Contributory Retirement Plan
CONTRIBUTORY OR NON-CONTRIBUTORY RETIREMENT PLAN
Right to contributory retirement plan
Where both the employer and the employee contribute to a retirement fund in accordance with a CBA or other applicable employment contract, the employer’s total contribution thereto should not be less than the total retirement benefits to which the employee would have been entitled had there been no such retirement fund. In case the employer’s contribution is less than the retirement benefits provided under the law, the employer should pay the deficiency.
Right to non-contributory retirement plan
The employees have a vested and demandable right to a non-contributory retirement plan. It is an existing benefit voluntarily granted to them by their employer. The latter may not unilaterally withdraw, eliminate or diminish such benefits.