Update for CCAC members regarding the Pension Class Action Lawsuit

Update for CCAC members regarding the Pension Class Action Lawsuit

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NOTICE OF HEARING

TO EXPAND THE CLASS AND APPROVE A PROPOSED SETTLEMENT OF CLASS PROCEEDINGS REGARDING THE PENSION PLAN OF EMPLOYEES TRANSFERRED TO CCACs

SCHEDULE “A” – LONG FORM NOTICE

TO:      ALL PERSONS WHO WERE MEMBERS OF OPSEU, ONA, OR ANOTHER UNION, BETWEEN 1996-1998, AND WORKED AS EMPLOYEES FOR MUNICIPALITIES OR OTHER EMPLOYERS PROVIDING HOME CARE SERVICES AND WHO WERE THEN  TRANSFERRED TO A COMMUNITY CARE ACCESS CENTRE (“CCAC”) BETWEEN 1996 AND 1998 THEREBY CONTINUING THEIR EMPLOYMENT WITHOUT INTERRUPTION, AND CONSEQUENTLY HAVE BEEN A MEMBER OF THE HOSPITALS OF ONTARIO PENSION PLAN (“HOOPP”)

PLEASE READ THIS NOTICE CAREFULLY AS IT MAY AFFECT YOUR RIGHTS

Background

In 2005 and 2007, two class actions were certified in the Ontario Superior Court of Justice (the “Court”) against the Government of Ontario.  These actions were brought by Sue McSheffrey and Diane Leclair on behalf of unionized employees working for municipalities or other employers who were transferred to a Community Care Access Centre (“CCAC”) without interruption.  In these actions, McSheffrey and Leclair alleged that the Government represented that the unionized employees would suffer no losses to their pensions with this transfer.  McSheffrey and Leclair alleged that these employees did and will suffer losses as members of HOOPP and that the Government is responsible for those losses.  If you were a member of the Ontario Public Service Employees’ Union (“OPSEU”) or the Association of Allied Health Professionals of Ontario (“AAHP:O”) before and after you were transferred to a CCAC, you were one of the people affected by McSheffrey’s action (the “McSheffrey Class”).  If you were a member of the Ontario Nurses Association (“ONA”) before and after you were transferred to a CCAC, you were one of the people affected by Leclair’s action (the “Leclair Class”).  If you worked as nurse and you were transferred to a CCAC but you do not fall within the McSheffrey or Leclair Classes, because you were represented by another union when you were transferred, you may still be affected by this Notice.  PLEASE READ THIS NOTICE CAREFULLY.

Settlement Reached 

Over many years of proceedings, the law firms representing the two class members spent hundreds of hours examining thousands of documents, examined witnesses, and consulted with experts.  The parties then agreed to mediate the actions with George Adams, Q.C., a retired Judge and respected mediator.  After two days of negotiations, a tentative agreement was reached, subject to court approval.  Further discussions also resulted in a final settlement that expands the settlement to cover more individuals (the “Proposed Settlement”).

In the Proposed Settlement, the Government will pay $7.5 million (the “Settlement Amount”) into a fund that will be used to pay a total of $6.5 million plus interest in settlement benefits to Class members, $750,000 in legal fees including taxes and disbursements, and $250,000 for administration of the Settlement.  The $6.5 million plus interest will be divided so that each eligible Class Member will receive an equal amount.  The exact amount each Class Member will receive is not precisely known and depends on many factors, including how many Class Members ultimately apply to receive their equal share.  If the settlement is approved by the Court, we anticipate the amount to be about $2,700.00 per Class Member.

On November 28, 2012, the parties will be seeking an order from The Honourable Justice Horkins of the Court approving the Proposed Settlement.

Who is Now Covered by the Proposed Settlement 

The Proposed Settlement affects several groups of people described here:

  • You are a member of the McSheffrey Class if: (a) you worked for a municipal or other home care service provider; (b) you were transferred to a CCAC without interruption; (c) and, you were a member of OPSEU or the AAHP:O at the time you were transferred to a CCAC.
  • You are a member of the Leclair Class if: (a) you worked for a municipal or other home care service provider; (b) you were transferred to a CCAC without interruption; (c) you were a member of ONA at the time you were transferred to a CCAC.
  • As a member of the McSheffrey or Leclair Classes, you were given a chance to opt out of these two class actions in 2005 and 2007-2008, respectively.  If you opted out, you will not benefit from the Proposed Settlement and this Notice does not affect you.  If you did not opt out, you are still part of the McSheffrey or Leclair Classes and this notice affects you.

Under the terms of the Proposed Settlement, McSheffrey and Leclair will seek from the Court on November 28, 2012 an Order to represent some employees who are not currently members of the two classes (the “New Class Members”).  You are a New Class Member if you fall in one of the following two groups of employees:

(a) You worked for a municipal or other home care service provider;

 

(b) You were transferred to a CCAC without interruption;

 

(c) You were a member of the Civic Institute of Professional Personnel or the Canadian Union of Public Employees at the time you were transferred to a CCAC; and,

 

(d) in 2007 you became a member of OPSEU.

(a) You worked for a municipal or other home care service provider;

 

(b) You were transferred to a CCAC without interruption;

 

(c) You were a member of a union other than OPSEU or ONA at the time you were  transferred to a CCAC; and,

 

(d) at some point after the transfer you became a member of ONA.

If you meet all of these 4 criteria, McSheffrey proposes to represent you.

If you meet all of these 4 criteria, Leclair proposes to represent you.

 

Your Right to Opt-Out if You are a New Class Member Only 

If you are a New Class Member and you want to remain a New Class Member, YOU DO NOT NEED TO DO ANYTHING.

If you are a New Class Member and you want to exclude yourself from the McSheffrey or Leclair actions, you must OPT OUT.  You can opt out by either completing the Opt Out coupon below and sending it to any of the Law Firms listed below OR by sending a legible, written, and signed request containing substantially the same information as in the Opt Out coupon.  The Law Firms must receive your Opt Out coupon or request by July 23, 2012.

The Hearing to Approve the Proposed Settlement 

On November 28, 2012 at 361 University Avenue, Toronto, Ontario, M5G 1T3, the Court will be presented with the terms of the settlement and will determine whether the terms are fair, reasonable, and in the best interests of Class Members (the “Approval Hearing”).  The materials that will be used to support the settlement can be found at www.CCACpensionclassaction.com.  These materials include the Proposed Settlement Agreement, a detailed analysis of the risks involved with proceeding with the litigation, statements from McSheffrey and Leclair agreeing with the settlement, and statements from Class Counsel explaining the reasoning behind the calculation of the settlement benefits.

If you have not opted out of the actions, you are entitled to appear and make submissions at the Approval Hearing.  However, you are not required to make submissions or take any other action if you wish to participate in the settlement.  If you do nothing, you will be included in the settlement (if it is approved) and you will receive your payment. If you wish to comment on or make an objection to the settlement, a written submission should be delivered to Class Counsel (contact information below) no later than one week prior to the date of the Approval Hearing.  Class Counsel will forward all such submissions to the Court.  If you do not file a written submission, you will not be entitled to participate in the Approval Hearing.

At the Approval Hearing, Class Counsel will be seeking approval of their fees and expenses.  McSheffrey has entered into an agreement with her lawyers which consists of an hourly fee agreement for a portion of the work and a further agreement whereby fees and disbursements related to the trial of the common issues will be payable only in the event of success in the class action, including a successful settlement.  Leclair entered into an hourly fee agreement with her lawyers.  Any fees and disbursements charged by the lawyers for McSheffrey and Leclair must be approved by the Court.

Addresses for Notices and Opt Outs 

All opt outs and notices required by this Notice should be sent to the following addresses of the lawyers representing McSheffrey and Leclair:

FOR NOTICES BY ANY CLASS MEMBER REPRESENTED BY MCSHEFFREY

FOR NOTICES BY ANY CLASS MEMBER REPRESENTED BY LECLAIR

Ursel Phillips Fellows Hopkinson LLP

30 St. Clair Avenue West, 10th Floor

Toronto, Ontario

M4V 3A1

Email: jstephens@upfhlaw.ca

Cavalluzzo Hayes Shilton McIntyre & Cornish LLP

474 Bathurst St., Suite 300

Toronto, Ontario

M5T 2S6

Email: skind@cavalluzzo.com

 

For Further Information

Further information can be obtained at the website www.CCACpensionclassaction.com.

THIS NOTICE HAS BEEN APPROVED BY THE COURT.

Order of Justice Horkins
Questions and Answers
Signed Minutes of Settlement
The Opt Out FormBlank Spacer