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TEAM-IFPTE Local 161 Delighted by Supreme Court Decision

WINNIPEG, Jan. 30, 2014 /CNW/ - The Telecommunications Employees Association of Manitoba (TEAM-IFPTE Local 161) is pleased that the Supreme Court of Canada ruled in favour of the retirees and the unions (TEAM, IBEW and Unifor).

The lawsuit arose from the 1997 privatization of Manitoba Telecom Services (MTS) when plan member pension funds were transferred from the Government plan to the new MTS plan.  Plan members contributed $43.364 million more than the employer, resulting in an Initial Surplus which plan members believed would be used to improve plan benefits and would not be used to reduce MTS's costs of, or contributions to, the pension plan.  Executive Director, Bob Linsdell, said "this decision is affirmation that the surplus did indeed always belonged to the plan members."

In today's ruling the Supreme Court reinstated the trial judge's order "requiring MTS to make the $43.364 million in Initial Surplus plus interest at the New Plan rate of return from January 1, 1997 to the date of payment (plan rate interest) available to plan members to be used to pay for enhancements to their pension benefits."

SOURCE TEAM-IFPTE Local 161

Image with caption: "The Telecommunications Employees Association of Manitoba (TEAM-IFPTE Local 161) (CNW Group/TEAM-IFPTE Local 161)". Image available at: http://photos.newswire.ca/images/download/20140130_C6495_PHOTO_EN_36072.jpg

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