Memo from Evraz regarding Bonus Payments

The following is a memo mailed out from Evraz that outlines the steps to get paid the recently negotiated Bonus paymet either through payroll or rolled into an RRSP


On December 23, 2011, a bonus of $3,000 will be paid to all USW employees who have completed 750 hours of work in the previous twelve (12) calendar months. For those employees who have worked less than 750 hours in the twelve months prior to payment, the bonus will be pro-rated accordingly. You must still be an employee of the company to receive this bonus, actively working, collecting short term disability benefits, maternity/paternity leave or on lay-off status.

Payroll will collect the hours worked up to December 10, 2011; calculate the appropriate payment based on the hours worked; and then implement the actual payment procedure. Accordingly, it is anticipated that the money will be deposited in accounts on Friday, December 23, 2011.

Employees may have these funds placed into a Registered Retirement Savings Plan (RRSP) account held with Great West Life if requested. If employees elect to have these funds placed into the RRSP option, there will be no deductions for Income Tax. However, the Company is required to withhold CPP and Employment Insurance contributions. Consequently, the net payment into the RRSP may be less than $3,000.00 for individuals who have not maxed out on the CPP and Employment Insurance contributions. It is our understanding that if you are collecting Employment Insurance, YOU MUST REPORT THIS BONUS AS INCOME TO SERVICE CANADA, EVEN IF YOU PLACE THE MONIES INTO AN RRSP ACCOUNT, AS IT IS CONSIDERED INCOME RECEIVED IN THE 2011 TAXATION YEAR.

If you wish to have the bonus deposited into an RRSP account, you must complete the Application for Membership in a Retirement Savings Plan form and send it directly to Human Resources NO LATER THAN DECEMBER 14, 2011, 5:00 p.m. Application forms are available from Security, Main Office and/or Human Resources.

NOTE: Employees who are laid-off can request that these funds be paid upon being recalled to work so their Employment Insurance benefits are not affected. However, these funds will only be paid upon recall, not sooner. Those employees wishing to delay payment of this bonus due to being laid-off, please contact the Payroll Department NO LATER THAN DECEMBER 14, 2011, 5:00 p.m. at 306-924-7725 – Wendy; 306-924-7646 – Howard; or 306-924-7640 – Lynn.

Should you have any additional concerns, please contact your Human Resources