Military Pension Renewal
Canadian Armed Forces Pension Plans Administration Transition
In the summer of 2016, the administration of Canadian Armed Forces (CAF) pension plans for active members will be transferred to the Government of Canada Pension Centre at Public Works and Government Services Canada (PWGSC).
Pension payments for retired CAF members and their survivors/child(ren) will continue to be supported by the Specialized Services Division (SSD) at PWGSC until the winter of 2016 at which time they will be administered by the Government of Canada Pension Centre at PWGSC.
The Government of Canada Pension Centre will be staffed by employees transferred from the Department of National Defence (DND) and PWGSC who are experienced and knowledgeable about CAF pensions. This will ensure that a high level of quality service continues to be provided to CAF members, retirees and their families.
Additional information will be provided closer to the transition date.
Why make the change?
The current DND pension administration business processes and system environment requires a transformation to a modernized pension solution aligned with industry best practices. It currently depends on outdated technology that is expensive to maintain, limits the ability to provide modern services such as online self-service, and relies on manual processes.
This transition aligns to the common Government of Canada pension administration standards for the administration of all federal public pension plans.
What does this change mean for Regular and Reserve Force active and retired members?
For active members, files will be transferred automatically and there will be no change to pension contribution rates as a result of the transfer to PWGSC.
Retired members and their survivors/child(ren) will continue to receive pension payments as usual. Members will continue to have access to knowledgeable pension experts who can answer questions throughout the transition period.
NOTE: During the weeks immediately prior to both transitions, members may experience delays in some pension services. Further details will be available closer to the transition dates. These delays will not impact pension payments or the issuance of T4(A)s.
Where can I go for more information?
Please refer to the Frequently Asked Questions (FAQs) below for more information. Continue to contact the
Director Canadian Forces Pension Services (DCFPS) and the
Public Works and Government Services (PWGSC) Specialized Services Division (SSD) prior to the transition.
FAQs
What’s happening to the administration of the Canadian Armed Forces (CAF) pension plans?
DND will transfer the administration of CAF pension plans to PWGSC in two phases. In the summer of 2016, the responsibility for the administration of the CAF pension plans will be fully transferred to the PWGSC Government of Canada Pension Centre in Ottawa (phase 1).
Pension payments for retired CAF members and their survivors/child(ren) will continue to be supported by the Specialized Services Division (SSD) at PWGSC until the winter of 2016, at which time the administration of pension payments will be transferred to the Government of Canada Pension Centre in Ottawa (phase 2).
Services will be delivered by the existing Pension Experts who will be moving to the new Government of Canada Pension Centre satellite office in Ottawa, Ontario.
Why is the administration of the CAF pension plans moving to PWGSC?
There are a number of reasons:
Treasury Board Secretariat is leading a transformation towards a common integrated solution for all federal public sector pension plans administration.
The new arrangement will benefit from using industry standard technology.
The new pension solution integrates virtual file management, client relationship management and the pension system to provide efficient and effective client services.
The Government of Canada Pension Modernization Project – Canadian Forces Superannuation Act (GCPMP-CFSA) initiative is an important business transformation that is introducing standardized client service delivery processes, procedures and tools that are aligned to the best practices and are supported by a Commercial-off-the-Shelf (COTS) technology.
The delivery of pension services for the Public Service Superannuation Act and the Royal Canadian Mounted Police Superannuation Act is already the responsibility of the Government of Canada Pension Centre. The Canadian Forces Superannuation Act is the third component of this transformation, and will be administered from the new Government of Canada Pension Centre satellite office in Ottawa.
What do you mean by administration of pension plans?
Administration of the pension plans includes providing pension services to active plan members and upon retirement, determining benefit entitlements and calculating pension benefits in accordance with pension legislation for both Regular and Reserve Force members and their survivors/child(ren). It also includes issuing payments to retired members and providing pension administration services (i.e., responding to inquiries, processing pension benefit payments, remitting deductions for payroll taxes, and producing statements of remuneration) to CAF retired members and their survivors/child(ren).
What do we mean by the administration of pension payments?
The administration of ongoing pension payments includes:
issuing monthly pension payments to retired members and their survivor/child(ren);
administering deductions for service purchases, insurance (both dental and medical) supplementary death benefits, income tax, garnishments, etc.;
issuing T4(A)s;
issuing annual statements; and
applying indexation rates.
For more information please contact the Specialized Services Division (SSD) at PWGSC until the winter of 2016. In the winter of 2016, pension payments for CAF retired members and their survivors/child(ren) will be administered by the new Government of Canada Pension Centre satellite office in Ottawa.
How do I contact the new Government of Canada Pension Centre satellite office in Ottawa after transition?
New contact information will be provided before transition for both CAF active and retired members and their survivors/child(ren). This information will also be posted under the Military Pension Renewal project information section on the CAF/DND Pension Web site.
Will the Government of Canada Pension Centre satellite office in Ottawa be staffed with people who understand the unique situations faced by members of the CAF?
The Government of Canada Pension Centre will be staffed by employees transferred from DND and PWGSC who are experienced and knowledgeable about CAF pensions and understand the unique situations faced by active and retired members.
When does this transition affect active and retired members?
The new Government of Canada Pension Centre satellite office in Ottawa will be ready to serve members and their families in the summer of 2016. The administration of pension payments for retired members and their survivors/child(ren) will be integrated into the Government of Canada pension solution at the Government of Canada Pension Centre satellite office in Ottawa in the winter of 2016. Prior to these dates, members can continue to use their existing contact information.
Will service be impacted at transition?
There will be some delays for a limited period of time during the actual transition to the new pension administration system. These are anticipated to occur for two to three weeks in the summer of 2016 and in the winter of 2016. Exact dates will be provided closer to the transition. Every effort is being made to minimize the impact on members. Essential services such as pension payments and the issuance of tax receipts will continue to be provided but administrative services may be limited during the transition period.
Will I have to do anything to transfer my pension file?
No, transfer of all pension files will be done automatically by DND. Part of the transition involves the imaging of paper files to provide Pension Experts easier and faster access to your pension information.
Date modified: 2016-01-14