Public Sector Pension Plan Changes in Alberta and Annual Compensation and Benefits Survey Highlights

These are among the subjects included in the current issue of the Morneau Shepell News & Views, a monthly publication dedicated to providing insights to its clients in Canada

TORONTO, Oct. 29, 2013 /CNW/ - Morneau Shepell, in the current issue of its newsletter, News & Views, examines proposed changes to Alberta's four public sector pension plans and reports on the highlights of its annual Compensation Survey.

• ALBERTA - PUBLIC SECTOR PENSION PLAN CHANGES - On September 16, 2013, the Government of Alberta announced a set of proposed changes to four public sector pension plans that cover approximately 200,000 active members and 120,000 retirees and deferred retirees.
• ANNUAL COMPENSATION AND BENEFITS SURVEY HIGHLIGHTS - The results of Morneau Shepell's 31st annual Compensation Survey were recently released. This survey captures trends in pensions, benefits and health management and cash compensation from 300 organizations counting nearly 3 million employees.
• PENSION PLAN RISK TRANSFER - LONGEVITY SWAPS - New products have been developed which can help mitigate longevity risk, including longevity swaps as an instrument to help hedge away risk.
• MARKET INDICES - Monthly summary of returns from various market indices such as the TSX Group / PC Bond Indices and Canadian, U.S. and Foreign Equity Indices. Also includes returns from benchmark portfolios used by pension funds.
• TRACKING THE FUNDED STATUS OF DEFINED BENEFIT PENSION PLANS - Impact of past returns on plan assets and the effect of interest rate changes on solvency liabilities. This update now reflects the new CIA guidance to reflect the duration of retired members.
• IMPACT ON PENSION EXPENSE UNDER INTERNATIONAL ACCOUNTING - Expense impact for a typical defined benefit pension plan.

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Morneau Shepell is the largest company in Canada offering human resources consulting and outsourcing services. The Company is the leading provider of Employee and Family Assistance Programs, as well as the largest administrator of retirement and benefits plans. Through health and productivity, administrative, and retirement solutions, Morneau Shepell helps clients reduce costs, increase employee productivity, and improve their competitive position. Established in 1966, Morneau Shepell serves more than 8,000 clients, ranging from small businesses to some of the largest corporations and associations in North America. With approximately 3,300 employees in offices across North America, Morneau Shepell provides services to organizations across Canada, in the United States, and around the globe. Morneau Shepell is a publicly-traded company on the Toronto Stock Exchange (TSX: MSI). For more information, visit morneaushepell.com.

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