Change to process – moving to Retained Benefit

Effective 19 August 2019, the process to transfer Accumulation Section members to the Retained Benefit Facility or pension account or out of the Plan is changing. 


And, effective 14 October 2019, the process is also changing for Defined Benefit members.

We’ve recently communicated to all members letting them know that the process that occurs if they decide to leave the Alcoa Plan is changing.

When deciding to stop working for Alcoa and remaining in the Alcoa of Australia Retirement Plan (the Plan) as a Retained Benefit Facility member, member’s continue to enjoy many of the same benefits as an Alcoa employee member including value for money fees and the retention of death cover. 

When deciding to leave, the member’s account balance is automatically transferred to the Retained Benefit Facility in the Plan.  This account will then be credited with the benefits from the Plan, plus any other super that is also rolled over.

Previously when a member leaves Alcoa, the total benefit is transferred into the Enhanced Cash investment option from the date a member leaves employment until the date that the funds are transferred to the new account.  As the Plan administrator is not advised of an exit until the final super contribution is paid, this process may take 4 to 6 weeks to complete. 

What does this change mean for Accumulation members?


During the period between the date of leaving Alcoa and the date the benefit is transferred to the Retained Benefit Facility or pension account or out of the Plan, the benefits will continue to be invested in the members existing investment selection.

It’s important that members are aware of their investment choice prior to leaving the Plan, as no investment switching is possible after the date a member leaves Alcoa until their account is established in the Retained Benefit Facility or Pension Section.

What does this change mean for Defined Benefit members?


During the period between the date of leaving Alcoa and the date the benefit is transferred to the Retained Benefit Facility or pension account or out of the Plan:
 

  • The Defined Benefit will be transferred into Enhanced Cash in line with the current process, however
  • The supplementary account benefits will continue to be invested in the members existing investment selection (if made).


It’s important that members are aware of their investment choice prior to leaving the Plan, as no investment switching is possible after the date a member leaves Alcoa until their account is established in the Retained Benefit Facility or Pension Section.

Where to access additional information?


For further information, refer to the factsheet Leaving Alcoa.


Alternatively, contact the Alcoa Helpline for more information on 1800 355 028. 

The information in this notice does not take into account your personal objectives, financial situation or needs. Before making any decisions about your superannuation and insurance cover in the Plan, we recommend you consider the appropriateness of it, read the Product Disclosure Statement and seek advice from a licensed financial adviser who can help you make a decision about your super in the context of your personal financial situation. Issued by Alcoa of Australia Retirement Plan Pty Ltd ABN 80 065 702 454 RSE Licence L0002974 as Trustee of the Alcoa of Australia Retirement Plan ABN 80 928 800 255 Registration No. R1057058

27 September 2019