Shadow Pension

The Financial Services Commission of Ontario (FSCO) tribunal has
rendered its decision on the question of whether concept of a ‘shadow pension’
was supported by the language of the York Pension Plan.
The Tribunal found that there was a difference between ‘pension payable’ and
‘pension paid’ and, as a result, the University was entitled to continue to
calculate the ‘pension payable’ (even though it was not being paid) and apply
the adjustment to that amount, only increasing the ‘pension paid’ when the
‘pension payable’ exceeded the previous year’s ‘pension paid’.
In short, the ‘shadow pension’ will remain.

There may be further hearings on a couple of outstanding issues. However,
no decision on whether these will proceed has been decided at this time.