Tell employees once the details are confirmed in writing, and say it plainly: what is changing, what is staying the same, what they need to do and by when, and where to get help. Most switches need three messages: an announcement, a reminder before any action or enrolment deadline, and a short note once the first payroll has gone to the new provider. A sample announcement is below. Fill in each bracket only with facts the providers have confirmed.
This is for the HR lead or owner who has to write the announcement. Employees' retirement savings are personal, and a change to where they are held can worry people even when the reasons are good. The previous plan was set up with good intentions, and the note doesn't need to criticize it. Clear, confirmed facts do more to settle people than reassurance. The switching guide covers the steps around the announcement.
When should you tell employees?
After the key points are confirmed in writing, and early enough that employees have time to act. The confirmed points usually include the new provider, the dates, what employees need to do, whether the match or plan rules change, and how existing savings will move.
Announcing before those answers exist invites questions you can't answer yet. Waiting too long squeezes the time employees have for enrolment or forms. Agree the announcement date with both providers as part of the transition plan.
What will employees ask?
Expect these questions, and have a confirmed answer for each before you send anything:
- Is my money safe? Explain who holds the accounts now, who will hold them after the move, and how the transfer works.
- Do I need to do anything? Say exactly what action is needed, how, and by when. If nothing is needed, say that too. Bulk transfer or individual T2033s explains what employees may be asked to sign.
- Is my match changing? Say whether the contribution rules, match and eligibility stay the same. If something changes, say what and from when.
- Will my money stay invested? Ask the providers first. If holdings are sold and moved as cash, money may be out of the market during the transfer. Don't promise otherwise. The payroll and investments post explains what to ask.
- What happens to my fees? Employees pay the fees in a group RRSP, so they have a fair interest in this. If the fees change, describe it in the providers' written terms. Don't estimate savings.
- Will I get a new login or app? Usually, yes. Say when access opens and how to set it up.
- Who do I ask? Give one internal contact for process questions and the provider's route for account and investment questions.
What are the three messages?
1. The announcement. What is happening, why, the key dates, what stays the same, what changes and what employees need to do. The sample below is this message.
2. The reminder. Sent before any enrolment session or form deadline. Short: what to do, how, the deadline, and the help route.
3. The confirmation. Sent after the first payroll deduction has reached the new provider and been checked. Tell employees their contributions are now going to the new account, when existing balances arrived or will arrive, and where to look for statements.
A sample announcement
Replace each bracket with a confirmed fact. Delete any line you can't confirm yet, rather than guessing.
Subject: Our group RRSP is moving to [new provider] on [date]
Hi everyone,
We're moving our group RRSP [and DPSP] from [current provider] to [new provider]. [One or two sentences on why, in plain words. For example: "We reviewed the plan this year and decided the new arrangement is a better fit for our team."]
What stays the same
- [Your contribution rate and our match, if confirmed]
- [Who is eligible and when, if confirmed]
What changes
- [Your account will be with [new provider], with a new login or app]
- [Any confirmed change to plan rules or investment options, and when it starts]
What you need to do
- [The action, how to do it, and the deadline. Or: "Nothing. Your account will be moved for you."]
Your current savings [How existing balances will move and roughly when. If investments will be sold and moved as cash: "While the money is moving, it may be out of the market for a short time."]
Key dates
- [Last payroll deduction to [current provider]]
- [First payroll deduction to [new provider]]
- [Enrolment or information session dates]
Questions For questions about the change, contact [name, internal contact]. For questions about your account or investments, [new provider's member support route]. [Session details.]
[Name] [Title]
What should you leave out?
- "Nothing will change." Something always changes, even if it is only the login. Say what changes and what doesn't.
- "Your money stays invested the whole time," unless both providers have confirmed it in writing.
- Fee savings or percentages. Describe confirmed terms; don't predict outcomes.
- Investment suggestions. Employees' investment choices are theirs. Point them to the provider's appropriately registered professionals for individual questions.
- Criticism of the old provider. It doesn't help employees, and the people who set up the plan were trying to look after them.
Who helps employees through the change?
The incoming provider's team usually runs enrolment, often as virtual sessions. Ask what they provide and when.
How RiskX helps HR through a provider change
For the employers RiskX works with, the announcement isn't something HR has to write from a blank page. RiskX provides templates like the one above and walks HR through the onboarding steps: what to send, when, and what to confirm first.
Once the go-live date is set, RiskX works with HR on a printed employee retirement booklet, branded as your company, ready before the plan goes live. RiskX pays for it. We start from the template we use with most of our clients, show it to you, and add or remove whatever you want. We send extra copies for future hires, and when you need more, give us a bit of notice and we'll print and mail them at no additional charge.
The booklet is meant to be kept and used, not filed away. It covers how the plan works, how to contribute, and how employees reach the provider's support. A statement shows a balance once a year; a booklet on someone's desk is a reminder of what the plan is worth to them the next time they wonder. To see whether employees are using the match, the match you offer and the match your people actually take shows how to check.
Questions employers ask
Should the note come from the owner or from HR? Either can work. A note from the owner shows the decision has leadership behind it; HR is usually the better contact for questions. One option is both: signed by the owner, with HR named for questions.
Do we have to explain why we're switching? A short, honest reason helps. Employees don't need the full review, and a reason like "we reviewed the plan and found a better fit for our team" is enough if it is true.
What if employees don't do what we ask? Ask the providers before you announce what happens to an employee who misses a deadline or doesn't enrol. Put that answer in the reminder.
Should we tell employees about the fees? If the fees employees pay will change, it is fair to say so, using the providers' written terms. Don't estimate savings or promise better returns.
RiskX helps employers understand group RRSP and DPSP questions, connect with relevant providers and coordinate agreed support. The employer retains responsibility for its plan. RiskX does not provide legal, tax or securities advice, recommend individual investments or guarantee compliance, savings or investment outcomes. Confirm plan-specific questions with the appropriate provider or qualified adviser.
The existing-plan review explains the starting conversation. RiskX's current group-retirement service is for employers outside Quebec.