During the course of your career in the public service, you may decide to take an unpaid absence from work for personal or other reasons. The following information is intended to help you understand how your pension and benefits will be affected.

You may want to know...

• Do you continue to contribute to the pension plan during periods of leave without pay?
• How much do you contribute to the pension plan?
• Can you choose not to count your period of leave without pay for pension purposes?
• Can you choose not to count your period of leave without pay for pension purposes and then change your mind?
• Are there limits on how much leave without pay may be counted for pension purposes?
• Are you still covered under your insurance benefits plans during a leave of absence?
• Do you continue to pay your service buyback payments while on leave without pay?

Do you continue to contribute to the pension plan during periods of leave without pay?
Yes. You continue to contribute to the pension plan for the first three months of your leave without pay. After that period, there are options that you can review with your Compensation Advisor.

How much do you contribute to the pension plan?
The amount that you contribute to the pension plan depends on the duration of your leave.

• If you go on leave without pay for less than three months, you will still contribute at the same rate and the pensionable service will be credited to you.
• If you go on leave without pay for more than three months, you will contribute at the same rate for the first three months of the leave period and at either the same rate or a double rate for the balance of the leave, depending on the type of leave.

Can you choose not to count your period of leave without pay for pension purposes?
Yes. For periods over three months, you may choose not to contribute to your pension plan. After that period, there are options you can review with your Compensation Advisor.

Can you choose not to count your period of leave without pay for pension purposes and then change your mind?
Yes. Costs will differ in the case where you initially opted not to count leave without pay, but then choose to count it later in your employment. For more information, contact your Compensation Advisor for your specific situation.

Are there limits on how much leave without pay may be counted for pension purposes?
Yes. The Income Tax Act places restrictions on the total periods of leave without pay that can be treated as pensionable during an individual's career. The maximum permitted is 5 years, excluding sick leave without pay. However, you may also be credited with an additional three years of leave without pay for parenting purposes. The 5-year maximum may also be exceeded for "on-loan" situations where the services of a public service employee are loaned out to another employer. For more information, consult your Compensation Advisor for your specific situation.

Are you still covered under your insurance benefits plans during a leave of absence?
Yes. Coverage under your various insurance benefits plans may be extended during a leave of absence. The following plans provide a summary of the conditions and reasons for which your coverage may be extended:

• Public Service Health Care Plan (PSHCP)
• Public Service Dental Care Plan (PSDCP)
• Disability Insurance (DI) Plan
• Public Service Management Insurance Plan (PSMIP)

Do you continue to pay your service buyback payments while on leave without pay?
Yes. Service buyback payments must be made on an on-going basis during the period of your leave without pay. The use of the Service Buyback Payment Transmittal for Plan Member on Leave Without Pay (PDF 119 KB, Help for PDF file) is recommended when forwarding your payment(s) to the Public Service Pension Centre.