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After 5 years, a senior Ontario hospital HR official renegotiated the severance provisions of his contract that would have actually paid him a higher bonus if his employment was terminated. Later, when he retired, he claimed that the “retention bonuses” he got under the deal were pensionable income toward his retirement pension. The court disagreed. The pension plan defined “pensionable earnings” as amounts that “form a regular and integral part of the member’s remuneration.” The retention bonuses, the court explained, were one-time payments that weren’t expected to be made on a regular basis [Shaw v. Healthcare of Ontario Pension Plan, [2012] O.J. No. 3193, July 2, 2012].
