Draft Regulation regarding Pension Transfers under sections 80 and 81 of the Pension Benefits Act (PBA)
Regulation - LGIC
Bill or Act:
Pension Benefits Act
Summary of Decision:
The Regulation has been approved. It was filed on November 29, 2013.
July 2, 2013
Summary of Proposal:
The posted draft regulation concerns asset transfers between pension plans in the context of corporate reorganizations, including the sale of a business. If approved, the draft regulation would allow amendments to sections 80 and 81 of the Pension Benefits Act to be proclaimed.
The draft regulation is meant to facilitate the restructuring of pension plans affected by corporate reorganizations, while protecting benefit security for plan members and pensioners. Once implemented, the legislated amendments should allow more efficient and timely transactions and simplify the regulatory approval process. This in turn should reduce administrative and compliance costs as well as help plan members to consolidate pension benefits in a single plan.
A summary of the draft regulation is also attached to this posting.
Pension Policy Branch
Transfers under sections 80 and 81
Ministry of Finance
5th Floor, Frost Bldg S.
7 Queen's Park Crescent
Toronto, ON M7A 1Y7
January 1, 2014