Benefits » Retirement » TCP1 FAQs
TCP1 FAQs
- Has the TCP1 pension continued under the same terms as before the June 1, 2006, contract change from the University of California to LANS?
- Because the University of California Retirement Plan (UCRP) is a public entity pension plan, it contains certain provisions that cannot be replicated under the Employee Retirement Income Security Act (ERISA), as amended, which governs private sector pension plans. Therefore, the TCP1 pension plan is not identical to the UCRP. However, although LANS cannot guarantee what will happen in the future, it should be noted that at other sites within the NNSA/DOE weapons complex, neither the contractors nor NNSA/DOE have mandated significant changes to these plans for vested employees after other transitions. According to its management contract, LANS is required to consider amending the TCP1 pension plan consistent with changes to the UCRP.
- Will employees ever have to contribute to the TCP1 plan?
- The TCP1 plan provides for future employee contributions, if required, in a manner similar to the UCRP. However, LANS has no current plans to require employees to contribute to the pension plan.
- Does LANS have a maximum retirement age?
- No, LANS does not stipulate a maximum retirement age.
- Will vested LANS employees in TCP1 be able to go inactive if their employment ends at LANS? Employment could end because the employee chooses to leave or because of downsizing or loss of funding.
- If employment with LANS terminates, you will be eligible for a benefit upon reaching retirement age if you are vested in the plan.
- TCP1 considers the highest continuous 3 years of income. Does ERISA have different compensation limits than under UCRP?
- HAPC and compensation limits are determined the same way in both plans.
- Will a TCP1 participant be allowed to retire but delay annuity payouts until a future date?
- Yes.
- How secure will the new pension plans be over time?
- Should the LANS Pension Plan 1 become underfunded, contributions by LANS to maintain legally required funding status would be a reimbursable expense under the LANS contract. Also, Pension Plan 1 will be insured by the Pension Benefit Guaranty Corporation.
