New Public Service Health Care Plan Contribution Rates Effective April 1, 2016

Date: February 2016

To: Compensation Managers, Heads of Human Resources, Participating Separate Employers and Pay/pension system administrators

The purpose of this notice is to inform plan members and employers participating in the Public Service Health Care Plan (PSHCP) that new Pensioner Supplementary, Pensioner Supplementary Relief Provision and Employer contribution rate changes will come into effect April 1, 2016. These changes follow an annual rate analysis conducted to ensure the Plan’s continued sustainability.

All rates, for both members and the employer, can be found in Schedule V of the PSHCP Plan Directive on the National Joint Council (NJC) website. The new employer rate will be $113.36 for all categories of coverage.

Please note, until the new pay system is fully implemented, employees with Single level Hospital I coverage will continue to experience a one cent less employer discrepancy per month.  A corrective adjustment will occur at the end of the calendar year and before T4s are produced.

Pay and Pension system administrators have been advised of these changes to ensure the necessary programming is complete for the March 2016 payroll.

Reminder: The portion of the PSHCP contribution rate paid by the employer is a taxable benefit for members residing in Quebec.

Should you have any questions regarding this notice, please contact the Pensions and Benefits Sector at pbs-spas@tbs-sct.gc.ca.

Bayla Kolk
Assistant Deputy Minister
Pensions and Benefits Sector