LAPP Corporation is the administrator and trustee of the Plan. The Plan’s sponsors, the employees (LAPP members) and employers (LAPP employers) who contribute into the Plan, appoint representatives to the Corporation’s Board of Directors and the Sponsor Board.
Each of these bodies within LAPP’s governance structure play an integral role in ensuring the LAPP fund is secure and that your pension will be there when you retire. A notable aspect of LAPP’s joint governance is that equal say is given to Plan sponsors who also jointly share the risks.
The Boards and the Corporation management focus on what is good for LAPP members and the Plan’s health and sustainability. These are the elements that make up LAPP’s present-day governance structure:
LAPP Governance Structure
The Sponsor Board and LAPP Corporation, together with its Board of Directors, have a unique set of responsibilities:
- Makes decisions related to Plan design, including pension benefits and eligibility rules;
- Sets LAPP’s contribution rates;
- Determines the Plan’s Risk Appetite and sets the Funding Policy;
- Establishes and maintains the LAPP Plan Text; and
- Meets with a dedicated group of sponsor representatives called the LAPP Stakeholder Consultation Group (SCG) — if your employer or employee group is interested in participating in the SCG by providing valuable feedback at the twice yearly meetings, please email email@example.com.
LAPP Corporation and its Corporate Board
- Oversee the LAPP fund;
- Establish the Statement of Investment Policies and Procedures (SIPP);
- Set the investment asset mix;
- Maintain LAPP’s robust, enterprise-wide risk-management system;
- Arrange for the yearly actuarial valuation to be performed on the Plan;
- Set and execute strategic and operational plans;
- Oversee and evaluate LAPP’s service providers (currently AIMCo and APS); and
- Set the strategic direction for Plan communications and communicates with all LAPP stakeholders, including members and employers.
LAPP is registered under the Alberta Employment Pension Plans Act (EPPA), and the LAPP Plan Text is our legal governing document detailing the benefits and administration rules of LAPP.