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Best website to job search for OMERS Employers

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  • Jul 2nd, 2020 2:58 am
[OP]
Newbie
Jul 22, 2016
77 posts
37 upvotes

Best website to job search for OMERS Employers

OMERS is arguably the best pension plan in Canada (2% x years of service x 5 consecutive years of highest pay). So if I work for the maximum # of years allowed, which is 35 years, and in the prime of my career I make an average 100k over 5 consecutive years annually, my pension would be $70,000.

The current list of employers that are part of this pension is located here. What would be the best job search website to search for openings within these companies? Rather than having to visit the careers section of each employer website individually
Last edited by Aryagorn on May 15th, 2020 9:21 pm, edited 1 time in total.
12 replies
Deal Addict
Jan 12, 2017
1103 posts
519 upvotes
Of public sector pension plans in Ontario, OMERS is the weakest by far.

While almost all the DB Pension Plans in Ontario have very similar pension benefits, OMERS has the highest contribution rates - in the range of 15% for earnings over YMPE (CPP amount). That means your gross pay is cut by 15% before you even pay taxes. Is this good or bad? For comparison, Hoopp is below 10%, Ontario Teachers is at 12%.
Even worse, Financial Post believe OMERS is the Ontario plan most exposed to COVID

If you look at annual reports from 2019, OMERS is also the only Ontario public sector pension plan that is currently underfunded (while also being the least conservative with future investment earning estimates). What this means is even higher contribution rates in the future.

All this being said, working for public sector is still pretty golden given the current scenario, but if you are in a position to pick between public sector DB plans, it is actually the worst in Ontario.
Aryagorn wrote: OMERS is arguably the best pension plan in Canada (2% x years of service x 5 consecutive years of highest pay). So if I work for the maximum # of years allowed, which is 35 years, and in the prime of my career I make an average 100k over 5 consecutive years annually, my pension would be $70,000.

The current list of employers that are part of this pension is located here. What would be the best job search website to search for openings within these companies? Rather than having to visit the careers section of each employer website individually
Deal Addict
Jan 12, 2017
1103 posts
519 upvotes
BTW, look here for jobs: https://www.municipalworld.com/jobs/?location=All
Aryagorn wrote: OMERS is arguably the best pension plan in Canada (2% x years of service x 5 consecutive years of highest pay). So if I work for the maximum # of years allowed, which is 35 years, and in the prime of my career I make an average 100k over 5 consecutive years annually, my pension would be $70,000.

The current list of employers that are part of this pension is located here. What would be the best job search website to search for openings within these companies? Rather than having to visit the careers section of each employer website individually
Deal Addict
Apr 14, 2017
1967 posts
612 upvotes
DT Calgary
Aryagorn wrote: OMERS is arguably the best pension plan in Canada (2% x years of service x 5 consecutive years of highest pay). So if I work for the maximum # of years allowed, which is 35 years, and in the prime of my career I make an average 100k over 5 consecutive years annually, my pension would be $70,000.

The current list of employers that are part of this pension is located here. What would be the best job search website to search for openings within these companies? Rather than having to visit the careers section of each employer website individually
What's your field? Essentially you either work for the city/town or for a crown agency. That shouldn't be too hard to search for. Try Metrolinx.
Member
May 17, 2009
390 posts
43 upvotes
Chickennbeans wrote: Of public sector pension plans in Ontario, OMERS is the weakest by far.

While almost all the DB Pension Plans in Ontario have very similar pension benefits, OMERS has the highest contribution rates - in the range of 15% for earnings over YMPE (CPP amount). That means your gross pay is cut by 15% before you even pay taxes. Is this good or bad? For comparison, Hoopp is below 10%, Ontario Teachers is at 12%.
Even worse, Financial Post believe OMERS is the Ontario plan most exposed to COVID

If you look at annual reports from 2019, OMERS is also the only Ontario public sector pension plan that is currently underfunded (while also being the least conservative with future investment earning estimates). What this means is even higher contribution rates in the future.

All this being said, working for public sector is still pretty golden given the current scenario, but if you are in a position to pick between public sector DB plans, it is actually the worst in Ontario.
Keep in mind OMERS offer guaranteed inflation protection while HOOPP and OTPP don't (Although OMERS has been trying to change that for a few years now).
Newbie
May 13, 2020
3 posts
Is there a general guideline when comparing two different DBPP's? (Assuming the retirement age is the same), I know no one can tell the future, but based on current information, is it possible to compare and say that one DB plan is better than another?
Contribution rate, Funded status, government vs private, pension formula, anything else I've missed?
Deal Addict
Dec 20, 2018
3942 posts
3143 upvotes
Aryagorn wrote: OMERS is arguably the best pension plan in Canada (2% x years of service x 5 consecutive years of highest pay). So if I work for the maximum # of years allowed, which is 35 years, and in the prime of my career I make an average 100k over 5 consecutive years annually, my pension would be $70,000.

The current list of employers that are part of this pension is located here. What would be the best job search website to search for openings within these companies? Rather than having to visit the careers section of each employer website individually
HOOP is way better
Deal Addict
Dec 20, 2018
3942 posts
3143 upvotes
Aryagorn wrote: OMERS is arguably the best pension plan in Canada (2% x years of service x 5 consecutive years of highest pay). So if I work for the maximum # of years allowed, which is 35 years, and in the prime of my career I make an average 100k over 5 consecutive years annually, my pension would be $70,000.

The current list of employers that are part of this pension is located here. What would be the best job search website to search for openings within these companies? Rather than having to visit the careers section of each employer website individually
You may want to look at your calculations and 35 is not max number of years but minimum years of contribution for no clawback
pension

And your calculation of 2% per year of contribution of earnings is before the clawback (amount they reduce your pension by) . Clawback is 0.675% so from 65 onwards, your 2% per year of service is clawed back by 0.675% per year of service. Basically you get 1.325% per year of service after 35yrs of service
Jr. Member
Nov 20, 2016
162 posts
133 upvotes
Aryagorn wrote: OMERS is arguably the best pension plan in Canada (2% x years of service x 5 consecutive years of highest pay). So if I work for the maximum # of years allowed, which is 35 years, and in the prime of my career I make an average 100k over 5 consecutive years annually, my pension would be $70,000.
This sounds like your run-of-the-mill public DB pension, I've been with the Federal government and the BC provincial government and they are both like this. Other factors to consider is contribution rate (as someone have already pointed out), as well as the Cost-of-Living-Adjustment provisions within the plan (the Federal plan I believe has the strongest COLA clause where COLA increases to pension payments are mandated by legislation)
Deal Addict
Jul 12, 2008
2625 posts
643 upvotes
GTA
JayceMetal wrote: Is there a general guideline when comparing two different DBPP's? (Assuming the retirement age is the same), I know no one can tell the future, but based on current information, is it possible to compare and say that one DB plan is better than another?
Contribution rate, Funded status, government vs private, pension formula, anything else I've missed?
Look at things like employment opportunities and transfer opportunities. In some Ontario agencies everyone makes 100k eventually whereas at the federal level 100k is only for old all starts in a few departments. 70% of $75,000 and 70% of $150,000 are 2 different lifestyles.

CAAT in Ontario has tougher transfer out policies especially if you are going to an employer not offering a similar pension plan. https://www.ontariomunicipaljobs.com is a good source for municipal jobs (OMERS jobs).
Deal Addict
Aug 26, 2004
1948 posts
133 upvotes
Toronto
zunairryk wrote: Keep in mind OMERS offer guaranteed inflation protection while HOOPP and OTPP don't (Although OMERS has been trying to change that for a few years now).
Just looked it up, OMERS removed guaranteed inflation protection and has dropped further t the bottom of the list when it comes to pensions.
Sr. Member
Jun 19, 2009
930 posts
157 upvotes
Toronto
CDNPatriot wrote: Just looked it up, OMERS removed guaranteed inflation protection and has dropped further t the bottom of the list when it comes to pensions.
Source? I was aware they were reviewing it last year, but last I heard it was rejected.
Edit: Found it:
https://www.omerssc.com/Sponsors/What-w ... ed-Changes
Shared Risk Indexing

Provides the option for the SC Board, based on its annual assessment of the Plan’s health and viability, to reduce future inflation increases on benefits earned after December 31, 2022.

This change is effective January 1, 2023 and does not affect benefits earned before that date. This means that when you retire, the benefits earned on or before December 31, 2022 will be granted full indexation. Benefits earned on or after January 1, 2023 will be subject to Shared Risk Indexing, meaning that the level of indexation will depend on the SC Board’s annual assessment of the financial health of the Plan.

Also from other sources:
Q - Do other Defined Benefit Pension Plans have Shared Risk Indexing?

A - YES – other plans including HOOPP (Healthcare of Ontario Pension Plan) and OTPP (Ontario Teachers’ Pension Plan) have similar concepts in place. However, the OMERS proposal is a step above these plans,

Those plans have Conditional Indexing which is similar to Shared Risk Indexing with one important difference:
With Conditional Indexing, pension plans decide every year how much indexation to grant, if any.
Shared Risk Indexing is different because inflation increases would be fully granted for pension payments until the SC Board determines that it should reduce inflation increases
I guess that's how they're trying to justify it since other pensions have already had conditional indexing. Where OMERS messed up was in 98-02 when they had contribution holidays, which is why their funded status is so bad now. Future generations are paying for that mistake in the past since they benefited instead of building up a proper reserve to be overfunded.

https://www.omers.com/Employers/Forms-R ... _-_Present
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Sr. Member
Sep 26, 2006
803 posts
189 upvotes
North York
morpheus_1987 wrote: Source? I was aware they were reviewing it last year, but last I heard it was rejected.
Edit: Found it:
https://www.omerssc.com/Sponsors/What-w ... ed-Changes


I guess that's how they're trying to justify it since other pensions have already had conditional indexing. Where OMERS messed up was in 98-02 when they had contribution holidays, which is why their funded status is so bad now. Future generations are paying for that mistake in the past since they benefited instead of building up a proper reserve to be overfunded.

https://www.omers.com/Employers/Forms-R ... _-_Present
The vote to move to Shared Risk effective Jan 1, 2023 indexing passed on June 24, 2020.

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