The trustees of the IWA–Forest Industry LTD Plan have approved changes to the LTD trust agreement and the LTD plan text to align long term disability (LTD) coverage to weekly indemnity coverage.
Effective July 1, 2021, employees will start contributing and participating in the LTD plan at the same time they become eligible for weekly indemnity coverage under an Industry Health and Welfare Plan. For most, that means employees start contributing to the LTD plan the first of the following month after working 30 days in a 90-day period.
Once an employee starts contributing to the LTD Plan, they are covered for long term disability. However, casual and part-time employees are not eligible for LTD and are not required to contribute to the LTD plan. Here is an example under a sample Industry Health and Welfare Plan of when an employee starts participating:
|
Month 1
(days worked)
|
Month 2
|
Month 3
|
LTD contributions start
|
|
10 days
|
15 days
|
15 days
|
1stof Month 4
|
|
20
|
15
|
30
|
1stof Month 3
|
|
30
|
25
|
20
|
1stof Month 2
|
|
5
|
5
|
5
|
Has not qualified. Would qualify the 1stof the following month after the employee has worked 30 days in a 90-day period
|
Effective May 7, 2021, an employer formally becomes a participating employer when required to join the LTD plan under a collective agreement, although Participation Agreements are still required.
These changes modify any prior content in a Participation Agreement, Employer Administration Manual or other plan document. An updated contributory hours reporting guide can be found on our website. Any questions can be directed to the Plan Office at contributions@iwafibp.ca or call 1.800.663.4384.