The Salary Indexation Award is a PSPP plan design feature that contributes to the growth of your average salary over the course of your career and serves to help offset the effects of inflation.
The Plan provides inflation protection by annually adjusting your past earnings when the funded status of the Plan is greater than 100%.
The target indexation award is the increase in average wages in Canada.
Employees must remain active to the end of the pension award year to receive the full award. Those who terminate before the end of a pension year will have their award pro-rated.
Valuation
(April 1st)
Funded Status
per Valuation
Was Minimum Funded Status
of 100% Achieved
Pension Award Year1
Target Salary Indexation
that May Be Awarded
Actual Salary Indexation Awarded2
Yes
No
2023
122.5%
X
Jan. - Dec./24
3.14%
3.14%
2022
127.2%
X
Jan. - Dec./23
2.48%
2.48%
2021
121.1%
X
Jan. - Dec./22
7.15%
7.15%
2020
113.2%
X
Jan. - Dec./21
3.22%
3.22%
2019
125.3%
X
Jan. - Dec./20
2.26%
2.26%
2018
124.0%
X
Jan. - Dec./19
2.43%
2.43%
2017
119.9%
X
Jan. - Dec./18
0.70%
0.70%
2016
115.5%
X
Jan. - Dec./17
0.84%
0.84%
Notes:
1. A member must remain active for the entire year to be awarded the full value of the "Actual Salary Indexation Awarded."
2. Indexation for Pension Award Years 2014, 2015, and 2016 was pegged at 1.5%. The 2017 Pension Award Year was the first year based on the plan's funded status.
