Retiree Health Benefit Allowance Sample Clauses

Retiree Health Benefit Allowance. Once an employee is eligible under the Terms and Conditions of the Plan Document for the Public Service Alliance of Canada AEU Retiree Benefit Arrangement, the employer agrees to pay in January of each year a contribution of $2300.00 to the eligible employee’s HCSA for medical and dental expenses. This contribution rate is effective January 1, 2019.

Retiree Health Benefit Allowance a) An employee who terminates employment and who is eligible to receive an immediate or deferred pension in accordance with the PSAC pension regulations on or after January 1, 2009, and is retiring prior to age 65 may elect to continue coverage in the PSAC extended health plan and will pay the total of 100% of the premiums as defined in the AEU collective agreement for Units 1, 11 and X. In addition, these employees may elect to continue coverage in the life insurance plan and will pay 100% of the premiums.‌ b) The Employer agrees to provide an employee who terminates employment and who is eligible to receive an immediate or deferred pension in accordance with the PSAC pension regulations on or after January 1, 2009, and at age 55, an annual retirement allowance of $1,800 for a maximum of 10 years and up to age 65. This annual retirement allowance is deposited into an individual Health Care Spending Account (HCSA). The retiree may submit receipts in accordance with the provisions of the Income Tax Act, or receipts for the premiums of PSAC extended health benefit plan or receipts for premiums for an external Retiree Benefit Plan and these expenses will be reimbursed from their individual HCSA up to the amount deposited. Any unused amounts at the end of twenty- four months shall revert and be deposited into an AEU Trust Fund Health Care Account to be used at the sole discretion of the AEU for health care expenditures. c) The employee described in (a) may elect to participate in the PSAC extended health benefit and/or life insurance plan. This election must be made within 30 days of retirement date. ‌ d) The Employer agrees to allow those persons who retire prior to the age of fifty-five, and who elect not to immediately opt in to the PSAC extended health plan, the right to elect, at age fifty-five (55), to join the PSAC Benefit Plan as a retiree. This election must be provided to the Employer in writing within 30 days of the date the person turns fifty-five (55). e) Employees will pay an amount that will be applied to the cost of retiree benefits and this amount will be paid through payroll deductions. The Employer will provide the Union with semi-annual reports on the funding of the PSAC extended health benefit plan.‌ f) Effective January 1, 2009, employee payroll deduction shall be equal to .4% of the employee’s base salary (or salary at retirement).