Opinion ID: 6496026
Heading Depth: 4
Heading Rank: 2

Heading: BGC Pension Plan

Text: In furtherance of the Master Plan's provision providing for the delegation of fiduciary duties, the BGC Pension Plan provides pension benefits to individuals employed by the Boston Gas Company and its successors through provisions delegating the Plan Administrator's authority. The BGC Pension Plan was established in 1971. In 2003, after KeySpan Corporation acquired Boston Gas Company, the BGC Pension Plan was consolidated with other retirement plans maintained by KeySpan Corporation and became a component plan of the Master Plan. Since at least 1971, the provisions of the BGC Pension Plan have been amended by the Union and the Company in collective bargaining agreements. The Company's right to amend the BGC Pension Plan is subject to the terms of the CBA. Article 12 of the BGC Pension Plan outlines the Administration of the Plan and states that [e]xcept as otherwise stated in this Article 12, the administration rules of the [BGC Pension] Plan are set forth in the Master Plan. The terms of the BGC Pension Plan thus supersede those of the Master Plan where they are otherwise stated in the BGC Pension Plan. - 7 - Article 12 of the BGC Pension Plan provides for the creation of a JPC as a plan fiduciary composed of three members appointed by the Union and three members appointed by the Plan Administrator. Article 2 of the BGC Pension Plan defines the JPC as: the Committee appointed to resolve questions relating to eligibility as set forth in Article 12, and such Committee shall discharge its duties as a fiduciary in accordance with the standards established under ERISA with respect to any person who exercises any discretionary authority or responsibility in the administration of the Plan. We highlight several pertinent provisions. Under Article 12, the JPC shall have such powers as are necessary for the proper execution of its duties under the Plan, including . . . [t]o make determinations as to the rights of any Employees applying for or receiving Retirement Allowances. Article 12 sets forth a mandatory arbitration clause for disputes as follows: 12.025. Arbitration. In the event that the members of a Joint Pension Committee cannot settle any dispute, with the exception of determining whether an Employee is disabled, the whole matter will be referred to arbitration. The fees for such arbitration will be paid jointly by the parties involved. No matter regarding the Plan or any difference arising thereunder shall be subject to the grievance procedure of a Collective Bargaining Agreement. (second and third emphases added). Article 12 also provides: - 8 - 12.027. Referral Back to Parties. Any case referred to a Joint Pension Committee on which it has no power to rule shall be referred back to the parties without ruling.2