UFCW Local 832

UFCW Local 832

September 03, 2010 16:16 ET

SAFEWAY MEMBERS VOTE 98% INFAVOUR OF PROTECTING PENSION

Votes held across the province to divert 5 cents per hour into pension.

Attention: Agriculture Editor, City Editor, Food/Beverage Editor, News Editor, Government/Political Affairs Editor WINNIPEG, MANITOBA, PRESS RELEASE--(Marketwire - Sept. 3, 2010) - UFCW Local 832 members working at Canada Safeway stores across the province voted 98 per cent in favour of diverting five cents per hour of their wages into their pension plan.

Pension plans in Canada have been severely hit from the 2008 stock market meltdown, where the average return in 2008 was a negative 18.1 per cent. In 2009, CCWIPP posted a positive return of 17.4 per cent, but there is still more ground that needs to be made because of the previous year's returns.
During the last round of bargaining with Safeway the members obtained an additional 35 cents per hour into a "pension stabilization fund". Under the pension restructuring, the Safeway members would need to contribute 40 cents per hour to protect their pension. The members understood the need of the increase and voted overwhelmingly in favour of diverting the 5 cents.

The union has been working with other companies who didn't participate in the CCWIPP stabilization plan and some of those members have voted infavour of diverting up to 40 cents per hour into their pension plans.

"It's unfortunate that we had to go to the members and ask them to divert some of their wages into their pension, but members understand the need to fund their pension. CCWIPP suffered losses like virtually all other pension plans in Canada. Thankfully, the members who are currently working and those who have already retired will maintain what they have earned to-date," stated UFCW Local 832 President Robert Ziegler.

The increase was necessary as Financial Services Commission of Ontario, where the plan is registered, ordered the pension trustees to make changes to its funding. The Canadian Commercial Workers Industry Pension Plan, (CCWIPP) recently notified the union and its members of the need for more contributions.

The Canadian Commercial Workers Industry Pension Plan is a multi-employer pension plan made up of over 330 employers from across Canada covering 290,000 active and former members. The trustee's on the pension plan are made up of company and labour representatives.
IN: AGRICULTURE, FOOD, JUSTICE, LABOUR, POLITICS

Contact Information

  • Blake Crothers, Director of Communications, UFCW Local 832
    Primary Phone: 204-480-4930
    Secondary Phone: 204-479-3977
    E-mail: blake.crothers@ufcw832.com