‘I have deep appreciation for those who transformed CAAT into one of Canada’s most respected and innovative pension plans,’ Dobson told BPM
The CAAT Pension Plan governance saga has officially come to an end.
According to CAAT’s press release, released Friday, the CAAT Pension Plan has announced the immediate departure of CEO and plan manager Derek Dobson, along with the appointment of a new senior leadership team drawn entirely from within the organization.
CAAT said it has reached a settlement agreement with Dobson that brings closure to his employment at the Plan. Under the terms of the agreement, Dobson resigned, effective immediately, and will repay his 2025 vacation payout to CAAT.
"Both Mr. Dobson and the CAAT Board of Trustees acknowledge the importance of moving forward in a manner that supports the long-term health of the Plan and the beneficiaries it serves," the Plan said in a statement.
In a statement to Benefits and Pensions Monitor, Dobson confirmed his departure “with deep pride” in what the Plan and Dobson accomplished together.
“I have deep appreciation for those who transformed CAAT into one of Canada’s most respected and innovative pension plans,” said Dobson. “Together, we launched internationally award‑winning programs such as DBplus and GROWTHplus, strengthened the Plan’s funded status, and most importantly helped members and employers across Canada meet their goals. I am grateful for the trust placed in me over the years and the many milestones we achieved together.”
While Dobson didn’t specify next steps, he said he remains passionate about “strengthening retirement income security for Canadians. There is more important life-changing work to be done,” he added.
CAAT's new leadership structure
Acting CEO and plan manager Kevin Fahey, who will also continue to serve as chief investment officer, has assembled a five-member leadership team tasked with executing on the Plan's strategy, restoring stakeholder trust, and delivering on CAAT's pension promise to members and sponsors.
The newly appointed leaders, all existing CAAT employees, are Laura Foster, interim chief financial officer; Jillian Kennedy, chief operating officer; James Fera, chief legal officer and general counsel; John Baiocco, senior vice president, funding and sustainability and Stephen Hewitt, senior director of communications.
“While the Plan has recently undergone a period of significant change, I am proud that these five senior leaders are all existing CAAT employees who will drive stability and institutional continuity while leveraging their strong internal relationships to engage and inspire our teams as they serve our member constituents every day,” said acting CAAT CEO and plan manager Kevin Fahey.
Additionally, CAAT also noted they are still searching for a chief human resources officer.
Plan remains well-funded
Despite the leadership upheaval, CAAT emphasized that it remains one of Canada's most sustainable and well-funded pension plans. Its most recent independent valuations show the Plan at a 124 per cent funded status, meaning that for every dollar of pension benefits promised to members, the Plan holds $1.24 in assets.
With more than $23 billion in assets and over $6 billion in funding reserves, CAAT said it is well positioned to withstand market volatility, demographic change, and other risks.
The leadership transition marks the latest development in a period of significant organizational change at CAAT, as the Plan moves to shore up governance and rebuild confidence among its members and sponsors.
CAAT also thanked the Financial Services Regulatory Authority of Ontario (FSRA) for what it described as "constructive engagement" as the Plan continues to strengthen its governance and oversight.
