CAAT Puts Derek Dobson on Leave, Names Kevin Fahey as Acting CEO and Plan Manager
The CAAT Pension Plan has placed chief executive officer Derek Dobson on administrative leave, installed an acting CEO and appointed a new chair and vice-chair to its board of trustees as a governance crisis at the $23-billion pension plan has spurred an overhaul of its leadership.
Mr. Dobson is being sidelined, effective immediately, after some of the plan’s top executives raised concerns about his conduct as well as oversight by CAAT’s board of trustees, setting off multiple investigations into possible governance failures.
Kevin Fahey, who was promoted to chief investment officer in late January, has been appointed as CAAT’s acting CEO and plan manager, CAAT said in a statement on Friday.
The pension plan also named trustee Audrey Wubbenhorst as its new board chair, and Janet Greenwood as vice-chair.
Previous board chair Don Smith was removed from his role earlier this month by the labour group that appointed him, the Ontario Public Service Employees Union (OPSEU), days after The Globe and Mail reported that concerns about board oversight and decision-making had spurred investigations into the plan’s governance.
Kareen Stangherlin, the previous vice-chair, has resigned as a CAAT trustee, the pension plan said Friday.
“The CAAT board of trustees has determined that these changes are in the best interests of the plan and are necessary to restore stakeholder trust in CAAT’s leadership, governance and plan management,” Ms. Wubbenhorst said in a statement.
She added that Mr. Fahey is “a veteran CAAT executive” who has worked at the plan for more than 16 years and is well suited “to lead the organization through the current period of significant change.”
As recently as last week, a CAAT spokesperson said the pension plan’s board of trustees continued “to have confidence” in Mr. Dobson and his ability to lead the organization.
But CAAT’s board met on Wednesday evening, two sources said, setting in motion the latest changes to the pension plan’s leadership.
The Globe is not identifying the sources because they are not authorized to discuss internal matters.
CAAT is a multiemployer pension plan that serves Ontario’s colleges and more than 800 public- and private-sector employers. It has a total of about 125,000 members. The Globe has been a participating employer in CAAT since 2022.
Mr. Dobson had been CAAT’s CEO since 2009, and faced scrutiny over a $1.6-million vacation payment he received last year that was at odds with company policy, as well as the handling of a personal relationship he had been having with a CAAT employee for more than a year.
The vacation payout, made as compensation for unused time off, was the third such payment Mr. Dobson received over a period of several years, sources said. The board approved those payments despite internal guidelines that limit how much vacation time CAAT employees can carry over or have paid out.
CAAT’s board also allowed Mr. Dobson’s workplace relationship to continue, putting guardrails in place to try to prevent perceived conflicts of interest, but it remained a point of tension among the plan’s staff.
An external expert hired by CAAT in December has been conducting a governance review that is expected to be completed later in February.
“The governance-related issues subject to the review do not affect the Plan’s financial health or its ability to deliver secure, predictable pensions to members,” CAAT’s statement said.
The most recent financial disclosures for CAAT said the plan has a 124-per-cent funded status, meaning that it has $1.24 in assets for every dollar it expects to pay to members in pension benefits.
The Financial Services Regulatory Authority of Ontario – which oversees the province’s pension plans – has also been probing what took place at CAAT and speaking with employees in recent weeks, two sources said.
With Mr. Dobson on leave, nearly all of CAAT’s senior leadership team has changed or left the plan over the past four weeks, leaving a leadership void that must now be filled by a board that has also come under pressure.
It has been a jarring period for CAAT, as Mr. Dobson has been the public face of the plan through a period of ambitious expansion that brought employers from a number of different industries on board. Morale at the plan has taken a major hit as long-tenured, senior leaders departed with little explanation, four sources said.
“We have gone through a lot recently, and many CAATsters have been understandably upset by it all,” CAAT said in an internal e-mail to employees on Friday. “The board determined the best way to restore stability was through this change.”
The turmoil at CAAT first came to a head internally in November, when three of the pension plan’s top executives approached the board with a number of concerns about governance, urging trustees to investigate them, multiple sources said.
The internal tensions only spilled into public view in January when those three executives – chief investment officer Asif Haque, chief financial officer Mike Dawson and chief pension officer Evan Howard – abruptly left the plan on Jan. 19.
CAAT promoted Mr. Fahey to CIO and appointed Scott Blakey, who had only recently stepped down from CAAT’s board, as interim executive vice-president and chief people and culture officer. Chief strategy officer Jillian Kennedy remained in place.
Matthew Sellers of HR Reporter also reports CAAT Pension Plan CEO put on leave as board launches governance overhaul:
CAAT Pension Plan has sidelined its long‑time CEO and reshuffled its board leadership as it navigates an ongoing governance review tied to a vacation payment made to the top executive.
The board of trustees confirmed that CEO and plan manager Derek Dobson has been placed on administrative leave, effective immediately, while it moves to “restore stakeholder trust in CAAT’s leadership, governance and plan management.”
To provide continuity, the board has elevated chief investment officer Kevin Fahey to acting CEO and plan manager. Fahey has spent more than 16 years with CAAT and has been a key figure in building the plan’s investment strategy.
CEO removed, CIO steps in at CAAT
In addition to his role at CAAT, Fahey sits on the investment committee for the Teachers' Pension Plan Corporation of Newfoundland and Labrador, and has previously chaired both the Pension Investment Association of Canada and the Salvation Army of Canada’s Investment Advisory Committee. He holds a commerce degree from Queen’s University, an LL.B. from Osgoode Hall Law School and is a CFA charter holder.
Board chair Audrey Wubbenhorst said the leadership changes are intended to steady the organization through a sensitive period.
“The CAAT Board of Trustees has determined that these changes are in the best interests of the Plan and are necessary to restore stakeholder trust in CAAT’s leadership, governance and plan management. Kevin is a veteran CAAT executive with a strong track record of high performance and his extensive experience and institutional knowledge make him ideally suited to lead the organization through the current period of significant change.”
The recent exits follow other changes in CAAT’s leadership. The plan’s CHRO left in June 2024, and its senior vice‑president of technology and IT services management as well as its head of policy and government relations departed earlier this year, according to the Globe.
Julie Giraldi was CHRO at CAAT from 2020 to 2025, according to her LinkedIn profile
New chair and vice‑chair take the helm
The governance shakeup extends beyond the CEO’s office. Wubbenhorst, an employee‑appointed trustee since 2023 and co‑chair of the finance and administration committee, has been named chair of the board, succeeding Don Smith.
Wubbenhorst is a communications faculty member at Humber Polytechnic and previously spent more than a decade at BMO Bank of Montreal in HR, communications and commercial banking. She has also served as a school trustee and on multiple boards, including Humber Polytechnic, Toronto Community Housing Corporation, Holland Bloorview Hospital’s Research Ethics Board and CNIB Lake Joe’s Advisory Board. She holds an MA, an MBA and the ICD.D designation.
Employer‑appointed trustee Janet Greenwood, who joined the board in 2023, steps into the vice‑chair role following the resignation of former vice‑chair and trustee Kareen Stangherlin.
Governance review tied to CEO’s vacation pay
The leadership changes come as CAAT’s board oversees an independent review of its governance policies, procedures and practices. The review was initiated after concerns surfaced over a vacation payment involving the CEO.
The board has emphasized that the governance issues under examination are not related to the plan’s funding strength or its ability to pay benefits, and says it expects the external review to wrap up later in February.
“Good governance is the backbone of a pension plan’s stability and strength, and the foundation for trust between the plan and its sponsors, members and all other stakeholders,” said Wubbenhorst. “The Board will carefully consider findings and recommendations of the independent review and remains focused as always on strengthening Plan governance to ensure it aligns with industry best practices.”
Financial position remains robust, says CAAT
Despite the turmoil at the top, CAAT is underscoring that its financial footing remains solid. Recent independent valuations show the plan 124 per cent funded on a going‑concern basis, meaning it holds $1.24 in assets for every dollar of pension promised to members. With more than $23 billion in assets and over $6 billion in funding reserves, stress testing indicates a greater than 99 per cent probability the plan will stay fully funded over the next two decades.
Founded in 1967 to serve Ontario’s college system, the CAAT Pension Plan has since expanded to more than 800 participating employers across 20 industries in the for‑profit, non‑profit and broader public sectors, and now counts over 125,000 members.
As the governance review proceeds and the new leadership team settles in, the board says its priority is maintaining benefit security for members while reinforcing confidence in how the plan is overseen.
Earlier today, CAAT issued a statement stating the CEO has been placed on leave and new acting CEO and new Chair and Vice Chair have been appointed:
- Derek Dobson placed on administrative leave effective immediately
- Kevin Fahey, current Chief Investment Officer, appointed as acting CEO and Plan Manager
- Audrey Wubbenhorst and Janet Greenwood appointed Chair and Vice Chair, respectively
Toronto, February 13, 2026 – The Board of Trustees of the CAAT Pension Plan (“CAAT” or “the Plan”) today announced the appointment of a new acting Chief Executive Officer and Plan Manager, and that Derek Dobson has been placed on administrative leave. CAAT also announced it has appointed a new Chair and Vice Chair of its Board of Trustees.
Mr. Dobson’s administrative leave is effective immediately, and Kevin Fahey, who most recently served as CAAT’s Chief Investment Officer and has spent more than 16 years at the Plan, has been appointed as acting CEO to ensure CAAT remains focused on executing its strategy and serving its sponsors and members.
Audrey Wubbenhorst has been appointed as Chair. Ms. Wubbenhorst succeeds Don Smith. Janet Greenwood has been appointed as Vice-Chair, replacing Kareen Stangherlin, who was Vice-Chair and who has resigned as a CAAT trustee.
Speaking about Mr. Fahey’s appointment, Ms. Wubbenhorst said: “The CAAT Board of Trustees has determined that these changes are in the best interests of the Plan and are necessary to restore stakeholder trust in CAAT’s leadership, governance and plan management. Kevin is a veteran CAAT executive with a strong track record of high performance and his extensive experience and institutional knowledge make him ideally suited to lead the organization through the current period of significant change.”
In addition to his service at CAAT, Mr. Fahey sits on the Investment Committee for Teachers' Pension Plan Corporation of Newfoundland and Labrador. Previously, he was the Chair of the Pension Investment Association of Canada and also chaired the Salvation Army of Canada’s Investment Advisory Committee. Mr. Fahey holds a BCom from Queen’s University, an LL.B from Osgoode Hall Law School at York University and is a CFA Charterholder.
Ms. Wubbenhorst has been an employee-appointed Trustee since 2023 and is Co-Chair of the Finance and Administration Committee. Ms. Wubbenhorst is a faculty member at Humber Polytechnic where she teaches communications. Prior to joining Humber, she worked for more than a dozen years at BMO Bank of Montreal in human resources, communications and commercial banking. She has also served as a school trustee and on several boards including Humber Polytechnic, Toronto Community Housing Corporation, Holland Bloorview Hospital's Research Ethics Board and CNIB Lake Joe's Advisory Board. Ms. Wubbenhorst has an MA, MBA and ICD.D designation.
Ms. Greenwood has been an employer-appointed Trustee since 2023 and has served as a Co-Chair on the Investment Committee and a member of the Governance Committee. She has more than three decades of global wealth management expertise in corporate and pension fund management, institutional investment, governance, business development and risk management. Her portfolio career includes roles as Committee Chair, Co-Chair, Independent Director, Director of Special Purpose Corporations, and also at charitable and not-for-profit organizations. Ms. Greenwood holds business degrees, investment certifications and holds the ICD.D designation.
In addition to the appointments of Mr. Fahey, Ms. Wubbenhorst and Ms. Greenwood, CAAT also provided an update on its independent governance review, which was established by the Board after it became aware of concerns related to a vacation payment to Mr. Dobson. The governance-related issues subject to the review do not affect the Plan’s financial health or its ability to deliver secure, predictable pensions to members, and CAAT continues to expect that it will be completed later in February.
“Good governance is the backbone of a pension plan’s stability and strength, and the foundation for trust between the plan and its sponsors, members and all other stakeholders,” Ms. Wubbenhorst said. “The Board will carefully consider findings and recommendations of the independent review and remains focused as always on strengthening Plan governance to ensure it aligns with industry best practices.”
CAAT's most recent independent valuations show the Plan at a 124% funded status. This means for every $1 of pension benefits CAAT has promised to members, the Plan has $1.24 in assets. With more than $23 billion in assets and over $6 billion in funding reserves, the Plan is well positioned to withstand market volatility, demographic change, and other risks. Stress testing confirms a greater than 99% probability that the Plan will remain fully funded over the next 20 years.
About CAAT:
Established in 1967, the CAAT Pension Plan is an independent, jointly governed plan that offers highly desirable modern defined benefit pensions. Originally created to support the Ontario college system, the CAAT Plan now proudly serves more than 800 participating employers in 20 industries, including the for-profit, non-profit, and broader public sectors. It currently has more than 125,000 members. The CAAT Plan is respected for its pension and investment management expertise and focus on stability and benefit security. On January 1, 2025, the Plan was 124% funded on a going-concern basis.
It's Friday, I typically reserve Fridays to discuss market action and I enjoy that but sometimes you need to cover important pension matters and this is definitely important for CAAT members.
I'll try to be brief but in a nutshell, I'm not surprised and the Board led by a new Chair and Vice Chair is doing the right thing and issued a perfectly worded statement.
Importantly, given the events that have transpired which I covered in detail here and here, I am not shocked that Derek Dobson was placed on administrative leave effective immediately.
The Board led by new Chair Audrey Wubbenhorst and Janet Greenwood also did the right thing naming Kevin Fahey, the CIO, as acting CEO and Plan Manager.
Kevin is a seasoned professional with impeccable credentials, CAAT members and employees know and trust him and in doing this, they're restoring trust at the organization.
This is your number one job as a Board when a governance crisis erupts, restore trust as soon as possible as you await the findings of an independent governance report.
I'm actually impressed at how swiftly and diligently the Board responded, they immediately went into action naming a new Chair and Vice Chair, called an urgent meeting Wednesday evening and then moved to place the CEO on administrative leave while naming a new acting CEO.
Take note all board members, this is exactly what should have happened when the three senior execs expressed a loss of confidence in their leader: everyone should have immediately been placed on administrative leave pending the findings of an independent governance report.
I also like what the new Chair Ms. Wubbenhorst said in the statement:
“Good governance is the backbone of a pension plan’s stability and strength, and the foundation for trust between the plan and its sponsors, members and all other stakeholders. The Board will carefully consider findings and recommendations of the independent review and remains focused as always on strengthening Plan governance to ensure it aligns with industry best practices.”
This isn't only a CAAT specific issue, everyone needs to make sure their governance is reviewed periodically and changed to reflect industry leading standards.
In my opinion, great fiduciaries are also champions of great governance.
So where does CAAT go from here? I think Kevin Fahey will be extremely busy over the next few weeks and we will all have to wait for the independent governance report to see the next steps.
I can confidently tell CAAT members however to be patient, what is happening now seems like abrupt change and it is but the organization will come out of this a lot stronger.
That's all I have to say on this matter today, I am fully supportive of CAAT's new Chair and Vice Chair and acting CEO Kevin Fahey and think over the long run, this will be a governance blip and the organization will thrive over the coming years.
What about markets, Leo? Aren't you going to cover markets? I had a whole topic titled "Is the AI Disruption Trade Overdone?" and maybe I'll do something over the weekend but I'm tired and need a break from these crazy volatile markets.
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