing partner of a firm specializing in human resources-related law and has been a partner in leading national law firms.
Chris served as the President and Chair of the Board of the Association of Canadian Pension Management from September 2010 to September 2013, and is a current member of ACPM's Executive Committee and National Policy Committee. Between October 2007 and November 2008, Chris served as Co-Chair of the Alberta-British Columbia Joint Expert Panel on Pension Standards. Chris also serves on the Editorial Advisory Board of Benefits Canada.
Chris holds a Bachelor of Commerce (University of Alberta), and a Bachelor of Laws (Osgoode Hall Law School, York University).
Tuesday, September 6, 2022 – Effective Monday, September 5, 2022, WISE Trust’s Board of Trustees was joined by two new members. Bruce Smith joins as Co-Chair of the Board of Trustees, representing WSIB as Plan Sponsor and will also co-chair the Governance and Human Resources Committee, while serving on the Asset and Liability Management, Audit and Finance, and Plan Administration Committees. Peter George joins as a Trustee and will serve on the Asset and Liability Management, and the Audit and Finance Committees.
Terms have ended for both Wayne Gladstone, our current Co-Chair of the Board of Trustees, and Trustee Peter Jarvis effective September 4th. Both Wayne and Peter have been Trustees for WISE Trust since our inception and played an integral role as we stood up our new jointly sponsored pension plan. We thank Wayne and Peter for their extraordinary commitment and service to WISE Trust over the past three years.
The WISE Trust Board of Trustees is made up of eight members: four appointed by the WSIB and four appointed by the Ontario Compensation Employees Union (OCEU). The new makeup of the Board will sit for the first time as a group in September 2022 and will continue to deliver on commitments made in WISE Trust’s 2022-2025 Strategic Plan. As always, the Trustees’ focus is to deliver long-term retirement stability and deliver the defined benefit promise to WISE Trust’s 10,000+ members.
New Trustee Bios
Bruce Smith
Bruce has over 20 years of experience as a Director including the WSIB where he served as Chair of the Human Resources and Compensation Committee and member of the Governance and Health & Safety Committees as well as the newly created Service Excellence Advisory Group. Bruce is also a past member of the Board of Directors for St. Joseph’s Health Care, London, Ontario and Fanshawe College where he served as Board Chair for two years as well as Chair of Colleges Ontario – the advocacy organization representing Ontario’s 24 colleges of applied arts and technology.
Bruce had the honour of serving in the Ontario Legislature from 1995-1999 as the Member of Provincial Parliament for Middlesex & Parliamentary Assistant to the Minister of Education & Training. During that time, Bruce served on the Policy Coordination sub-committee of Cabinet and Caucus Advisory Committee to the Minister of Finance.
Bruce earned a Master’s Degree in Public Administration from Western University, an Honour’s Degree in Environmental Studies (minor degree in Political Science) from the University of Waterloo, and a Diploma in Urban Design from Fanshawe College.
Peter George
Peter is the co-founder and past director of LB Energy Inc., one of the largest developers of renewable energy in Ontario. Peter is deeply rooted in his community, having volunteered and fundraised for SickKids, Windsor Regional Hospital, Art Gallery of Windsor and St. Clair College.
Peter holds a Bachelor of Arts from the University of Windsor.
Effective July 1, 2022, member pension contribution rates will increase by 0.6% of pensionable earnings. Employer normal cost contribution rate will be 229.6% of member contributions, as of July 1, 2022, determined by the conversion valuation report as at July 1, 2020 filed in December 2020.
Employer Contribution Rate Schedule 2020-2022
The following table summarizes the employee and employer normal cost contribution rate requirements for the periods covered by the conversion valuation report as at July 1, 2020:
Member | Employer | ||
Effective Date | Up to YMPE | Above YMPE | As % employee contributions |
July 1, 2020 | 5.8 % | 7.6 % | 250.8% |
July 1, 2021 | 6.4 % | 8.2 % | 256.9% |
July 1, 2022 | 7.0 % | 8.8 % | 229.6% |
Background
Effective July 1, 2020, the Plan was converted from a single employer pension plan to a jointly sponsored pension plan (JSPP). In accordance with pension legislation, the conversion valuation report must be filed with the regulators no later than nine months after the effective conversion date.
The next actuarial valuation must be filed with an effective date no later than July 1, 2023. However, the Board of Trustees may choose to file a report earlier.
We will inform our participating employers of any change in the contribution requirements when the next valuation report is filed.
A message from our Chief Pension Officer (CPO), Susan Kay-Dunn:
WISE Trust is proud to celebrate our two-year anniversary on July 1st, 2022!
While our pension plan has a long history – having been established in 1940 as the Workplace Safety and Insurance Board’s (WSIB) Employee Pension Plan – the story of WISE Trust is still in its infancy.
On July 1, 2020, we opened our virtual doors for business. Unlike most newly created JSPP’s who started operations with sizeable teams and a good sense of their business needs, WISE Trust forged new territory with a “build as you go” approach. Starting with just 3 employees and a blank page, we had a unique opportunity to build a “fit for purpose” future state. Since that time, we have made remarkable progress on that journey.
Over the past two years we have build the foundation for WISE Trust; including building our foundational IT infrastructure, launching our new website and onboarding a financial system provider and implementation partner. We hired project team members and business leads, eventually growing our tiny team of three to 35. By the end of our first full year of operations we had a plan to transition financial and pension administration services over from one of plan sponsors, the WSIB. By January 2023 we anticipate that we will complete the transition, with the help of our partners: IMCO, State Street, WSIB and Royal Bank. In addition, by the second quarter of 2023, we anticipate that the final remaining support services will have transitioned to our virtual workforce, making WISE Trust a fully independent and self-sufficient pension plan. This represents a staggering amount of work for a small, fully virtual workforce, all accomplished while assuming responsibility for administering the pension plan for our 10,000+ members.
At this time, I would like to acknowledge the ongoing partnership and support from WSIB who has continued to provide support services for us while we get up and running. I would also like to acknowledge our WISE Trust team. While many of our team members have been with us less than a year, each day they demonstrate outstanding commitment to the organization and dedication to our over 10,000 members. Finally, thank you to our participating employers and trusted partners. Together we can celebrate the amazing progress we have made in standing up WISE Trust.
On July 1, 2022, your pension contribution rates will increase by 0.6 per cent of your pensionable earnings.
Effective July 1, 2022, contribution rate A (the per cent of pensionable earnings below the YMPE*), will increase to 7.0 per cent and contribution rate B (the per cent of pensionable earnings above YMPE), will increase to 8.8 per cent.
*Year’s maximum pensionable earnings (YMPE) is a number set by the Government of Canada at $64,900 for 2022.
Learn more about how you contribute to your pension and the contribution formula.
When will this be reflected on my pay?
Your contributions are deducted directly from your bi-weekly pay. Depending on which WISE Trust participating employer you work for, you’ll see the contribution increase on the following pay date:
| WISE Trust Participating Employer | Pay Date |
|---|---|
| Workplace Safety and Insurance Board (WSIB) | July 28, 2022 |
| Infrastructure Health and Safety Association (IHSA) | July 28, 2022 |
| Public Services Health and Safety Association (PSHSA) | July 28, 2022 |
| Workplace Safety and Prevention Services (WSPS) | July 14, 2022 |
| Workplace Safety North (WSN) | July 28, 2022 |
| Workplace Insurance and Safety Employee Trust (WISE Trust) | July 28, 2022 |
Why is this happening?
Since July 1, 2020, member contribution rates have gradually increased by 0.6 per cent of pensionable earnings per year and will do so until the funding for the Plan reaches a 50/50 employer-member cost-sharing ratio. By doing this together, we will help maintain a sustainable pension plan!
Learn more about how your WISE Trust pension is funded.
Got a minute to learn more about your pension?
Here are some topics you might be interested in:
- Your pension features
- Advantages of a defined benefit pension plan
- Purchasing pensionable service
- Getting ready for retirement
This week we are proud to publish our 2021 annual “Highlights for Members” report. The report includes an overview of WISE Trust’s yearly performance for current, retired and deferred members.
As of December 31, 2021, the plan was 100% funded with $4.2 billion in net assets. In 2021, we also selected a new Strategic Asset Allocation for implementation starting in 2022 to support our investment objectives in the coming years.
Key Highlights from 2021
Data as of December 31, 2021
$4.2B net assets
100% funded ratio
$88M employer contributions
$30M member contributions
6 participating employers
2021 investment performance (gross of investment costs)
11.8% 1-year return (11.2% net return)
9.7% 3-year return
7.7% 5-year return
Plan membership
5,053 active members
4,259 retirees and beneficiaries
765 deferred members
10,077 total members
“We spent a good part of 2021 reviewing our investments and potential funding outcomes. This has been particularly important as the global economy continues to be impacted by the ongoing COVID-19 pandemic, resulting in unpredictable market behaviour and uncertain returns on investments. Despite these challenges, we are pleased with the Plan’s strong performance in 2021”.
– Wayne Gladstone and Harry Goslin (Co-Chairs of the WISE Trust Board of Trustees)
– Susan Kay-Dunn (Chief Pension Officer and Plan Manager)
