When you transfer from the Public Service to an outside employer or otherwise terminate your service, you will have certain entitlements. Depending upon your age, years of service and reason for leaving the Public Service, you may have choices about pension and group insurance benefits. Your Compensation Advisor will give you the information and documentation you need to make those choices.
You may also have a number of important financial decisions to make concerning your termination benefits. You may wish to seek advice from a financial advisor. If you do, you should print off copies of information from the Pension Plan and Insurance Benefits Programs websites to take with you when you meet your advisor.
If you are contemplating transferring or terminating from your employer, you should know the impact it will have on a number of areas.
If you have been contributing to the Public Service Pension Plan, you will have an entitlement when you leave the Public Service. Consult the Pension Calculator to estimate your future pension benefits.
If you leave the Public Service with an immediate pension, you may opt to continue your coverage under the Public Service Health Care Plan (PSHCP). See Public Service Health Care Plan FAQ's What Happens to my coverage when I retire or otherwise leave the Public Service? Otherwise, coverage will stop at the end of the month following the month of your last contribution payment. Your Compensation Advisor can help you with the details.
Coverage under your Dental Care Plan ceases on termination of employment. However for certain treatments begun before termination, coverage will remain in force if the treatment is completed within 31 calendar days of termination of employment. If you are leaving the Public Service with an immediate pension, you may join the Pensioners' Dental Services Plan.
Regardless of whether you are covered under the Disability Insurance (DI) Plan or the Long Term Disability Insurance (LTD) Plan, coverage ceases on your last day of employment.
Life Insurance under the Public Service Management Insurance Plan (PSMIP) (LTD being a component of it) ceases on your last day of employment, subject to a 31 day extension period during which you may convert (without medical examination and regardless of your state of health) to an individual policy. This policy is normally offered by Industrial Alliance Insurance and Financial Services Inc.
See Life Insurance FAQ's for information on policy conversion. Members of the Executive Plan should refer to the booklet PSMIP - Executive Plan which describes the post-retirement life insurance benefit available to members receiving a continuing pension on leaving the Public Service.
Under certain circumstances, Life Insurance under the Supplementary Death Benefit can continue. Consult Your Pension Plan for related details.
You may be entitled to receive severance pay upon termination. Check out your Collective Agreement for eligibility requirements and the method of calculating this lump sum payment. It may be transferred to a registered retirement savings plan. If you are considering transferring your severance pay entitlement, you should contact your Compensation Advisor as soon possible prior to your termination.
The Employment Insurance Act is a federally sponsored program that provides an income during interruption of earnings. You must be under 65 years of age in order to apply. Contributions are automatically taken from your pay. Your Employer also contributes on your behalf. You must complete and submit the "Record of Employment" within 5 days to your local Employment Insurance Office.
If you have annual, compensatory or other leave credits which you have earned but not used, these will be paid to you in cash at your current rate of pay.