SaskTel pensioners worried about potential sale of Crown corporation

A group of SaskTel pensioners is worried about what the potential sale of the Crown corporation could mean for their future.

Telephone Defined Benefit Pension Association President Ron Carlson spoke with the press Wednesday at the Legislature.

“Because if SaskTel were to get itself into financial problems, or be unable to make, and the plan would be unable to make to make payments to people with their benefits, then we’re looking for some sort of backup to make sure that that happens,” Carlson said.

The NDP will be tabling a petition of nearly 4,200 signatures from across the province, asking for assurance from the government that any SaskTel sale won’t affect their pensions.

The SaskTel Defined Benefit Pension Plan is a mature, closed pension. New members haven’t been added since 1977, and no payments have been made into the plan since 2011.

The pension comes with a $200 million solvency deficiency, which would be a big price tag for anyone who might have to take over the fund.

Minister responsible for SaskTel Dustin Duncan said he won’t be giving an assurance in writing at this point, but the pensioner’s money is safe.

“I think I have given the assurances that I can in that, whenever, if there ever was an ownership change of SaskTel… Whatever that ownership would look like would have to abide by rules that are set out by within both the SaskTel Communications Act as well as the Pension
Benefits Act,” Duncan said.

Duncan added that the province still isn’t actively looking to sell SaskTel and there are no offers being discussed.

The current SaskTel Pension Plan is managed by the corporation. If a sale were to take place, it would be dealt with according to current rules and regulations.