Strong results in 2013 have propelled the Healthcare of Ontario Pension Plan (HOOPP) to its strongest funded position in over a decade, a funded ratio of 114 per cent.
The plan now has a record $51.6 billion in net assets following a rate of return of 8.55 per cent in 2013, HOOPP reported today. HOOPP’s full annual report, Fully Committed, will be posted on its website in coming weeks.
HOOPP President & CEO Jim Keohane says the strong showing and stellar funded position show that the defined benefit pension model works, and works well. Thanks to solid funding, the contribution rates made by HOOPP members and employers have been stable for a decade. HOOPP’s rate of return over the past decade is a solid 9.66 per cent.
“Being fully funded means we are able to deliver the pension promise for all of our members,” says Keohane, adding that the plan has the strongest funded position it has had for years.
A short video featuring more comments from HOOPP’s CEO has been posted on hoopp.com.
About the Healthcare of Ontario Pension Plan
Created in 1960, HOOPP is the pension plan of choice for Ontario’s hospital and community-based healthcare sector with over 470 participating employers. HOOPP’s 286,000 members and pensioners include nurses, medical technicians, food services staff and laundry workers, and many other people who work hard to provide valued Ontario healthcare services.
As a defined benefit plan, HOOPP provides eligible members with a retirement income based on a formula that takes into account a member's earnings history and length of service in the Plan. Once eligible members start receiving a pension, they receive it for life.
HOOPP is governed by a Board of Trustees with representation from the Ontario Hospital Association (OHA) and four unions: the Ontario Nurses' Association (ONA), the Canadian Union of Public Employees (CUPE), the Ontario Public Service Employees' Union (OPSEU), and the Service Employees International Union (SEIU). The unique governance model provides representation from both management and workers in support of the long-term interests of the Plan.
Recent media releases from HOOPP
Retirement income adequacy blog:
- Health Care Industry
Martin Biefer, 416-369-8045
Director, Public Affairs