Sandra Barros No Comments

COLLECTIVE BARGAINING AGREEMENT RATIFIED

On September 27, 2016, the unions and management signed a five-year contract governing CIRS benefits for the period July 1, 2015 – June 30, 2020.  The changes to the CIRS Plans under this contract are summarized below:

CIRS PENSION PLAN:  

Under the agreement, all current employees and those hired prior to October 1, 2016 (now referred to as “Tier I Members”) will experience no change in their CIRS Pension Plan benefits or future accruals. 

A new pension benefit tier is established for employees hired on or after October 1, 2016 (now referred to as “Tier II Members”) including the following changes:

  • Normal retirement age of 64 with 5 years of Employment Service;
  • Mandatory (after-tax) employee contribution equal to:
    • 2% of base salary for those earning up to $70,000,
    • 2.5% for those earning $70,001 and up to $100,000, and
    • 3% for those earning $100,001 and up to the IRS maximum recognizable compensation limit;
  • Benefit multiplier of 1.4%; and
  • Elimination of the retroactive crediting of the first year of service.

All other pension plan provisions, including Rule of 85, are preserved for Tier II Members

CIRS 401(k) SAVINGS PLAN:

The mandatory 2% contribution to the CIRS Savings Plan will continue for existing members until December 31, 2016.  Effective January 1, 2017, members will no longer be required to contribute to the Plan.  As of January 1, 2017, these members will be able to reduce their contribution percentage, if desired, by contacting Voya.

After January 1st, new plan members will be defaulted at a 0% contribution rate (instead of 2%) until they make an active election with Voya to change their contribution election.

The employer match to the CIRS Savings Plan remains suspended.

CIRS GROUP LIFE PLAN:

There are no changes to the CIRS Group Life Plan.

justin No Comments

Announcing Transamerica as the New CIRS Pension Plan Administrator

Our current pension administrator, Voya Financial, has made a business decision to exit the defined benefit pension market. This decision affects how The Cultural Institutions Pension Plan (“CIRS Pension Plan”) members access information for pension benefits. Your pension plan benefits and eligibility are unaffected by this change.

For those of you who still have a balance in The Cultural Institutions Savings Plan (“CIRS 401(k) Savings Plan”), there is no change in how you access your savings account. Voya Financial is continuing to administer the savings plan, and therefore the website and contact information will remain the same.

With the departure of Voya Financial from the defined benefit business, we have selected Transamerica Retirement Solutions as our new pension plan administrator. This decision was made after a thorough evaluation of leading companies who offer these services. Transamerica’s book-of-business includes over $140 billion in retirement plan assets, 4 million plan participants, and 60 years of pension plan experience.

The change in pension plan administration from Voya to Transamerica is effective as of May 2, 2016.

In summary, your new contact information will be as follows:

CIRS 401(k) Savings Plan: Please contact Voya at cirs.voya.com or by calling the CIRS Service Center at 1-866-719-2477.

CIRS Pension Plan: Please contact Transamerica at cirs.trsretire.com or by calling a Transamerica Retirement Counselor at 1-800-755-5801.

Both Transamerica and Voya representatives are available Monday through Friday, 8:00 a.m. to 8:00 p.m. EST, except NYSE holidays.