Mr. Robert Tellier reports

MANULIFE VRSP AVAILABLE TO OVER 50,000 QUEBEC ORGANIZATIONS; QUEBEC LEADS AS FIRST PROVINCE IN CANADA TO IMPLEMENT A POOLED REGISTERED PENSION PLAN - CALLED A VOLUNTARY RETIREMENT SAVINGS PLAN

The Regie des rentes du Quebec has approved Manulife Financial Corp.'s voluntary retirement savings plan (VRSP) product. That means July 17, 2014, will mark the first time over a million Quebeckers will have access to a workplace savings plan with a VRSP offered by Manulife.

"Our research shows that over 40 per cent of workers in Quebec are without a workplace savings plan, and Manulife's VRSP can help fill the gap," said Robert Tellier, regional vice-president. "With Manulife's VRSP and its innovative, on-line e-application process, organizations can offer a workplace savings plan to their employees that is simple, affordable and easy to maintain. Most of the administrative work is with Manulife, not the employer."

A recent Manulife study found that a majority of Quebec's small-business owners feel they have an obligation to help employees save for retirement. A Manulife VRSP offers small businesses the chance to do this.

Manulife's VRSP will take the administration burden off the employer by:

• Monitoring the eligibility of employees;
• Automatically enrolling employees as they become eligible;
• Sending an employee notification package to each employee once they've been enrolled;
• Collecting employees' instructions if they choose not to participate in the plan;
• Collecting members' contribution rate instructions and communicating monthly to employers through the secure website.

Flexible sales approach

Manulife has developed two distinct sales models for its more than 2,200 group and life-licensed advisers in Quebec to choose from, when selling the VRSP.

The introduction model allows an adviser to reach out to clients about the VRSP and then forward the contact information of all interested clients to Manulife to complete the sale. The full-service model enables advisers to manage the entire application process with their clients. Advisers can select the model that meets their own specific needs, with compensation either way.

Employers can also self-serve by purchasing a Manulife VRSP using a dedicated phone number or through Manulife's VRSP website, which has been designed for quick and easy plan set-up.

Forward-thinking, integrated payroll solutions

Manulife has partnered with Sage North America and Ceridian Canada to offer an integrated payroll/VRSP option. Employers have the ability to bundle their VRSP with complementary software and payroll services into one complete package for an easy, seamless blending of business processes.

VRSP-dedicated team in Quebec

In preparation for the launch of the VRSP, Manulife has invested heavily in Quebec's economy by locating its VRSP operations in Montreal. The sales support centre includes staff who are trained to manage day-to-day plan administration, adviser and consumer phone support, and a team of VRSP consultants to help advisers and employers who need face-to-face support.

In September, 2013, Manulife was the first Canadian company to be issued a licence to be a PRPP (pooled registered pension plan) administrator by the Office of the Superintendent of Financial Institutions (OSFI).