Corporate mergers

Impact on your simplified pension plan (SIPP)

A corporate merger may result in changes to a pension plan. If that happens, you will be informed, no matter how small the change. However, if you do not receive any information about the effect of such a business change on your pension plan and you are concerned, you can contact your employer or the financial institution that administers your plan.

The most frequent effects of a merger

When there is a corporate merger, the most frequently occurring changes are as follows:

• 2 or more plans are merged into a single plan
• your plan is divided into 2 or more plans(
  for example, one for union members and one for non-unionized employees)
• a different employer is responsible for the plan

Impact on your benefits

Generally, a merger will not have any effect on the benefits that you have accumulated in the pension plan as a member (amounts entered in your account). If this is not the case, you will be informed. However, your benefits and those of the other members can never be reduced without your consent.  

If you have questions

Contact your employer or the financial institution that administers your pension plan.

The plan is terminated

A corporate merger may also result to termination of the plan.