COLA Increase of 1.79 Per Cent

HOOPP pensioners, including deferred pensioners, will get a 1.79 per cent cost of living adjustment (COLA) on their pension entitlements on April 1.

Under HOOPP, an annual COLA equal to 75 per cent of the previous year's increase in the consumer price index (CPI) to a maximum CPI increase of 10 per cent is guaranteed on the portion of pensions attributed to service up to the end of 2005. From December 2006 to December 2007 the CPI rose by 2.38 per cent.

The Board has determined that the COLA adjustment for 2007 will be 75 per cent of the 2007 CPI for all service. This means all pensioners and deferred pensioners will receive the same 1.79 per cent increase.

HOOPP's Board of Trustees is aware of the importance of providing COLA to pensioners and has consistently worked to ensure that HOOPP pensions maintain their buying power.

Please remember that if you elected deferred pension or retired during 2007 your COLA is prorated. For example if you retired effective July 1, 2007, your COLA will be 0.90 per cent, or half of 1.79 per cent.

March 2008