Acts and Regulations

P-5.1 - Pension Benefits Act

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Document at 16 January 2014
CHAPTER P-5.1
Pension Benefits Act
Assented to June 27, 1987
Her Majesty, by and with the advice and consent of the Legislative Assembly of New Brunswick, enacts as follows:
Definitions
1(1)In this Act
“additional voluntary contribution” means a contribution to a pension fund by a member of the pension plan beyond any amount that the member is required to contribute, but does not include(cotisation volontaire additionnelle)
(a) a contribution in relation to which the employer is required to make a concurrent additional contribution to the pension fund,
(b) an optional ancillary contribution, or
(c) a contribution for the purchase of past service;
“administrator” means the person or persons who administer a pension plan;(administrateur)
“assets” , when used in relation to an employer, means assets that in the ordinary course of business would be entered in books of account, whether or not a particular asset is entered in the books of account of the employer;(éléments d’actif)
“Board” Repealed: 2013, c.31, s.23
“bridging benefit” means a periodic payment provided under a pension plan to a member of the pension plan for a temporary period of time after retirement for the purpose of supplementing the member’s pension benefit until the member is eligible to receive benefits under the Old Age Security Act (Canada) or commences to receive retirement benefits under the Canada Pension Plan or the Quebec Pension Plan;(prestation de relais)
“Canada Pension Plan” means the Canada Pension Plan, chapter C-5 of the Revised Statutes of Canada, 1970;(Régime de pensions du Canada)
“certified copy” means a copy certified to be a true copy;(copie conforme)
“common-law partner” means (conjoint de fait)
(a) in the case of the death of a member or former member, a person who, not being married to the member or former member, was cohabiting in a conjugal relationship with the member or former member at the time of the death of the member or former member and was cohabiting in a conjugal relationship with the member or former member for a continuous period of at least two years immediately before the death of the member or former member,
(b) in the case of the breakdown of a common-law partnership, a person who, not being married to the member or former member, was cohabiting in a conjugal relationship with the member or former member for a continuous period of at least two years immediately before the date of the breakdown of the common-law partnership, or
(c) in any other case, a person who, not being married to a member or former member at the particular time under consideration, is cohabiting in a conjugal relationship with the member or former member at that time and who has so cohabited for a continuous period of at least two years immediately before that time;
“common-law partnership” means the relationship between a member or former member and his or her common-law partner;(union de fait)
“commuted value” means the value, calculated in the prescribed manner and as of a fixed date, of a pension, a pension benefit or an ancillary benefit;(valeur de rachat)
“continuous” , in relation to employment, membership or service, means without regard to periods of temporary suspension of the employment, membership or service and without regard to periods of lay-off from employment;(continu)
“contributory pension benefit” means a pension benefit or part of a pension benefit to which a member is required to make contributions under the terms of a pension plan;(prestation de pension contributive)
“deferred pension” means a pension benefit, payment of which is deferred until the person entitled to the pension benefit reaches the normal retirement date under the pension plan;(pension différée)
“defined benefit” means a pension benefit other than a defined contribution benefit;(prestation déterminée)
“defined contribution benefit” means a pension benefit that is determined with reference to and provided by contributions, and the interest on the contributions, paid by or for the credit of a member of a pension plan and determined on an individual account basis;(prestation à cotisation déterminée)
“designated jurisdiction” means a province or territory of Canada that is designated by the regulations as a province or territory in which there is in force legislation substantially similar to this Act, and the whole of Canada in respect of employment that is within the legislative authority of the Parliament of Canada;(autorité législative désignée)
“employee” means a natural person who is employed by an employer;(salarié)
“employer” , in relation to a pension plan, to a member of a pension plan or a former member of a pension plan, means the employer required to make contributions under the pension plan;(employeur)
“Financial and Consumer Services Commission” means the Financial and Consumer Services Commission continued under the Financial and Consumer Services Commission Act;(Commission des services financiers et des services aux consommateurs)
“former member” means a person who has terminated employment or membership in a pension plan and(ancien participant)
(a) is in receipt of a pension payable from the pension fund, or
(b) is entitled to a deferred pension payable from the pension fund;
Income Tax ActRepealed: 2002, c.12, s.1
“insurance company” means a corporation authorized to undertake life insurance in Canada;(compagnie d’assurance)
“joint and survivor pension” means a pension payable to the person entitled to the pension until that person or the person’s spouse or common-law partner dies and after that in whole or in part for life to the survivor of the person and the person’s spouse or common-law partner;(pension commune et de survivant)
“Labour and Employment Board” means the Labour and Employment Board established under the Labour and Employment Board Act;(Commission du travail et de l’emploi)
“member” means a member of a pension plan;(participant)
“Minister” means the Minister of Justice and includes any person designated by the Minister to act on the Minister’s behalf;(Ministre)
“multi-employer pension plan” means a pension plan established and maintained for employees of two or more employers who contribute or on whose behalf contributions are made to a pension fund by reason of agreement, municipal or rural community by-law or statute to provide a pension benefit that is determined by employment with one or more of the employers, but does not include a pension plan where all the employers are affiliates within the meaning of the Business Corporations Act;(régime de pension interemployeur)
“normal retirement date” means the date or age specified in a pension plan as the normal retirement date of members;(date normale de la retraite)
Old Age Security ActRepealed: 2002, c.12, s.1
“optional ancillary benefit” means an ancillary benefit provided by a defined benefit provision that (prestation accessoire optionnelle)
(a) is chosen at the option of the member, former member, member’s surviving spouse or common-law partner or member’s designated beneficiary, and
(b) is funded in whole or in part by optional ancillary contributions made under the defined benefit provision;
“optional ancillary contribution” means a contribution made under a defined benefit provision to a pension fund by a member beyond any amount that the member is required to contribute and that funds an optional ancillary benefit;(cotisation accessoire optionnelle)
“pension” means a pension benefit that is being paid;(pension)
“pension benefit” means the aggregate monthly, annual, or other periodic amounts payable, other than ancillary benefits, to a member or former member of a pension plan during the lifetime of the member or former member, to which the member or former member will become entitled under the pension plan upon attainment of the normal retirement date, within ten years before that date or at any time after that date;(prestation de pension)
“pension fund” means the fund maintained to provide benefits under or related to a pension plan;(fonds de pension)
“pension plan” means a plan to provide pensions for members of the plan under which the employer or employers of the members are required to make contributions, but does not include(régime de pension)
(a) an employees’ profit sharing plan or a deferred profit sharing plan as defined in sections 144 and 147 of the Income Tax Act (Canada),
(a.1) a registered retirement savings plan as defined in subsection 146(1) of the Income Tax Act (Canada),
(b) a plan to provide a retiring allowance as defined in subsection 248(1) of the Income Tax Act (Canada), or
(c) any other prescribed arrangement;
“prescribed” means prescribed by regulation under section 100;(prescrit)
“Quebec Pension Plan” means the Loi sur le régime de rentes du Quebéc, chapter R-9 of the Revised Statutes of Quebec, 1977;(Régime de rentes du Québec)
“reciprocal transfer agreement” means an agreement related to two or more pension plans that provides for the transfer of money or credit for employment or both in respect of individual members of the plans;(entente réciproque de transfert)
“spouse” means either of two persons who (conjoint)
(a) are married to each other,
(b) are married to each other by a marriage that is voidable and has not been avoided by a declaration of nullity, or
(c) have gone through a form of marriage with each other in good faith that is void and have cohabited within the preceding year;
“Superintendent” means the Superintendent of Pensions appointed under the Financial and Consumer Services Commission Act and includes persons to whom the Superintendent or the Financial and Consumer Services Commission has delegated powers and duties under section 91 or under the Financial and Consumer Services Commission Act;(surintendant)
“Tribunal” Repealed: 1994, c.52, s.4
“Tribunal” means the Financial and Consumer Services Tribunal established under the Financial and Consumer Services Commission Act;(Tribunal)
“wind-up” means the termination of a pension plan and the distribution of the assets of the pension fund;(liquidation)
“Year’s Maximum Pensionable Earnings” has the same meaning as in the Canada Pension Plan.(maximum des gains annuels ouvrant droit à pension)
1(2)If a spouse and a common-law partner both claim a right or a benefit under this Act or the regulations, the spouse is entitled to the right or benefit, if he or she is otherwise eligible, unless there is a valid domestic contract between the member or the former member and the spouse, or a decree, order or judgment of a competent tribunal, that bars the spouse’s claim.
1992, c.2, s.48; 1994, c.52, s.4; 1998, c.41, s.93; 2000, c.26, s.234; 2002, c.12, s.1; 2005, c.7, s.59; 2006, c.16, s.131; 2008, c.5, s.1; 2011, c.5, s.1; 2012, c.39, s.107; 2013, c.31, s.23
1
DEFINED BENEFIT PENSION PLANS AND
DEFINED CONTRIBUTION PENSION PLANS
2012, c.38, s.1
APPLICATION OF ACT
Binding of Crown
2This Act binds the Crown.
Application to persons employed in the Province
3(1)This Act applies to every pension plan provided for persons employed in the Province.
3(2)For the purposes of this Act, a person shall be deemed to be employed in the province or territory in which the establishment of the person’s employer is located and to which the person is required to report for work.
3(3)A person who is not required to report for work at an establishment of the person’s employer shall be deemed to be employed in the province or territory in which is located the establishment of the person’s employer from which the person’s remuneration is paid.
Pension plans providing more advantageous benefits
4This Act and the regulations shall not be construed to prevent the registration or administration of a pension plan and related pension fund that provide pension benefits or ancillary benefits more advantageous to members than those required by this Act and the regulations.
2002, c.12, s.2
Act prevails over other Acts
5In the event of a conflict between a provision of this Act or the regulations and a provision of any other Act or the regulations under any other Act, this Act and the regulations prevail.
Act prevails over pension plans
6(1)In the event of a conflict between a provision of this Act or the regulations and a provision of a pension plan, this Act and the regulations prevail.
6(2)Notwithstanding subsection (1), the Superintendent shall not refuse to register a pension plan or revoke the registration of a pension plan governed by a collective agreement or an arbitration award under the Industrial Relations Act or the Public Service Labour Relations Act that requires a provision that is contrary to or does not comply with this Act and the regulations if the collective agreement or arbitration award is in effect on the day this section comes into force.
6(3)Subsection (2) does not apply after the day on which the collective agreement or arbitration award expires or after the day that is two years after the day this section comes into force, whichever occurs first.
REGISTRATION OF
PENSION PLANS
Prohibition against administration of a pension plan without registration
7(1)No person shall administer a pension plan unless an acknowledgment of registration of the pension plan has been issued by the Superintendent.
7(2)Subsection (1) does not apply to prevent administration during the first ninety days after the establishment of the pension plan.
7(3)Subsection (1) does not apply to prevent administration during the first nine months after the commencement of this section of a plan established before the commencement of this section.
2002, c.12, s.3
Prohibition against administration of a pension plan if registration refused or revoked
8(1)No person shall administer a pension plan if the registration of the pension plan has been refused or revoked by the Superintendent.
8(2)Subsection (1) does not apply to prevent administration for the purposes of wind-up of a pension plan.
Administrator of pension plan in relation to eligibility of plan for registration
9(1)A pension plan is not eligible for registration unless it is administered by an administrator who is
(a) the employer or employers,
(b) a pension committee composed of one or more representatives of the employer or employers and one or more representatives of members of the pension plan,
(c) a pension committee composed of representatives of members of the pension plan,
(d) the insurance company that provides the pension benefits under the pension plan, if all the pension benefits under the plan are guaranteed by the insurance company,
(e) if the pension plan is a multi-employer pension plan established pursuant to a collective agreement, a board of trustees appointed pursuant to the pension plan or a trust agreement establishing the pension plan of whom at least one-half are representatives of members of the multi-employer pension plan, or
(f) a person, board, agency or commission made responsible by an Act of the Legislature for the administration of the pension plan.
9(2)A pension committee or a board of trustees that is the administrator of a pension plan may include representatives of former members.
Registration of pension plan
10(1)The administrator of a pension plan shall, within six months after the commencement of this section, if the plan was established before the commencement of this section, or within sixty days after the establishment of the plan, if the plan is established after the commencement of this section, apply to the Superintendent for registration of the pension plan.
10(2)An application for registration of a pension plan shall be made by paying the prescribed fee and filing with the Superintendent
(a) a completed application in the prescribed form,
(b) certified copies of the documents that create and support the pension plan,
(c) certified copies of the documents that create and support the pension fund,
(d) a certified copy of any reciprocal transfer agreement related to the pension plan,
(e) certified copies of any other prescribed documents, and
(f) any other prescribed information.
10(3)For the purposes of subsection (2), “document” includes a collective agreement.
10(4)The documents that create and support a pension plan shall set out the following information:
(a) the method of appointment and the details of appointment of the administrator of the pension plan;
(b) the conditions for membership in the pension plan;
(c) the benefits and rights that are to accrue upon termination of employment, termination of membership, retirement or death;
(d) the normal retirement date under the pension plan;
(e) the contributions or the method of calculating the contributions required by the pension plan;
(f) the method of determining benefits payable under the pension plan;
(f.1) the method for converting any optional ancillary contributions to optional ancillary benefits upon retirement, termination of membership, pension commencement, pre-retirement death or winding up of the pension plan;
(g) the method of calculating interest to be credited to contributions under the pension plan;
(h) the mechanism for payment of the cost of administration of the pension plan and pension fund;
(i) the mechanism for establishing and maintaining the pension fund;
(j) the treatment of surplus during the continuation of the pension plan and on the wind-up of the pension plan;
(k) the obligation of the administrator to provide members with information and documents required to be disclosed under this Act and the regulations;
(l) if the pension plan is a multi-employer pension plan pursuant to a collective agreement, the powers and duties of the board of trustees that is the administrator of the plan; and
(m) any other prescribed information related to the pension plan or pension fund or both.
10(5)A pension plan is not eligible for registration unless it provides for the accrual of pension benefits in a gradual and uniform manner.
10(6)A pension plan is not eligible for registration if the formula for computation of the employer’s contributions to the pension fund or the pension benefit provided under the pension plan is variable at the discretion of the employer.
10(7)A deferred profit-sharing pension plan or a pension plan that provides defined contribution benefits is not eligible for registration if the formula governing allocation of contributions to the pension fund and profits among members of the plan is variable at the discretion of the employer.
10(8)Notwithstanding subsections (5), (6) and (7), the Superintendent may register a pension plan if the Superintendent is of the opinion that registration is justified in the circumstances of the pension plan and the members.
10(9)Repealed: 2002, c.12, s.4
10(10)The Superintendent shall issue an acknowledgment of registration in respect of each pension plan that is registered under this Act.
2002, c.12, s.4
Registration of amendment to pension plan
11(1)The administrator of a pension plan shall apply to the Superintendent, within sixty days after the date on which the pension plan is amended, for registration of the amendment.
11(2)An application for registration of an amendment to a pension plan shall be made by paying the prescribed fee and filing with the Superintendent
(a) a completed application in the prescribed form,
(b) a certified copy of the amending document,
(c) certified copies of any other prescribed documents, and
(d) any other prescribed information.
11(3)The administrator of a pension plan shall file with the Superintendent a certified copy of each document that changes the documents that create and support the pension plan or pension fund.
11(4)An amendment to a pension plan is not effective until an application for the registration of the amendment is made in accordance with this Act and the regulations.
11(5)An amendment to a pension plan may be made effective as of a date before the date on which the amendment is registered.
11(6)The Superintendent shall issue to the administrator of a pension plan notice of registration for each amendment to the plan registered under this Act.
Effect of certain amendments to pension plan
12(1)An amendment to a pension plan is void if the amendment purports to reduce
(a) the amount or the commuted value of a pension benefit accrued under the pension plan with respect to employment before the effective date of the amendment,
(b) the amount or the commuted value of a pension or a deferred pension accrued under the pension plan, or
(c) the amount or the commuted value of an ancillary benefit that a member or former member is receiving or for which a member has satisfied all eligibility conditions at the effective date of the amendment.
12(2)Notwithstanding subsection (1), an amendment to a pension plan is not void if the amendment
(a) converts a defined benefit to a defined contribution benefit, or
(b) converts a defined contribution benefit to a defined benefit.
12(3)A pension plan converted under paragraph 2(a) or (b) shall be deemed to be a new pension plan for the purposes of sections 70 and 71.
2002, c.12, s.5
Idem
12.1An amendment to a pension plan is void if the amendment purports to
(a) eliminate an option for optional ancillary benefits for a member who has made optional ancillary contributions, unless the member consents in writing to the amendment, or
(b) change the method for converting optional ancillary contributions to optional ancillary benefits for a member who has made optional ancillary contributions if the change increases the cost to the member of the optional ancillary benefits, unless the member consents in writing to the amendment.
2002, c.12, s.6
Refusal of registration and revocation of registration
13(1)The Superintendent may
(a) refuse to register a pension plan that does not comply with this Act and the regulations,
(b) revoke the registration of a pension plan that does not comply with this Act and the regulations,
(c) revoke the registration of a pension plan that is not being administered in accordance with this Act and the regulations,
(d) refuse to register an amendment to a pension plan if the amendment is void or if the pension plan with the amendment would cease to comply with this Act and the regulations, and
(e) revoke the registration of an amendment that does not comply with this Act and the regulations.
13(2)Registration under this Act of a pension plan or an amendment to a pension plan shall not be construed as proof that the plan or the amendment complies with this Act and the regulations.
13(3)A refusal of registration of a pension plan or a revocation of registration of a pension plan operates to terminate the pension plan as of the date specified by the Superintendent.
13(4)A refusal of registration of an amendment to a pension plan or the revocation of registration of an amendment to a pension plan operates to terminate the amendment as of the date specified by the Superintendent.
13(5)Where registration of a pension plan is refused or revoked the administrator shall wind up the pension plan in accordance with this Act and the regulations.
ADMINISTRATION OF PENSION PLANS
Duty to administer in accordance with Act, regulations and filed documents
14(1)The administrator of a pension plan shall ensure that the pension plan and pension fund are administered in accordance with this Act and the regulations.
14(2)The administrator of a pension plan shall ensure that the pension plan and the pension fund are administered in accordance with
(a) the filed documents in respect of which the Superintendent has issued an acknowledgment of registration, and
(b) the filed documents in respect of an application for registration of an amendment to the pension plan if the application complies with this Act and the regulations and the amendment is not void under this Act.
14(3)The administrator of a pension plan may administer or permit administration of the pension plan and the pension fund in accordance with an amendment pending registration or refusal of registration of the amendment.
2002, c.12, s.7
Filing of annual information return and additional reports
15(1)The administrator of a pension plan shall file each year an annual information return in respect of the pension plan in the prescribed form and shall pay the prescribed filing fee.
15(2)The administrator of a pension plan shall file additional reports at the prescribed times and containing the prescribed information.
Filing of certified copy of reciprocal transfer agreement
16An administrator of a pension plan shall file a certified copy of a reciprocal transfer agreement entered into in respect of the pension plan.
Duty of care, diligence and skill
17(1)The administrator of a pension plan shall exercise the care, diligence and skill in the administration and investment of the pension fund that a person of ordinary prudence would exercise in dealing with the property of another person.
17(2)The administrator or, if the administrator is a committee or a board of trustees, a member of the committee or board that is the administrator of a pension plan shall use in the administration of the pension plan, and in the administration and investment of the pension fund, all relevant knowledge and skill that the administrator or member possesses or, by reason of that person’s profession, business or calling, ought to possess.
17(3)An administrator or, if the administrator is a pension committee or a board of trustees, a member of the committee or board that is the administrator of a pension plan shall not knowingly permit that person’s interest to conflict with the person’s duties and powers in respect of the pension fund.
Employment of agents
18(1)Where it is reasonable and prudent in the circumstances so to do, the administrator of a pension plan may employ one or more agents to carry out any act required to be done in the administration of the pension plan and in the administration and investment of the pension fund.
18(2)An administrator of a pension plan who employs an agent shall personally select the agent and be satisfied of the agent’s suitability to perform the act for which the agent is employed, and the administrator shall carry out such supervision of the agent as is prudent and reasonable.
18(3)An employee or agent of an administrator is also subject to the standards that apply to the administrator under subsections 17(1), (2) and (3).
Expenses related to administration
19(1)The administrator of a pension plan or, if the administrator is a pension committee or a board of trustees, a member of the committee or board is not entitled to any benefit from the pension plan as administrator or member of a committee or board other than fees and expenses related to the administration of the pension plan and permitted by law or provided for in the pension plan.
19(2)An agent of the administrator of a pension plan is not entitled as an agent to payment from the pension fund other than the usual and reasonable fees and expenses for the services provided by the agent in respect of the pension plan.
Provision of information to administrator
20An employer shall provide to the administrator any information required by the administrator for the purpose of complying with the terms of the pension plan and the requirements of this Act and the regulations.
ADVISORY COMMITTEE
Establishment and purposes of advisory committee
21(1)Except when the administrator is a pension committee under paragraph 9(1)(b) or (c) or when the pension plan is a multi-employer plan established pursuant to a collective agreement, the members of a pension plan may by a majority vote form an advisory committee in respect of the plan and the pension fund.
21(2)The purposes of an advisory committee are
(a) to monitor the administration of the pension plan,
(b) to make recommendations to the administrator respecting the administration of the pension plan, and
(c) to promote awareness and understanding of the pension plan on the part of members of the pension plan and persons receiving pensions, pension benefits, ancillary benefits and payments under the plan.
2002, c.12, s.8
Provision of information by administrator
22(1)The advisory committee of a pension plan or its representative is entitled to examine and to make copies of or extracts from the records of the administrator in respect of the administration of the pension plan.
22(2)The administrator of a pension plan shall make available to the advisory committee or its representative any information under the administrator’s control that is required by the committee or its representative for the purposes of the committee.
22(3)This section does not apply to records of the service, benefits, salary and other personal information relating to any person without the prior consent in writing of the person.
DISCLOSURE OF INFORMATION
Information to person who will be eligible or is required to become a member
23(1)The administrator of a pension plan shall provide in writing to each person who will be eligible or is required to become a member of the pension plan
(a) an explanation of the provisions of the plan that apply to the person,
(b) an explanation of the person’s rights and obligations in respect of the pension plan, and
(c) any other prescribed information.
23(2)The administrator shall provide the information mentioned in subsection (1)
(a) to each person who becomes a member within the prescribed period of time after the date on which the pension plan is established,
(b) to a person who is likely to become eligible to become a member of the pension plan, within the prescribed period of time before the date on which the person is likely to become eligible, and
(c) to each person who becomes eligible to become a member of the pension plan upon becoming employed by the employer, within the prescribed period of time after the date on which the person becomes so employed.
23(3)The employer shall transmit to the administrator the information necessary to enable the administrator to comply with subsection (2) and shall transmit the information in sufficient time to enable the administrator to comply with the time limits set out in that subsection.
Information re amendments
24(1)If the administrator of a pension plan applies for registration of an amendment to the pension plan that may adversely affect the pension benefits, rights or obligations of a member or former member or a person entitled to payments under the pension plan, the administrator shall transmit to each such member, former member or other person a written notice containing an explanation of the amendment and inviting comments to be submitted to the administrator and the Superintendent, and the administrator shall provide to the Superintendent a copy of the notice and shall certify to the Superintendent the date on which the last such notice was transmitted.
24(2)The Superintendent shall not register an amendment mentioned in subsection (1) before the expiration of forty-five days after the date certified to the Superintendent under that subsection, but after the expiration of the forty-five-day period the Superintendent may register the amendment with such changes as are requested in writing by the administrator.
24(3)Within the prescribed period of time after an amendment to a pension plan is registered, the administrator shall transmit notice and an explanation of the amendment to each member, former member and other person affected by the amendment.
24(4)The Superintendent by order may dispense with the notice required by subsection (1) or (3), or both, if the Superintendent is of the opinion that the amendment is of a technical nature and will not substantially affect the pension benefits, rights or obligations of a member or former member or a person entitled to payments under the pension plan or if the amendment has been agreed to by a trade union that represents the members.
Written statement
25The administrator of a pension plan shall transmit to each member a written statement at the prescribed intervals and containing the prescribed information in respect of the pension plan, the member’s pension benefits and any ancillary benefits.
2002, c.12, s.9
Information re termination or cessation of membership
26(1)If a member of a pension plan terminates employment with the employer or otherwise ceases to be a member, the administrator of the pension plan shall, within thirty days after the date of termination or cessation of membership, give to the member, or to any other person who as a result becomes entitled to a payment under the pension plan, a written statement setting out the prescribed information in respect of the benefits, rights and obligations of the member or other person.
26(2)Subsection (1) applies in respect of a multi-employer pension plan if a member ceases to be a member, but does not apply where a member terminates employment with an employer but continues to be a member.
Information on request
27(1)On written request, the administrator of a pension plan shall make available the prescribed documents and information in respect of the pension plan for inspection without charge by
(a) a member,
(b) a former member,
(c) the spouse or common-law partner of a member or former member,
(d) an agent authorized in writing by a member, former member or the spouse or common-law partner of a member or former member, or
(e) a representative of a trade union that represents members of the pension plan.
27(2)The administrator shall make the prescribed documents and information available
(a) for a member, at the premises of the employer where the member is employed,
(b) for a former member, at the premises where the former member was employed, or
(c) for a member, former member or any other person, at such other location as may be agreed upon by the administrator and the member, former member or other person making the request.
27(3)The administrator shall permit the person making the inspection to make extracts from or to copy the prescribed documents and information.
27(4)On request, the administrator shall provide the person making the inspection with copies of any of the prescribed documents or information upon payment to the administrator of a reasonable fee.
27(5)A member, former member or spouse or common-law partner, or the agent of any of them, or a trade union by a representative, is entitled to make an inspection under subsection (1) not more than once in a calendar year.
2008, c.5, s.2
Disclosure of information
28(1)Subject to subsection (2) and to the Financial and Consumer Services Commission Act, all information collected by, submitted to or filed with the Superintendent regarding a pension plan is confidential and is not subject to disclosure.
28(2)Only the persons mentioned in subsection (3) are entitled to inspect at the offices of the Superintendent during business hours of the Superintendent the documents that comprise a pension plan and such other prescribed documents as are filed in respect of the pension plan, and are entitled to copies of the documents upon payment of the prescribed fee.
28(3)The persons entitled to make the inspection in respect of a pension plan are
(a) a member,
(b) a former member,
(c) the spouse or common-law partner of a member or former member,
(d) an agent authorized in writing by a member, former member or the spouse or common-law partner of a member or former member, or
(e) a representative of a trade union that represents members of the pension plan.
28(3.1)If this section is inconsistent with or in conflict with a provision of the Right to Information and Protection of Privacy Act, this section prevails.
28(4)Notwithstanding subsection (1), any information that was disclosed contrary to subsection (1) before the enactment of this section shall be deemed to have been validly disclosed.
28(5)In the case of a conflict or an inconsistency between a provision of this Act and a provision of the Financial and Consumer Services Commission Act, this Act prevails.
2003, c.10, s.1; 2009, c.R-10.6, s.94; 2008, c.5, s.3; 2013, c.31, s.23; 2013, c.34, s.26
MEMBERSHIP
Eligibility for membership in a pension plan
29(1)Subject to section 31, every employee of a class of employees for whom a pension plan is established is eligible to be a member of the pension plan.
29(2)If there is a dispute as to whether an employee is a member of a class of employees for whom a pension plan is established or maintained, the Superintendent by order may require the administrator to accept the employee as a member.
29(3)The Superintendent may make an order under subsection (2) if the employee performs work that in the opinion of the Superintendent is similar or identical to the work performed by an employee who is a member of the pension plan.
29(4)An employee in a class of employees for whom a pension plan is established is entitled to become a member of the pension plan upon application at any time after completing twenty-four months of full-time continuous employment.
29(5)A pension plan may require not more than twenty-four months of less than full-time continuous employment with the employer with earnings of not less than thirty-five per cent of the Year’s Maximum Pensionable Earnings in each of two consecutive calendar years immediately before membership in the pension plan, or such equivalent basis as is approved by the Superintendent, as a condition precedent to membership in the pension plan.
29(6)A multi-employer pension plan may require a total of not more than twenty-four months of employment with one or more participating employers and earnings of not less than thirty-five per cent of the Year’s Maximum Pensionable Earnings in each of two consecutive calendar years immediately before membership in the plan, or such equivalent basis as may be approved by the Superintendent, as a condition precedent to membership in the pension plan.
29(7)The Superintendent may give the approval referred to in subsection (5) or (6) if the Superintendent is of the opinion that the basis is equivalent in the circumstances to the earnings mentioned in the subsections.
29(8)A member of a pension plan does not cease to be a member of the pension plan by reason only that the member earns less than thirty-five per cent of the Year’s Maximum Pensionable Earnings in a calendar year.
Restriction on eligibility
30Notwithstanding section 29, employees included in a bargaining unit that has elected to negotiate other benefits in place of pension benefits are not eligible to be members of a pension plan established for a class of employees in which they are included.
Separate pension plans for certain employees
31An employer may establish and maintain a separate pension plan for employees employed in less than full-time continuous employment if the separate pension plan provides pension benefits and other benefits reasonably equivalent to those provided under the pension plan maintained by the employer for employees of the same class employed in full-time continuous employment.
BENEFITS GENERALLY
Ancillary benefits
32(1)A pension plan may provide the following ancillary benefits:
(a) disability benefits;
(b) pre-retirement death benefits in addition to the benefits provided in section 43.1;
(c) bridging benefits;
(d) early retirement benefits in addition to the early retirement pension referred to in section 40;
(e) postponed retirement benefits in addition to the pension referred to in section 40; and
(f) other prescribed ancillary benefits.
32(2)An ancillary benefit for which a member has met all eligibility requirements under the pension plan necessary to exercise the right to receive payment of the benefit shall be included in calculating the member’s pension benefit or the commuted value of the pension benefit.
2002, c.12, s.10; 2008, c.5, s.4
Purchase of benefits from insurance company, variation in terms of payment of pensions
33(1)Subject to section 36, the administrator of a pension plan who is required by the plan to provide a pension, a deferred pension or an ancillary benefit may purchase the pension, deferred pension or ancillary benefit from an insurance company in the prescribed manner and to the prescribed extent and subject to prescribed limitations in relation to transfers of money from pension funds.
33(2)The administrator may permit variation in the terms of payment of a pension or deferred pension by reason of mental or physical disability of the member or former member in accordance with the regulations.
2002, c.12, s.11
Payment of commuted value of a benefit
34(1)A pension plan may, in accordance with the regulations, provide for the payment, on termination of employment or wind-up of the pension plan, of the commuted value of a benefit under the plan if the adjusted commuted value of the benefit payable, calculated in accordance with subsection (2), is less than forty per cent of the Year’s Maximum Pensionable Earnings for the calendar year in which employment is terminated or the pension plan is wound-up.
34(2)For the purposes of subsection (1) and subject to subsection (3), the adjusted commuted value of the benefit payable is calculated using the following formula:
A= V × 1.0665-n
and where
A =
the adjusted commuted value of the benefit;
 
V =
the commuted value of the benefit; and
 
n =
the age of the member or former member on December 31 of the year in which his or her employment is terminated or his or her pension plan is wound-up.
34(3)For the purposes of subsection (2), “n” shall not be greater than sixty-five.
34(4)A pension plan may only make a payment authorized by subsection (1) if the spouse or common-law partner, if any, of the member or former member waives in writing any rights that he or she may have in the pension fund under this Act, the regulations or the pension fund.
2002, c.12, s.12; 2008, c.5, s.5
DEFERRED PENSION
Entitlement to a deferred pension on termination of employment
35(1)A member of a pension plan who acquires a right to receive a pension benefit under that plan either before or after the commencement of this section is entitled, upon termination of employment after the commencement of this section and before attaining normal retirement date under the plan, to a deferred pension, calculated in accordance with the benefit formula of the pension plan, equal to
(a) the pension benefit provided under the pension plan with respect to employment before the commencement of this section,
(b) the pension benefit resulting from an amendment to the pension plan after the commencement of this section with respect to employment before the commencement of this section, and
(c) the pension benefit provided under a new pension plan established after the commencement of this section with respect to employment before the commencement of this section.
35(2)A member of a pension plan who has been employed for a continuous period of not less than five years, which period may begin before the commencement of this section, is entitled, upon termination of employment after the commencement of this section and prior to attaining normal retirement date under the plan, to a deferred pension, calculated in accordance with the benefit formula of the pension plan, equal to
(a) the pension benefit provided under the pension plan with respect to employment after the commencement of this section,
(b) the pension benefit resulting from an amendment to the pension plan with respect to employment after the commencement of this section, and
(c) the pension benefit provided under a new pension plan established after the commencement of this section, with respect to employment after the commencement of this section.
35(2.1)Notwithstanding subsection (2), a member of a pension plan is entitled, upon termination of employment after the commencement of this subsection and prior to attaining normal retirement date under the plan, to a deferred pension, calculated in accordance with the benefit formula of the pension plan, equal to the pension benefit provided under the pension plan at the time of termination if, at termination, the member
(a) has been employed for a continuous period of not less than five years, or
(b) has been a member of the pension plan for a continuous period, beginning on or after January 1, 2001, of not less than two years.
35(3)For the purposes of subsection (2) and in relation to a multi-employer pension plan, the greater of a continuous period of membership in the plan and a continuous period of employment shall be deemed to be the continuous period of employment.
35(4)The deferred pension referred to in subsection (1) or (2) does not apply to benefits resulting from additional voluntary contributions.
35(5)For the purposes of this section and section 36, a member of a multi-employer pension plan shall have the right to be deemed to have terminated employment where no contributions have been made or are required to be made by or on behalf of the member for a period of twenty-four consecutive months or such shorter period as may be provided in the plan.
35(6)Subsection (5) does not apply if contributions are not made or not required to be made because the person has become a member of another pension plan and there is a reciprocal transfer agreement respecting the two pension plans.
35(7)Where a member is entitled to a deferred pension under subsection (1) and, on the date of termination of employment, the commuted value of the deferred pension is less than the member’s contributions with interest, the deferred pension shall be increased to an amount such that its commuted value is not less than the contributions with interest.
2002, c.12, s.13
PHASED RETIREMENT
2012, c.38, s.2
Phased retirement
35.1(1)Subject to the regulations, a defined benefit pension plan may provide for benefits to be paid to a member if
(a) the member’s hours of work and remuneration are reduced by agreement between the member and the employer,
(b) the member has reached the normal retirement date under the plan or is within ten years of reaching it, and
(c) the plan also provides for the member’s pension to be adjusted in accordance with the Income Tax Act (Canada) when he or she retires.
35.1(2)The administrator shall ensure that the plan referred to in subsection (1) complies with the Income Tax Act (Canada) and the regulations under that Act and shall provide the Superintendent with proof of the compliance.
2012, c.38, s.2
TRANSFERS
2002, c.12, s.14
Transfer of commuted value of a deferred pension or purchase of deferred life annuity
36(1)A member of a pension plan who is entitled to a deferred pension under the plan or pursuant to section 35 is entitled, upon termination of employment,
(a) to require the administrator to transfer the commuted value of the deferred pension in accordance with the regulations
(i) to another pension plan with the consent of the administrator of that plan, or
(ii) to a prescribed retirement savings arrangement, or
(b) to require the administrator to purchase a deferred life annuity for the member commencing payment not earlier than ten years before the member’s normal retirement date under the pension plan.
36(1.1)A member of a pension plan who terminates employment on or after attaining the normal retirement date and who is entitled to the immediate payment of a defined contribution benefit under the pension plan or under section 39 may, upon termination, require the administrator to transfer the commuted value of the pension in accordance with the regulations to a prescribed retirement savings arrangement.
36(2)The administrator shall not
(a) make a transfer under subparagraph (1)(a)(ii) or subsection (1.1) unless the retirement savings arrangement meets the prescribed requirements,
(a.1) make a transfer under subparagraph (1)(a)(i) to a pension plan that is not registered in the Province unless
(i) the pension plan is registered for persons employed in a designated jurisdiction, and
(ii) the member is employed in that jurisdiction by an employer who is making contributions on behalf of the member to the pension fund that is to receive the amount to be transferred, or
(b) make a purchase under paragraph (1)(b) unless the contract to purchase the deferred life annuity meets the prescribed requirements and payments under the deferred life annuity will not commence more than ten years before the normal retirement date under the pension plan.
36(3)A member who terminates employment before attaining normal retirement date and who is entitled to the immediate payment of a pension benefit under the pension plan or under section 40 is not eligible to exercise the rights provided in subsection (1) unless the plan so provides.
36(4)A member who desires to exercise any rights under subsection (1) or (1.1) shall deliver a direction in the prescribed form to the administrator within ninety days after receipt of notice of the rights.
36(5)The administrator shall, subject to the requirements of this Act and the regulations, comply with the direction within thirty days after its receipt.
36(6)Money transferred from a pension fund to a retirement savings arrangement or an annuity purchased pursuant to a right exercised under subsection (1) or (1.1) shall be administered in accordance with this Act and the regulations, and sections 40, 41, 42, 43 and 56 apply to the amount transferred or any annuity purchased.
36(7)Subsection (6) applies to the initial transfer or purchase and to any subsequent transfer or purchase.
36(8)The administrator of a pension plan may require a member to request a transfer of the commuted value of the deferred pension under subsection (1) where the commuted value is less than ten per cent of the Year’s Maximum Pensionable Earnings or such other amount as is prescribed.
36(9)Where an administrator has complied with a request in accordance with this section, the administrator and the pension fund are not liable for providing the deferred pension.
2002, c.12, s.15
Limitation on transfer of money from a pension fund
37(1)The administrator of a pension plan shall not transfer money out of the pension fund pursuant to section 36, 40.1, 43 or 56.1 without the consent of the Superintendent if the transfer is not within the prescribed limitations in relation to transfers of money from pension funds.
37(2)Upon request for consent under subsection (1), the Superintendent may consent to the transfer on such terms and conditions as the Superintendent considers appropriate in the circumstances.
2002, c.12, s.16
Liability in relation to improper transfer of money from a pension fund
38Where money has been paid or transferred from a pension fund contrary to this Act or the regulations or contrary to a term or condition imposed by the Superintendent under section 37, the Superintendent may order the transferee to return the money to the pension fund and the transferor and transferee are jointly liable to the pension fund for the amount of money so transferred plus interest.
RETIREMENT
Entitlement to a pension on attainment of normal retirement date
39(1)A member of a pension plan who terminates employment after the commencement of this section and on or after attaining the normal retirement date, and who would have been entitled to a deferred pension under subsection 35(1), is entitled to a pension calculated in accordance with the benefit formula of the pension plan in respect of employment before the commencement of this section.
39(2)A member of a pension plan who terminates employment after the commencement of this section and on or after attaining the normal retirement date, and who would have been entitled to a deferred pension under subsection 35(2) or (2.1), is entitled to a pension calculated in accordance with the benefit formula of the pension plan in respect of employment after the commencement of this section.
39(3)The normal retirement date under a pension plan registered after the commencement of this section shall not be later than one year after the attainment of sixty-five years of age.
39(4)Notwithstanding any provision of this Act or the regulations, a pension plan may include one of the prescribed provisions respecting the pension of a former member of a plan who recommences work or service in employment covered by that plan.
2002, c.12, s.17
Early retirement pension, continuation of employment after attainment of normal retirement date
40(1)A person who has terminated employment, is entitled to a deferred pension under section 35 and who is within ten years of the normal retirement date specified in the plan may elect to receive an early retirement pension, commencing at any time within ten years before the normal retirement date, that is not less in value than the commuted value of the former member’s deferred pension under the pension plan.
40(2)A member of a pension plan who is within ten years of the normal retirement date specified in the plan and who would be entitled to a deferred pension under section 35 on termination of employment may elect to receive an early retirement pension commencing at any time within ten years before the normal retirement date that is not less in value than the commuted value of the member’s pension benefit under the pension plan.
40(3)Where a pension plan permits continuation of membership in the plan after attaining normal retirement date and the member continues to be employed and is not receiving a pension under the plan, the member may continue to accrue pension benefits in accordance with the benefit and contribution formula under the plan to the date of termination of the employment to the maximum benefits allowed under the pension plan.
Transfer of portion of commuted value upon pension entitlement
40.1(1)Notwithstanding section 12, a pension plan may include a provision permitting a member who is entitled to a pension under section 39 or 40 to require the administrator to transfer an amount from the pension fund to a registered retirement income fund as defined in the Income Tax Act (Canada), but the pension plan shall not permit a transfer of more than twenty-five per cent of the commuted value of the member’s pension benefit.
40.1(2)A request to an administrator made in accordance with a pension plan provision permitted under subsection (1) shall be made by a member on the prescribed form.
2002, c.12, s.18
JOINT AND SURVIVOR PENSION
Pension to a member who has a spouse to be joint and survivor pension
41(1)Repealed: 2008, c.5, s.6
41(1.1)A pension that commences to be paid under a pension plan on or after the commencement of this subsection to a member or former member who has a spouse or common-law partner when the pension commences to be paid shall be in the form of a joint and survivor pension payable during the lives of the member or former member and the member’s or former member’s spouse or common-law partner.
41(2)The commuted value of the joint and survivor pension payable under subsection (1.1) shall not be less than the commuted value of the pension that would be payable under the pension plan if the member or former member did not have a spouse or common-law partner.
41(2.1)Despite subsection (1.1), in the case of a member or former member, who when the payments commenced did not have a “spouse” as this term was defined at the time, a joint and survivor pension may be paid if:
(a) the member or former member has a spouse or common-law partner of the same sex,
(b) when the payments commenced the persons mentioned in paragraph (a) would have been contemplated by the definition of “spouse” as the definition read at that time, except for the fact that they were a couple of the same sex, and
(c) the spouse or common-law partner of the member or former member directs the pension administrator in writing that the pension be paid in the form of a joint and survivor pension.
41(2.2)The commuted value of the joint and survivor pension referred to under subsection (2.1) shall be valued as of the date of the directive given in accordance with paragraph (2.1)(c), but shall not be less than the commuted value of the pension, evaluated as of the same date, which is then being paid to the member or former member.
41(2.3)Subject to subsection (2.2), the pension benefits and ancillary benefits under the joint and survivor pension under subsection (2.1) shall not be less than those which would have been provided under the pension plan if the pension had been paid from the commencement of payments in the form of the joint and survivor pension.
41(3)The joint and survivor pension payable following the death of a former member or the former member’s spouse or common-law partner shall not be less than sixty per cent of the pension paid during their joint lives under the terms of the pension plan.
41(4)A member and the member’s spouse or common-law partner or a former member who is entitled to a deferred pension and the former member’s spouse or common-law partner may, in accordance with the regulations, jointly in writing direct the administrator of the pension plan to waive the joint and survivor pension under subsection (1.1).
41(5)A waiver under subsection (4) is not valid unless delivered to the administrator of the pension plan within the year preceding payment of the pension.
41(6)A waiver under subsection (4) may be revoked, in writing, by the member and the member’s spouse or common-law partner or by the former member and the former member’s spouse or common-law partner before the commencement of payment of the pension.
41(7)Before the payment of a pension to a person under a pension plan, the administrator may require from the person and the person’s spouse or common-law partner such information and documentation as the administrator requires for the purpose of complying with the provisions of the plan and requirements of this Act and the regulations.
41(8)A person from whom the administrator requires information and documentation shall provide the information and documentation to the administrator.
2008, c.5, s.6
Payment of joint and survivor pension to survivor after remarriage
42(1)The spouse or common-law partner of a deceased former member of a pension plan who is receiving a pension under the pension plan is not disentitled to payment of the pension by reason only of entering into a marriage or common-law partnership after the death of the former member.
42(2)Repealed: 2008, c.5, s.7
42(3)Subsection (1) applies to pensions in payment at the commencement of this subsection and to pensions that commence to be paid after the commencement of this subsection.
2008, c.5, s.7
PRE-RETIREMENT DEATH BENEFIT
2002, c.12, s.19
Repealed
43Repealed: 2008, c.5, s.8
2002, c.12, s.20; 2008, c.5, s.8
Death of former member before payment of pension benefit or deferred pension
43.1(1)Subject to subsections (7) and (8), if a former member of a pension plan dies before the commencement of payment of a deferred pension to which the former member is entitled under section 35, the spouse or common-law partner of the deceased former member at the date of death is entitled to a payment equal in amount to the commuted value of the deferred pension.
43.1(2)Subject to subsections (7) and (8), if a member of a pension plan is entitled to a deferred pension under section 35 on termination of employment and dies while employed, the spouse or common-law partner of the deceased member is entitled to a payment equal in amount to the commuted value of the deferred pension.
43.1(3)Where a member of a pension plan is not entitled to a deferred pension under section 35 and dies while employed, the spouse or common-law partner of the deceased member is entitled to payment of the deceased member’s contributions with interest.
43.1(4)A member or former member may designate a beneficiary and the beneficiary is entitled to the payment referred to in subsection (1), (2) or (3), as the case may be.
43.1(5)A designation under subsection (4) has no effect if the member or former member has a spouse or common-law partner at the date of death.
43.1(6)Where the member or former member does not have a spouse or common-law partner at the date of death and has not designated a beneficiary under subsection (4), the payment shall be made to the estate of the member or former member.
43.1(7)Where the member or former member is covered by a group life insurance plan sponsored, and paid for wholly or in part, by the employer, and the benefit to the surviving spouse, surviving common-law partner, designated beneficiary or estate under that plan is at least equal to the benefit referred to in subsection (1) or (2), a pension plan may provide that the benefit referred to in subsection (1) or (2) does not apply and the administrator shall pay to the surviving spouse, surviving common-law partner, designated beneficiary or estate, as the case may be, a sum equal to the contributions of the member or former member with interest.
43.1(8)Where the member or former member is covered by a group life insurance plan sponsored, and paid for wholly or in part, by the employer and the benefit to the surviving spouse, surviving common-law partner, designated beneficiary or estate under that plan is less than the benefit referred to in subsection (1) or (2), a pension plan may provide that the benefit referred to in subsection (1) or (2) shall be reduced by the amount of the benefit under the group life insurance plan.
43.1(9)Where the contributions with interest of the member or former member are in excess of those required for the benefit referred to in subsection (1), (2) or (8), the administrator shall pay that excess to the surviving spouse, surviving common-law partner, designated beneficiary or estate, as the case may be.
43.1(10)This section applies only in respect of deaths occurring after the commencement of this section.
2008, c.5, s.9
BREAKDOWN OF A MARRIAGE OR COMMON-LAW PARTNERSHIP
2008, c.5, s.10
Division of pension benefits or pension on breakdown of a marriage or common-law partnership
44(1)Where a competent tribunal makes a decree, order or judgment in relation to the division of a benefit under a pension plan on the breakdown of a marriage or common-law partnership, the commuted value of the benefit shall be determined in accordance with this Act and the regulations as of the date of the breakdown of the marriage or common-law partnership and shall be divided in accordance with the decree, order or judgement of the tribunal.
44(2)The portion of the benefits to which a non-member spouse or common-law partner is entitled pursuant to a tribunal decree, order or judgement referred to in subsection (1) shall be dealt with in accordance with section 36.
44(3)If the non-member spouse or common-law partner fails to direct the administrator of the pension plan in relation to the manner in which the non-member spouse or common-law partner’s entitlement is to be dealt with under section 36, the non-member spouse or common-law partner shall be deemed to have directed the administrator to purchase a deferred life annuity.
44(4)If benefits under a pension plan have been divided in accordance with subsection (1), the non-member spouse or common-law partner has no further right under the pension plan and the member or former member’s benefits shall be revalued accordingly.
44(5)If a domestic contract provides for the division of benefits under a pension plan on the breakdown of the marriage or common-law partnership, the commuted value of the benefits shall be determined in accordance with this Act and the regulations as of the date of the breakdown of the marriage or common-law partnership and shall be divided in accordance with the domestic contract.
44(6)A division of benefits under a pension plan on the breakdown of the marriage or common-law partnership pursuant to a domestic contract shall not result in a reduction of the commuted value of a member’s or former member’s benefits by more than fifty per cent.
44(7)Subsections (2), (3) and (4) apply with the necessary modifications to a division of benefits under subsection (5).
44(8)The commuted value of benefits for the purposes of this section that are not deferred pensions shall be determined as if the member had terminated employment on the date of the breakdown of the marriage or common-law partnership.
44(9)If a competent tribunal makes a decree, order or judgment in relation to the division of a pension under a pension plan on the breakdown of a marriage or common-law partnership, the commuted value of the pension, taking into account any survivor rights under the pension plan, shall be determined in accordance with this Act and the regulations as of the date of the breakdown of the marriage or common-law partnership and shall be divided in accordance with the decree, order or judgment of the tribunal.
44(10)The value of the pension determined under subsection (9) that is to be attributed to the spouse or common-law partner of the former member shall be dealt with in accordance with section 36 and the spouse or common-law partner shall have no further right under the pension plan and the pension of the former member shall be revalued accordingly.
44(11)If the spouse or common-law partner of the former member fails to direct the administrator of the pension plan in relation to the manner in which the spouse or common-law partner’s entitlement is to be dealt with under section 36, the spouse or common-law partner shall be deemed to have directed the administrator to purchase a deferred life annuity.
44(12)If a domestic contract provides for the division of a pension under a pension plan on the breakdown of the marriage or common-law partnership, the commuted value of the pension, taking into account any survivor rights under the pension plan, shall be determined as of the date of the breakdown of the marriage or common-law partnership in accordance with this Act and the regulations and shall be divided in accordance with the domestic contract.
44(13)A division of a pension on the breakdown of the marriage or common-law partnership under a domestic contract shall not result in a reduction of the commuted value of a former member’s pension by more than fifty per cent.
44(14)Subsections (10) and (11) apply with the necessary modifications to a division of a pension under subsection (12).
44(15)If a member would not be entitled to a deferred pension under section 35 on termination of employment, the portion of the member’s contributions with interest to be attributed to the non-member spouse or common-law partner may be paid out in cash.
44(16)A division of benefits, including a pension, or contributions under this section applies only in relation to benefits or contributions accrued between the date of marriage or formation of the common-law partnership and the date of the breakdown of the marriage or common-law partnership.
44(17)The division of benefits, including pensions, or contributions under this section is limited by any restrictions imposed by this Act or the regulations in relation to the payment of money out of a pension fund.
44(18)Revaluation of a benefit or pension pursuant to this section shall be in accordance with the regulations.
2008, c.5, s.11
Payment of sum in lieu of amount owing
45Where a decree, order or judgment or a domestic contract referred to in section 44 provides for payment by the member or former member of a sum equal to and in lieu of the amount owing to the member’s or former member’s spouse or common-law partner in relation to a pension or benefit, the administrator and the pension fund are not liable for any payments.
2008, c.5, s.12
EQUALITY PROVISIONS
Sex of member not to be taken into account
46(1)The sex of a member, former member or other beneficiary under a pension plan shall not be taken into account in
(a) determining the amount of contributions required to be made by a member of the plan,
(b) determining the pension benefits or the commuted value of pension benefits that a member, former member or other beneficiary is or may become entitled to,
(c) the provision of eligibility conditions for membership, or
(d) the provision of ancillary benefits.
46(2)In order to comply with subsection (1), the administrator may
(a) use annuity factors that do not differentiate as to sex,
(b) provide for employer contributions that vary according to the sex of the employee, or
(c) use any prescribed method of calculation or valuation.
2002, c.12, s.21
Application of section 46
47Section 46 applies in respect of contributions, benefits and conditions in relation to
(a) employment after the commencement of that section,
(b) employment before the commencement of that section in so far as it is dealt with in an amendment made to the pension plan after the commencement of that section, and
(c) employment before the commencement of that section in so far as it is dealt with in a pension plan established after the commencement of that section.
INTEGRATION
Limitation on reduction of pension or pension benefit
48(1)If a pension plan provides that a pension or a deferred pension may be reduced by reason of payments under the Canada Pension Plan, the Quebec Pension Plan, or under the Old Age Security Act (Canada), the reduction shall not exceed the sum of
(a) the amount payable under the Canada Pension Plan or the Quebec Pension Plan calculated at termination of employment, retirement or death, multiplied by the ratio of the number of years, including parts of a year, of employment credited under the pension plan after December 31, 1965 over thirty-five, and
(b) the amount payable under the Old Age Security Act (Canada), calculated at termination of employment, retirement or death, multiplied by the ratio of the number of years, including parts of a year, of employment credited under the pension plan up to the commencement of this section over thirty-five.
48(2)The ratio referred to in paragraphs (1)(a) and (b) shall not exceed one.
48(3)The reduction referred to in subsection (1) shall be applied before any other adjustments required under the pension plan.
48(4)The amount of the reduction referred to in subsection (1) shall not be increased by reason of increases in payments under the Canada Pension Plan, the Quebec Pension Plan or the Old Age Security Act (Canada) after the date of the member’s termination of employment, retirement, or death.
48(5)The value of a bridging benefit, for receipt of which a member or former member has satisfied all eligibility requirements of the pension plan, shall not be reduced by reason only of the eligibility of the member or former member to receive a payment before reaching sixty-five years of age under the Canada Pension Plan, the Quebec Pension Plan or the Old Age Security Act (Canada).
48(6)If a pension plan provides for variation of a pension benefit by reason of a benefit payable under the Canada Pension Plan, the Quebec Pension Plan or the Old Age Security Act (Canada) without specifically stating the age at which the variation is to occur, the pension shall be deemed to provide that the variation is to occur when the recipient of the pension benefit reaches sixty-five years of age.
48(7)A pension plan shall not permit the reduction of a pension or deferred pension based on a person’s entitlement under the Old Age Security Act (Canada) in respect of a benefit accrued after the commencement of this section.
2002, c.12, s.22
CONTRIBUTIONS
Contributions to pension fund
49(1)A pension plan is not eligible for registration unless it provides for funding sufficient to provide the pension benefits, ancillary benefits and other benefits under the pension plan and under this Act in accordance with this Act and the regulations.
49(2)An employer required to make contributions under a pension plan, or a person required to make contributions under a pension plan on behalf of an employer, shall make the contributions in the prescribed manner and in accordance with the prescribed requirements for funding
(a) to the pension fund, or
(b) if pension benefits under the pension plan are paid by an insurance company, to the insurance company.
49(3)If the administrator is not the employer, the administrator shall take all necessary action so that contributions required to be paid under the pension plan and under the Act and the regulations are paid to the pension fund.
49(4)The administrator of a multi-employer pension plan may require a person who receives contributions to the pension fund or who administers or invests the pension fund to be bonded in the amounts required by the administrator or in the prescribed amounts.
49(5)An employer who is required to make contributions to a multi-employer pension plan shall transmit to the administrator of the plan a copy of the agreement that requires the employer to make the contributions or a written statement that sets out the contributions the employer is required to make and any other obligations of the employer under the pension plan.
49(6)Every person engaged in the investment of money of a pension fund shall ensure that the money is invested in accordance with this Act and the regulations.
49(7)The administrator of a pension plan or, if there is an agent of the administrator responsible for receiving contributions under the plan, the administrator and the agent shall give written notice to the Superintendent of unpaid contributions to the fund.
49(8)If the written notice under subsection (7) is not given to the Superintendent within sixty days after the date on which the contributions become due, the administrator of the pension plan and the employer are jointly liable to pay the contributions plus interest.
2002, c.12, s.23
Pension fund is trust property
50(1)Subject to section 59, a pension fund is trust property for the benefit of the beneficiaries of the fund.
50(2)The beneficiaries of the pension fund are members, former members, and any other persons entitled to pensions, pension benefits, ancillary benefits or refunds under the plan.
2002, c.12, s.24
Contributions held in trust
51(1)If an employer receives money from an employee under an arrangement that the employer will pay the money into a pension fund as the employee’s contribution under the pension plan, the employer shall be deemed to hold the money in trust for the employee until the employer pays the money into the pension fund.
51(2)For the purposes of subsection (1), money withheld by an employer, whether by payroll deduction or otherwise, from money payable to an employee shall be deemed to be money received by the employer from the employee.
51(3)An employer who is required by a pension plan to pay contributions to a pension fund shall be deemed to hold in trust for the beneficiaries of the pension plan an amount of money equal to employer contributions due and not paid into the pension fund.
51(4)If a pension plan is wound up in whole or in part, an employer who is required to pay contributions to the pension fund shall be deemed to hold in trust for the beneficiaries of the pension plan an amount equal to employer contributions accrued to the date of the wind-up but not yet due under the plan or regulations.
51(5)The administrator of the pension plan has a lien and charge upon the assets of the employer in an amount equal to the amount that is deemed to be held in trust under subsections (1), (3) and (4).
51(6)Subsections (1), (3) and (4) apply whether or not the money mentioned in those subsections is kept separate and apart from other money or property of the employer.
Insolvency of employer
52If the administrator of the pension plan is the employer and the employer is bankrupt or insolvent, the Superintendent may act as administrator or appoint an administrator of the plan.
Proceedings to obtain payment of contributions
53The administrator may commence proceedings in a court of competent jurisdiction to obtain payment of contributions due under the pension plan, this Act and the regulations.
INTEREST
Interest on contributions
54After the commencement of this section, interest on contributions shall be calculated and credited at rates not less than the prescribed rates and in accordance with the prescribed requirements.
MAXIMUM EMPLOYEE COST
Percentage of pension benefit offset by employee
55(1)If a member of a pension plan has become entitled to the immediate payment of a contributory pension benefit or has become entitled to a deferred pension in respect of a contributory pension benefit, the member’s accumulated contributions with interest are to be applied to offset not more than the percentage of the commuted value of the pension benefit fixed by the plan.
55(1.1)For the purposes of subsection (1), a pension plan may fix a different percentage of the commuted value of a contributory pension benefit that a member’s contributions with interest are to offset for the portion of the pension benefit that is attributable, in accordance with the benefit formula of the pension plan, to a purchase of past service made after the commencement of this subsection.
55(2)Upon termination of employment or wind-up of a pension plan, a member of a plan is entitled to a refund of the amount, if any, equal to the aggregate of the contributions made by the member with interest less the amount required to offset the percentage of the commuted value of the pension benefit referred to in subsection (1), and that amount, at the option of the member, shall be dealt with in one or more of the following ways:
(a) returned to the member;
(b) transferred to a registered retirement savings plan as defined in the Income Tax Act (Canada) if
(i) the transfer is permitted under that Act or its regulations, and
(ii) the registered retirement savings plan is not a retirement savings arrangement prescribed for the purposes of subparagraph 36(1)(a)(ii); or
(c) transferred to a registered retirement income fund as defined in the Income Tax Act (Canada) if
(i) the transfer is permitted under that Act or its regulations, and
(ii) the registered retirement income fund is not a retirement savings arrangement prescribed for the purposes of subparagraph 36(1)(a)(ii).
55(2.1)Notwithstanding subsection (2), an optional ancillary contribution shall not be refunded if
(a) its refund is prohibited by the Income Tax Act (Canada), or
(b) its refund would result in the revocation of the pension plan’s registration under subsection 147.1(13) of the Income Tax Act (Canada).
55(3)If a pension plan does not fix the percentage of the commuted value of a contributory pension benefit that a member’s contributions with interest are to offset, the plan shall be deemed to have fixed the percentage at fifty per cent.
55(4)Subsections (1) and (3) do not apply in respect of defined contribution benefits or benefits arising from additional voluntary contributions or optional ancillary contributions.
55(5)Subsections (1) and (3) apply to pension benefits provided in respect of employment after the commencement of this section and to pension benefits resulting from an amendment to the pension plan made after the commencement of this section whether or not the amendment applies in respect of employment before the commencement of this section.
2002, c.12, s.25
LOCKING-IN
Restriction on withdrawal of contributions
56(1)Except as otherwise specifically permitted in this Act and the regulations, contributions and interest shall not be withdrawn from a pension fund.
56(2)Subsection (1) does not prevent the withdrawal with interest of additional voluntary contributions or optional ancillary contributions made to a pension fund.
56(3)Upon termination of employment, a member of a pension plan who is not entitled to a pension, or to a deferred pension under subsection 35(1), is entitled to withdraw contributions with interest made in respect of employment before the commencement of this section.
56(4)Subject to subsection 55(2.1), upon termination of employment, a member of a pension plan who is not entitled to a pension, or to a deferred pension under subsection 35(2) or (2.1), is entitled to withdraw contributions with interest made in respect of employment after the commencement of this section.
56(5)When a member withdraws contributions with interest under subsection (2), (3) or (4), the amount withdrawn, at the option of the member, shall be dealt with in one or more of the following ways:
(a) returned to the member;
(b) transferred to a registered retirement savings plan as defined in the Income Tax Act (Canada) if
(i) the transfer is permitted under that Act or its regulations, and
(ii) the registered retirement savings plan is not a retirement savings arrangement prescribed for the purposes of subparagraph 36(1)(a)(ii); or
(c) transferred to a registered retirement income fund as defined in the Income Tax Act (Canada) if
(i) the transfer is permitted under that Act or its regulations, and
(ii) the registered retirement income fund is not a retirement savings arrangement prescribed for the purposes of subparagraph 36(1)(a)(ii).
2002, c.12, s.26
Transfer of commuted value of deferred pension by non-resident
56.1(1)Upon termination of employment, a member of a pension plan who is entitled to a deferred pension under section 35, is entitled to withdraw the commuted value of the deferred pension from the pension fund if
(a) the member and his or her spouse or common-law partner, if any, are not Canadian citizens,
(b) the member and his or her spouse or common-law partner, if any, are not resident in Canada for the purposes of the Income Tax Act (Canada), and
(c) the member’s spouse or common-law partner, if any, waives, on a prescribed form, any rights that he or she may have in the pension fund under this Act, the regulations or the pension plan.
56.1(2)If a member makes a withdrawal under subsection (1), the member is no longer entitled to a deferred pension under section 35.
2002, c.12, s.27; 2008, c.5, s.13
Exemption from execution, seizure or attachment
57(1)Except as otherwise provided in this Act, a transaction that purports to assign, charge, anticipate or give as security any interest in or under a pension plan or any money payable under a pension plan is void.
57(2)Except as otherwise provided by this Act, a transaction that purports to assign, charge, anticipate or give as security any interest in or under a retirement savings arrangement or a deferred life annuity referred to in section 36 or any money payable under such an arrangement or annuity is void.
57(3)Except as otherwise provided in this Act, any interest in or under a pension plan and any money payable under a pension plan are exempt from execution, seizure or attachment or other process of law.
57(4)Except as otherwise provided by this Act, money paid out of a pension fund to another pension plan, to a retirement savings arrangement or for the purchase of a deferred life annuity under section 36 is exempt from execution, seizure or attachment or other process of law.
57(5)Except as otherwise provided in this Act, any interest in or under a retirement savings arrangement or a deferred life annuity referred to in section 36 and any money payable under any such retirement savings arrangement or deferred life annuity are exempt from execution, seizure or attachment or other process of law.
57(6)Money payable under a pension plan, including a refund of contributions with interest, and money payable under a retirement savings arrangement or a deferred life annuity referred to in section 36 are subject to execution, seizure or attachment or other process of law in satisfaction of an order for support or maintenance enforceable in the Province, whether made before or after the commencement of this section, but, other than in the case of a refund of contributions with interest, to a maximum of fifty per cent of the payment unless otherwise ordered by a court of competent jurisdiction.
57(7)Except as otherwise provided by this Act, a transaction that purports to commute or surrender a pension or a pension benefit, or a retirement savings arrangement or a deferred life annuity referred to in section 36, is void.
INVESTMENT
Investment of pension fund
58Every person engaged in the investment of money of a pension fund shall ensure that the money is invested in accordance with this Act and the regulations.
SURPLUS
Distribution of surplus under a pension plan
59(1)In this section
“surplus” means the excess of the value of the assets of a pension fund related to a pension plan over the value of the liabilities under the plan.
59(2)For the purposes of subsection (1), the value of assets and liabilities shall be calculated in the prescribed manner.
59(3)No money shall be paid out of a pension fund to an employer without the prior consent of the Superintendent.
59(4)The Superintendent may consent to an application for payment of surplus to an employer.
(a) on the wind-up of the pension plan, where the plan permits the payment of surplus to an employer on wind-up of the plan, and
(b) in such other circumstances as the plan may provide.
59(5)The Superintendent shall not consent to an application for payment of surplus to an employer unless the application is in accordance with the regulations and the prescribed criteria are met.
59(6)A pension plan that does not provide for the payment of surplus money on the wind-up of the pension plan shall be deemed to require that surplus money accrued after the commencement of this subsection shall be distributed proportionately among the members, former members and any other persons entitled to payments under the pension plan at the effective date of the wind-up.
59(7)A pension plan that does not provide for the withdrawal of surplus money while the pension plan continues in existence shall be deemed to prohibit the withdrawal of surplus money accrued after the commencement of this subsection.
WIND-UP OF PENSION PLAN
Wind-up by administrator or employer
60(1)An employer or, the case of a multi-employer plan, the administrator, may wind up a pension plan in whole or in part.
60(2)Subject to section 61, if an employer or administrator intends to wind up a pension plan the administrator of the plan shall give notice of the wind-up of the plan in writing to
(a) the Superintendent,
(b) each member and former member of the plan,
(c) each trade union that represents members of the plan,
(d) the advisory committee of the plan, and
(e) any other person entitled to payment from the pension fund.
60(3)The notice referred to in subsection (2) shall be given personally or to the last known address of the person entitled to notice and shall include advice that a wind-up report will be filed with the Superintendent at whose offices, upon the filing, it will be available for viewing and comment for thirty days before any disbursement of funds is approved.
60(4)The notice referred to in subsection (2) shall specify the effective date of the wind-up and shall include the prescribed information.
60(5)The effective date of the wind-up shall not be earlier than the date member contributions, if any, cease to be deducted in the case of contributory pension benefits or, in any other case, on the date notice is given to the members.
60(6)Notwithstanding subsection (5), the Superintendent may by order change the effective date of a wind-up if the Superintendent is of the opinion that there are reasonable grounds for the change.
60(7)The withdrawal of a participating employer under a multi-employer pension plan does not constitute wind-up in part of the plan unless, in the opinion of the Superintendent, a partial wind-up of the plan is appropriate in the circumstances.
Wind-up required by Superintendent
61(1)The Superintendent may by order require the wind-up of a pension plan, in whole or in part, on such date and with such notice as in the opinion of the Superintendent are appropriate, if
(a) there is a cessation or suspension of employer contributions to the pension fund,
(b) there is a cessation or suspension of crediting service for pension benefits to members under the plan,
(c) the employer is bankrupt within the meaning of the Bankruptcy Act, chapter B-3 of the Revised Statutes of Canada, 1970,
(d) a significant number of members of the pension plan have terminated employment as a result of the discontinuance of all or part of the business of the employer, or as a result of the reorganization of the business of the employer,
(e) the provisions of this Act or regulations are not being complied with,
(f) all or part of the employer’s business or all or part of the assets of the employer’s business are sold, assigned or otherwise disposed of and the person who acquires the business or assets does not provide a pension plan for the members of the employer’s pension plan who become employees of that person,
(g) in the case of a multi-employer pension plan,
(i) there is a significant reduction in the number of members, or
(ii) there is a cessation of contributions under the pension plan or a significant reduction in such contributions, or
(h) any other prescribed event or circumstance occurs.
61(2)In an order under subsection (1), the Superintendent shall specify the effective date of the wind-up, the persons or class or classes of persons to whom the administrator shall give notice of the order and the information that shall be given in the notice.
Filing and approval of wind-up report
62(1)The administrator of a pension plan that is to be wound up in whole or in part shall file a wind-up report that sets out
(a) the assets and liabilities of the pension plan,
(b) the benefits to be provided under the pension plan to members, former members and other persons,
(c) the methods of allocating and distributing the assets of the pension plan and determining the priorities for payment of benefits, and
(d) such other information as is prescribed.
62(2)No payment shall be made out of the pension fund in respect of which notice of proposal to wind up has been given until the Superintendent has approved the wind-up report.
62(3)Subsection (2) does not apply to prevent continuation of payment of a pension or any other benefit the payment of which commenced before the giving of the notice of proposal to wind up the pension plan, or to prevent any other payment that is prescribed or that is approved by the Superintendent.
62(4)An administrator shall not make payment out of the pension fund except in accordance with the wind-up report approved by the Superintendent.
62(5)The Superintendent may refuse to approve a wind-up report that does not meet the requirements of this Act and the regulations or that, in the Superintendent’s opinion, does not protect the interests of the members and former members of the pension plan.
62(6)On the partial wind-up of a pension plan, members, former members and other persons entitled to benefits or payments under the pension plan shall have rights and benefits that are not less than the rights and benefits they would have on a full wind up of the pension plan on the effective date of the partial wind-up.
62(7)The Superintendent may require the distribution of any or all assets of a pension plan as a condition of the approval of the wind-up report.
62(8)The Superintendent shall not approve the wind-up report before the expiry of thirty days after the receipt of the report filed under subsection (1).
Administrator appointed by Superintendent for wind-up
63If there is no administrator to undertake the requirements respecting the wind-up of a pension plan in whole or in part, the Superintendent may act as or may appoint an administrator for the purposes of the wind-up and such costs as are appropriate in the circumstances may be paid out of the pension fund.
Entitlement of members and former members on wind-up
64(1)On the wind-up of a pension plan in whole or in part, the administrator shall give to each person entitled to a pension, deferred pension or other benefit or to a refund in respect of the pension plan a statement setting out the person’s entitlement under the pension plan, the options available to the person and any other prescribed information.
64(2)For the purposes of determining the amount of pension benefits to which a person may be entitled on the wind-up of a pension plan, in whole or in part,
(a) the employment of each member of the pension plan affected by the wind-up shall be deemed to have been terminated on the effective date of the wind-up of the pension plan, and
(b) each member’s pension benefits as of the effective date of the wind-up shall be determined as if the member had satisfied all eligibility conditions for a deferred pension under section 35, and the member shall be deemed to be entitled to a deferred pension under section 35.
64(3)Section 36, other than subsection 36(3) applies to members and former members of a pension plan upon wind-up other than persons who are receiving a pension.
Payments by employer on wind-up
65(1)Upon wind-up of a pension plan, in whole or in part, an employer required to make contributions to the pension fund shall pay into the fund
(a) an amount equal to the total of all payments that, under this Act, the regulations and the plan have accrued to and including the date of the wind-up, whether or not payment of such money is due on that date, and
(b) an amount equal to all payments that under this Act, the regulations and the plan are due from the employer to the pension fund but that have not been paid at the date of wind-up.
65(1.1)For the purpose of paragraph (1)(a), if a pension plan is wound up, in whole or in part, and as of the date of the wind-up the market value of the investments held by the plan does not equal or exceed its solvency liabilities, the employer shall pay into the fund in accordance with subsection (4), an amount so that
(a) where the plan is wholly wound up, the market value of investments held by the plan equals its solvency liabilities, or
(b) where the plan is wound up in part, the market value of the investments held by the plan attributable to that portion of the plan being wound up equals its solvency liabilities for that part,
and such amount required to be paid shall be deemed to have accrued as of the effective date of the wind-up.
65(1.2)Subsection (1.1) does not apply to a defined benefit plan established under one or more collective agreements or a trust agreement in which the requirement that an employer’s contributions, or a person required to make contributions on behalf of an employer, to a pension fund are limited to a fixed amount established in a collective agreement or a trust agreement.
65(2)For the purposes of subsection (1), the amount required to be paid shall be deemed to accrue on a daily basis.
65(3)The employer shall pay the amounts required under subsection (1), other than an amount determined pursuant to subsection (1.1), to the pension fund in the manner and on the terms prescribed.
65(4)Where a pension plan is wound up, in whole or in part, and an amount under subsection (1.1) is determined to be owing and the employer is not insolvent,
(a) the employer shall fund the amount over a period of not more than five years after the effective date of the wind-up,
(b) the administrator shall continue to file annual information returns and actuarial valuation reports as required under this Act until the amount has been retired, and
(c) subject to subsections 62(2) and (7), the assets of the plan shall be distributed in the manner and to the extent prescribed.
65(5)If a plan is wound up, in whole or in part, and an amount is owing pursuant to subsection (1.1), a schedule of special payments shall be established, subject to the approval of the Superintendent, for the amount to be retired over a period of not more than five years, commencing as of the effective date of the wind-up.
65(6)For the purposes of subsection (1.1), the amount shall be considered to have been retired if a subsequent actuarial valuation reveals that the market value of investments of the plan or of the part of the plan that was wound up, as the case may be, equals or exceeds its solvency liabilities.
2007, c.51, s.1
Reduction of pension and benefits on wind-up
66(1)Upon the wind-up of a pension plan in whole or in part, if insufficient funds are available to pay the pensions and benefits under the plan, the amount of the pension or benefit to which a person is entitled may be reduced in accordance with the regulations.
66(2)Nothing in subsection (1) prevents the Superintendent from ordering a reduction in pensions and benefits under a pension plan before the wind-up of the plan is completed if the Superintendent is of the opinion, upon reasonable and probable grounds, that there are or are likely to be insufficient funds available to pay the pensions and benefits under the plan.
2007, c.51, s.2
Distribution of remaining assets after wind-up
67(1)If a pension plan is wound up in whole or in part, after satisfaction of all pensions, pension benefits and ancillary benefits and payments to which members, former members and other persons are entitled under the plan or in accordance with this Act and the regulations, any remaining assets in the pension fund may be distributed proportionately to the members, former members and other persons entitled to benefits or payments under the plan unless the plan provides for payment to the employer.
67(2)If a pension plan provides for payment of any assets remaining in the pension fund after wind-up to an employer, no such payment shall be made without the approval of the Superintendent under section 59.
67(3)Assets in a pension fund that are distributed in accordance with subsection (1), at the option of the person to whom they are distributed, shall be dealt with in one or more of the following ways:
(a) paid to the person;
(b) transferred to a registered retirement savings plan as defined in the Income Tax Act (Canada) if
(i) the transfer is permitted under that Act or its regulations, and
(ii) the registered retirement savings plan is not a retirement savings arrangement prescribed for the purposes of subparagraph 36(1)(a)(ii); or
(c) transferred to a registered retirement income fund as defined in the Income Tax Act (Canada) if
(i) the transfer is permitted under that Act or its regulations, and
(ii) the registered retirement income fund is not a retirement savings arrangement prescribed for the purposes of subparagraph 36(1)(a)(ii).
2002, c.12, s.28
Pension fund after wind-up
68If a pension plan is wound up, the pension fund shall continue to be subject to the requirements of this Act and the regulations until all the assets of the pension fund have been disbursed.
SALES AND TRANSFERS
Effect on pension plan of sale, assignment or other disposition of employer’s business
69(1)In this section
“successor employer” means a person who acquires the business or assets of an employer.
69(2)If an employer who contributes to a pension plan sells, assigns or otherwise disposes of all or part of the employer’s business or all or part of the assets of the employer’s business, a member of the pension plan who, in conjunction with the sale, assignment or disposition becomes an employee of the successor employer and becomes a member of a pension plan provided by the successor employer
(a) continues to be entitled to the benefits provided under the employer’s pension plan in respect of employment to the effective date of the sale, assignment or disposition without further accrual,
(b) is entitled to credit in the pension plan of the successor employer for the period of employment with the employer, for the purpose of determining eligibility for membership in or entitlement to benefits under the pension plan of the successor employer, and
(c) is entitled to credit in the employer’s pension plan for the period of employment with the successor employer for the purpose of determining entitlement to benefits under the employer’s pension plan.
69(3)Paragraph (2)(a) does not apply if the successor employer assumes responsibility for the accrued pension benefits of the employer’s pension plan.
69(4)If a transaction described in subsection (2) takes place, the employment of the employee shall be deemed, for the purposes of this Act, not to be terminated by reason of the transaction.
69(5)If a transaction described in subsection (2) occurs and the successor employer assumes responsibility in whole or in part for the pension benefits provided under the employer’s pension plan, no transfer of assets shall be made from the employer’s pension fund to the pension fund of the plan provided by the successor employer without the prior consent of the Superintendent or contrary to the prescribed terms and conditions.
69(6)The Superintendent shall refuse to consent to a transfer of assets that does not protect the pension benefits and any other benefits of the members and former members of the employer’s pension plan and of any other person entitled to benefits or payments under the plan or that does not meet the prescribed requirements and qualifications.
69(7)The Superintendent by order may require the transferee to return to the pension fund, with interest, assets transferred without the prior consent required by subsection (5).
69(8)If a transaction described in subsection (2) takes place and the successor employer does not provide a pension plan for members of the employer’s pension plan who become employees of the successor employer, the administrator of the employer’s pension plan shall wind up the pension plan in respect of those members.
69(9)An order for a return of assets under subsection (7), exclusive of the reasons for the order, may be filed in The Court of Queen’s Bench of New Brunswick and shall be entered and recorded in the Court, and when so entered and recorded becomes a judgment of the Court and may be enforced as a judgment obtained in the Court by the Superintendent.
69(10)All reasonable costs and charges attendant upon the filing, entering and recording of an order under subsection (9) are recoverable in like manner as if the amount had been included in the order.
NEW PLANS
Establishment of new pension plans
70(1)A pension plan shall not be wound up for the reason only that a new pension plan is established and the employer has ceased to make contributions to the original pension plan.
70(2)The benefits under the original pension plan in respect of employment before the establishment of the new pension plan shall be deemed to be benefits under the new pension plan.
70(3)Subsection (2) applies whether or not the assets and liabilities of the original pension plan are consolidated with those of the new pension plan.
70(4)No transfer of assets shall be made from the pension fund of the original pension plan to the pension fund of the new pension plan without the prior consent of the Superintendent or contrary to the prescribed terms and conditions.
70(5)The Superintendent shall refuse to consent to a transfer of assets that does not protect the pension benefits and any other benefits of the members and former members of the original pension plan and of any other person entitled to benefits or payments under the plan or that does not meet the prescribed requirements and qualifications.
Establishment of new plans
71(1)The Superintendent by order may require the transferee to return to the pension fund assets, with interest calculated in the prescribed manner, transferred without the prior consent of the Superintendent under section 70 or transferred contrary to a prescribed term or condition.
71(2)An order for return of assets under subsection (1), exclusive of the reasons for the order, may be filed in The Court of Queen’s Bench of New Brunswick and shall be entered and recorded in the Court, and when so entered and recorded becomes a judgment of the Court and may be enforced as a judgment obtained in the Court by the Superintendent.
71(3)All reasonable costs and charges attendant upon the filing, entering and recording of an order under subsection (2) are recoverable in like manner as if the amount had been included in the order.
ORDERS AND APPEALS
2013, c.31, s.23
Orders by Superintendent
72(1)The Superintendent, in the circumstances mentioned in subsection (2), by a written order may require an administrator, or any other person whom the Superintendent considers appropriate in the circumstances, to take or to refrain from taking any action in respect of a pension plan, a pension fund or a retirement savings arrangement prescribed for the purposes of subparagraph 36(1)(a)(ii).
72(2)The Superintendent may make an order under this section if the Superintendent is of the opinion, upon reasonable and probable grounds,
(a) that the pension plan, pension fund or prescribed retirement savings arrangement is not being administered in accordance with this Act, the regulations or the pension plan,
(b) that the pension plan or prescribed retirement savings arrangement does not comply with this Act and the regulations,
(c) that the administrator of the pension plan, the employer or any other person is violating a provision of this Act or the regulations,
(c.1) that the administrator of the pension plan, the employer or any other person is violating a provision of the multilateral agreement entered into under section 93.3, in the case of a pension plan that is subject to that agreement,
(d) that the assumptions or methods used in the preparation of a report required under this Act or the regulations in respect of a pension plan are inappropriate for a pension plan,
(e) that the assumptions or methods used in the preparation of a report required under this Act or the regulations in respect of a pension plan do not accord with generally accepted actuarial principles,
(f) that a report submitted in respect of a pension plan does not meet the requirements and qualifications of this Act, the regulations or the pension plan,
(g) that a report or form submitted in respect of a prescribed retirement savings arrangement does not meet the requirements and qualifications of this Act, the regulations or the prescribed retirement savings arrangement, or
(h) that there are or are likely to be insufficient funds available to pay the pensions and benefits under the plan.
72(3)In an order under this section, the Superintendent may specify the time or times when or the period or periods of time within which the person to whom the order is directed must comply with the order.
72(4)An order under paragraph (2)(d), (e) or (f) may include, but is not limited to, requiring the preparation of a new report and specifying the assumptions or methods or both that shall be used in the preparation of the new report.
72(5)An order under this section is not effective unless the reasons for the order are set out in the order.
72(6)In an order made under paragraph (2)(c), the Superintendent shall specify the provision of this Act or the regulations that, in the Superintendent’s opinion, has not been complied with.
72(7)In an order made under paragraph (2)(c.1), the Superintendent shall specify the provision of the multilateral agreement that, in the Superintendent’s opinion, has not been complied with.
2002, c.12, s.29; 2007, c.51, s.3; 2011, c.33, s.1
Referral of matters to the Tribunal
73(1)If the Superintendent has made an order or decision under this Act or the regulations, the person against whom the order or decision is made or who is affected by the order or decision may appeal the order or decision to the Tribunal within 20 days after the order is served or within 20 days after the day notice of the Superintendent’s decision is mailed.
73(2)Repealed: 2013, c.31, s.23
73(3)The Tribunal may hear a matter appealed to it under this section despite that a time period set out in subsection (1) was not complied with.
73(4)If a matter is appealed to the Tribunal, an order of the Superintendent or decision issued by the Superintendent with respect to the matter is stayed pending the disposition of the matter by the Tribunal, unless the Tribunal directs otherwise.
1994, c.52, s.4; 2013, c.31, s.23
Referral of matters to the Labour and Employment Board
73.1(1)Despite subsection 74(1), the Tribunal may refer a matter to the Labour and Employment Board that, in the opinion of the Tribunal, involves a question of law or a question of mixed law and fact involving labour or employment law.
73.1(2)If the Tribunal refers a matter to the Labour and Employment Board under subsection (1), the Tribunal shall
(a) state the question in writing, setting out the facts on which it is based, and
(b) file with the Labour and Employment Board the question together with additional information or material that the Tribunal considers relevant.
73.1(3)The Labour and Employment Board shall consider and determine the question, and the decision of the Labour and Employment Board on the question is final and binding on the Tribunal and the parties and shall be deemed to be a part of the Tribunal’s decision.
73.1(4)When the Labour and Employment Board hears a matter referred to it under this section, subsections 73(3) and (4) and sections 75, 76 and 80 apply with the necessary modifications to the hearing.
73.1(5)To the extent they are not inconsistent with the Labour and Employment Board Act, the rules made by the Financial and Consumer Services Commission governing the practice and procedure of the Tribunal apply with the necessary modifications to a hearing under this section.
2013, c.31, s.23
Repealed
74Repealed: 2013, c.31, s.23
1994, c.52, s.4; 2013, c.31, s.23
Proceedings before the Tribunal
75(1)The Superintendent is a party to a matter appealed to the Tribunal and is responsible to present a case in support of a decision or order made by the Superintendent.
75(2)In a matter appealed to the Tribunal under section 73, the appellant, the Superintendent and any other person who, in the opinion of the Tribunal, is interested in or affected by the proceedings have the right to be heard.
1994, c.52, s.4; 2013, c.31, s.23
Orders and records of the Tribunal
76(1)If a matter has been appealed to the Tribunal under section 73, after hearing and considering the matter the Tribunal may issue an order
(a) affirming the decision or order of the Superintendent,
(b) vacating the decision or order of the Superintendent and substituting the decision or order that, in its opinion, the Superintendent should have made, or
(c) remitting the matter to the Superintendent for further investigation, with such directions as the Tribunal considers appropriate,
and in every case the Tribunal shall in writing so advise all parties to the proceeding of its disposition and the reasons for the disposition.
76(2)Repealed: 2013, c.31, s.23
1994, c.52, s.4; 2013, c.31, s.23
Summons to appear to show cause
77(1)On the application of the Superintendent or any other interested person, the Tribunal may issue a summons requiring the person named in the summons to appear before the Tribunal to show cause why an order of the Superintendent or of the Tribunal has not been complied with and why a further order should not be made.
77(2)A summons issued under this section by the Tribunal may be served outside the Province, and a failure to appear by any person summoned shall not affect the ability of the Tribunal to act.
1994, c.52, s.4; 2013, c.31, s.23
Entering orders as judgments of the Court
78(1)If the Tribunal determines that a person has failed or refused to comply with an order of the Superintendent or the Tribunal without reasonable cause, the Tribunal may file a copy of the order in The Court of Queen’s Bench of New Brunswick and the order shall be entered and recorded in the Court, and when entered and recorded becomes a judgment of the Court that may be enforced as a judgment obtained by the Tribunal in the Court.
78(2)All reasonable costs and charges attendant on the filing, entering and recording of an order under subsection (1) are recoverable as if the amount had been included in the order.
1994, c.52, s.4; 2013, c.31, s.23
Repealed
79Repealed: 2013, c.31, s.23
1994, c.52, s.4; 2013, c.31, s.23
Repealed
80Repealed: 2013, c.31, s.23
1994, c.52, s.4; 2013, c.31, s.23
GENERAL
Extension of time limits
81The Superintendent or the Tribunal may extend any time limit prescribed by this Act or the regulations before or after the expiration of the time if satisfied that there are reasonable grounds for the extension, and may give the directions that the Superintendent or the Tribunal considers proper consequent on the extension.
1994, c.52, s.4; 2013, c.31, s.23
Superintendent’s power of inspection
82(1)The Superintendent, for the purpose of ensuring that the provisions of this Act and the regulations are complied with, may, at any reasonable time
(a) enter and have access to, through and over any business premises where the Superintendent has reasonable grounds to believe that books, papers, documents or things are kept that relate to a pension plan, a pension fund or a retirement savings arrangement prescribed for the purposes of subparagraph 36(1)(a)(ii),
(b) make any examinations, investigations or inquiries and may require the production of any book, paper, document or thing related to a pension plan, a pension fund or a retirement savings arrangement prescribed for the purposes of subparagraph 36(1)(a)(ii),
(c) make, take and remove or require the making, taking and removal of copies or extracts related to an examination, investigation or inquiry in relation to a pension plan, a pension fund or a retirement savings arrangement prescribed for the purposes of subparagraph 36(1)(a)(ii), and
(d) upon giving a receipt, remove any books, papers, documents or things related to the subject matter of an examination, investigation or inquiry for the purpose of making copies, but the copying shall be carried out with reasonable dispatch and the books, papers, documents and things shall be returned immediately after the copying is completed.
82(2)Subsection (1) is not authority to enter a private residence without the consent of the occupier.
82(3)The Superintendent shall provide identification at the time of entry under this section.
82(4)A copy of any written or recorded material found in an examination, investigation or inquiry and purporting to be certified by the Superintendent is admissible in evidence in any action, proceeding or prosecution for all purposes for which the original would be admissible.
2002, c.12, s.30
Obstruction of Superintendent
83(1)No person shall hinder or obstruct the Superintendent while the Superintendent is lawfully carrying out the powers and duties of the Superintendent under this Act.
83(2)A refusal of consent to enter a private residence is not hindering or obstructing within the meaning of subsection (1).
Service of documents
84(1)Any notice, order or other document under this Act or the regulations is sufficiently given, served or delivered if delivered personally or sent by registered mail addressed to the person to whom it is to be given, served or delivered at the person’s last known address.
84(2)A notice, order or other document sent by registered mail in accordance with subsection (1) shall be deemed to be given, served or delivered on the fifth day after the day of mailing, unless the person to whom it is sent establishes that, acting in good faith, the person did not receive the notice, order or other document, or did not receive it until a later date, through absence, accident, illness or other cause beyond the person’s control.
Certificates of Superintendent
85(1)A certificate purporting to be signed by the Superintendent stating that a report, request or notice was or was not received, served or given by the Superintendent and, if so received, served or given, the date on which it was received, served or given, is, without proof of the signature, office or appointment of the person purporting to have signed the certificate, admissible in evidence in any proceeding and, in the absence of evidence to the contrary, is proof of the facts stated in the certificate.
85(2)A certificate referred to in subsection (1) shall not be received in evidence unless the party intending to produce it has before the proceeding given to the person against whom it is to be produced reasonable notice of the intention, together with a copy of the certificate.
85(3)A person against whom a certificate referred to in subsection (1) is produced may, with leave of the Board, require the attendance of the Superintendent for purposes of cross-examination.
1994, c.52, s.4
Effect of defects in form and technical irregularity
86No proceedings under this Act are invalid by reason of a defect in form or technical irregularity.
Rulings of Superintendent
87A document purporting to contain or to be a copy of a ruling, decision or order of the Superintendent, and purporting to be signed by the Superintendent shall be accepted by any court as evidence of the ruling, decision or order without proof of the signature, office or appointment of the person purporting to have signed the document.
OFFENCES AND PENALTIES
Offences and penalties
88(1)A person who violates or fails to comply with any provision of the regulations commits an offence.
88(1.1)A person who violates or fails to comply with an order of the Tribunal commits an offence.
88(1.2)Where an offence under this Act continues for more than one day,
(a) the minimum fine that may be imposed is the minimum fine set by the Provincial Offences Procedure Act multiplied by the number of days during which the offence continues, and
(b) the maximum fine that may be imposed is the maximum fine set by the Provincial Offences Procedure Act multiplied by the number of days during which the offence continues.
88(2)As well as imposing a fine, the court may stipulate that an additional amount be paid into court for the purpose of satisfying in whole or in part an amount payable by the convicted person under a provision of this Act or the regulations or under an order of the Board and the court shall, upon receipt of the amount, pay the amount to the appropriate person.
88(3)Except with respect to a payment made under subsection (2), a conviction for an offence under this Act does not relieve the convicted person of the obligation to comply with an order of the Board or to pay any amount established by the Board as being due and owing under this Act.
1990, c.61, s.104; 1994, c.52, s.4; 2013, c.31, s.23
Offences and penalties
88.1(1)A person who violates or fails to comply with a provision of this Act that is listed in Column I of Schedule A commits an offence.
88.1(2)For the purposes of Part II of the Provincial Offences Procedure Act, each offence listed in Column I of Schedule A is punishable as an offence of the category listed beside it in Column II of Schedule A.
1990, c.61, s.104
Prosecution of employer
89If an employer is prosecuted under this Act, the act or omission of an employee of the employer shall be deemed to be the act or omission of the employer unless the employer establishes that the act or omission occurred despite the fact the employer, and each person exercising supervisory responsibilities over the employee on behalf of the employer, took all reasonable care to avoid it.
Repealed
90Repealed: 1990, c.22, s.40
1990, c.22, s.40
ADMINISTRATION
Financial and Consumer Services Commission responsible for administration of the Act
91(1)The Financial and Consumer Services Commission is responsible for the administration of this Act.
91(2)Repealed: 2013, c.31, s.23
91(3)The Superintendent or the Financial and Consumer Services Commission may delegate in writing any power or duty of the Superintendent under this Act or the regulations to any person, subject to any limitation or condition set out in the delegation.
2013, c.31, s.23
Agreements by Minister
92(1)The Minister may, subject to the approval of the Lieutenant-Governor in Council,
(a) enter into agreements with authorized representatives of a designated jurisdiction to provide for the reciprocal application and enforcement of pension benefits legislation and for the reciprocal registration, audit and inspection of pension plans,
(b) delegate to authorized representatives of a designated jurisdiction such functions and powers under this Act and the regulations as the Minister may determine, and
(c) accept similar delegations of functions and powers from authorized representatives of a designated jurisdiction.
Registration in designated jurisdiction
93If a pension plan required to be registered in the Province is registered in a designated jurisdiction, the Minister by order may limit the application of this Act and the regulations to the pension plan and authorize the application of the law of the designated jurisdiction in respect of the pension plan.
Continuance of prior agreement
93.1Any agreement entered into under subsection 92(1) continues in force until it is terminated according to its terms or until the date the Province and the other party to that agreement become subject to the multilateral agreement entered into under section 93.3.
2011, c.33, s.2
Definition of “multi-jurisdictional pension plan”
93.2In sections 93.3 to 93.9, “multi-jurisdictional pension plan” means a pension plan that is subject to this Act and to the pension benefits legislation of one or more designated jurisdictions.(régime de pension relevant de plus d’une autorité gouvernementale)
2011, c.33, s.2
Authority to enter into the agreement
93.3(1)With the approval of the Lieutenant-Governor in Council, the Minister may
(a) enter into a multilateral agreement respecting multi-jurisdictional pension plans with an authorized representative of one or more designated jurisdictions, and
(b) enter into arrangements to make amendments to the agreement referred to in paragraph (a) under its amending formula.
93.3(2)The Minister or his or her delegate may enter into an agreement with an authorized representative of a designated jurisdiction respecting the application of any provision of the multilateral agreement for which the Minister and the authorized representative have discretion as to its application.
2011, c.33, s.2
Scope of the agreement
93.4(1) The multilateral agreement entered into under section 93.3 shall have the force of law in the Province on the date the Minister signs the agreement, including any provision in the agreement that
(a) determines which multi-jurisdictional pension plans are subject to the agreement,
(b) establishes which parties to the agreement have jurisdiction with respect to a multi-jurisdictional pension plan,
(c) makes applicable in the Province a provision of
(i) the pension benefits legislation of a designated jurisdiction, or
(ii) the legislation of a designated jurisdiction that provides a right of recourse under the pension benefits legislation of that jurisdiction,
(d) makes inapplicable in the Province a provision of this Act or the regulations,
(e) provides that a decision made by the pension supervisory authority of a party to the agreement is deemed to be a decision made by the Superintendent,
(f) provides that a decision made by the Superintendent is deemed to be a decision made by the pension supervisory authority of a party to the agreement,
(g) provides that a provision of the agreement prevails over a provision of a multi-jurisdictional pension plan in the case of a conflict, and
(h) establishes additional requirements with respect to a multi-jurisdictional pension plan that is subject to the agreement, including requirements for
(i) the exchange of notices, documents and information with respect to a multi-jurisdictional pension plan between pension supervisory authorities, administrators, employers, members and other persons having rights under the plan or their representatives,
(ii) contributions to a multi-jurisdictional pension plan in addition to those required under this Act and the regulations,
(iii) the establishment and funding of an additional liability with respect to a multi-jurisdictional pension plan that would not otherwise be required under this Act or the regulations,
(iv) the determination of the amount of the pension benefits, deferred pension, or ancillary benefits or any other amount payable in relation to a member or former member that differ from the requirements that would apply in the absence of the agreement, if the member or former member has service in the Province and in a designated jurisdiction that is subject to the agreement, which requirements may result in an increase or a decrease in the amount to which the member or former member would otherwise be entitled,
(v) the allocation of the assets of a multi-jurisdictional pension plan between designated jurisdictions,
(vi) the establishment of time limits for an administrator to comply with the investment rules applicable in the pension benefits legislation to which the multi-jurisdictional pension plan is subject,
(vii) the allocation of the assets between participating employers of a multi-jurisdictional pension plan that is also a multi-employer pension plan,
(viii) the payment of benefits following the allocation of the assets of a multi-jurisdictional pension plan, or
(ix) the establishment of procedures for withdrawing from the agreement.
93.4(2)The administrator of a multi-jurisdictional pension plan shall comply with any requirement set out in the multilateral agreement entered into under section 93.3 that applies with respect to the plan and with any requirement imposed under the authority of the agreement.
93.4(3)An employer or person required to make contributions to a multi-jurisdictional pension plan on the employer’s behalf shall comply with any requirement set out in the multilateral agreement entered into under section 93.3 that applies with respect to the plan and with any requirement imposed under the authority of the agreement.
93.4(4)The amount of pension benefits, deferred pension or ancillary benefits or any other amount payable under a multi-jurisdictional pension plan in relation to a member or former member shall be determined in accordance with the requirements set out in the multilateral agreement entered into under section 93.3.
93.4(5)This section does not apply to a multi-jurisdictional pension plan unless the Minister has entered into a multilateral agreement under section 93.3 with the authorized representative of the designated jurisdiction to which the plan is subject.
2011, c.33, s.2
Reciprocal implementation of the agreement
93.5(1)The Minister or his or her delegate may exercise any of the duties or powers of a designated jurisdiction for which the multilateral agreement entered into under section 93.3 permits a delegation to the Province as a major or minor authority.
93.5(2)The Minister may delegate to a party to the multilateral agreement entered into under section 93.3 any duty or power of the Minister under this Act for which the agreement permits a delegation to the designated jurisdiction as a major or minor authority.
2011, c.33, s.2
Rules for asset splitting
93.6(1)The Minister or his or her delegate may order the splitting of the assets of a multi-jurisdictional pension plan that is subject to the multilateral agreement entered into under section 93.3.
93.6(2)In the case of the splitting of the assets of a multi-jurisdictional pension plan, the portion of the assets of the plan with respect to persons employed in the Province is no longer subject to the multilateral agreement.
2011, c.33, s.2
Non-application of Regulations Act
93.7The Regulations Act does not apply to the multilateral agreement entered into under section 93.3.
2011, c.33, s.2
Publication of the agreement
93.8The Minister shall publish in The Royal Gazette the multilateral agreement entered into under section 93.3 and any amendment to that agreement as soon as practicable after entering into the agreement or making the amendment.
2011, c.33, s.2
Requests for copies of the agreement
93.9The Superintendent shall, on request, provide a copy of the multilateral agreement entered into under section 93.3.
2011, c.33, s.2
Repealed
94Repealed: 1994, c.52, s.4
1994, c.52, s.4
Repealed
95Repealed: 1994, c.52, s.4
1994, c.52, s.4
Authority of Labour and Employment Board
96(1)The Labour and Employment Board and each member and alternate member have the powers, privileges, immunities and responsibilities of a commissioner under the Inquiries Act and regulations under that Act.
96(2)The Labour and Employment Board may receive and accept any evidence and information on oath, affidavit or otherwise as it in its discretion considers fit and proper, whether admissible as evidence in a court or not.
96(3)The Labour and Employment Board may make rules governing its procedure.
96(4)Repealed: 1994, c.52, s.4
1994, c.52, s.4; 2013, c.31, s.23
Jurisdiction of the Labour and Employment Board
97(1)The Labour and Employment Board has exclusive jurisdiction to exercise the powers conferred on it under this Act and to determine all questions of fact or law that arise in a matter before it.
97(2)A decision, determination, direction, declaration or ruling of the Labour and Employment Board is final and conclusive and, except on the grounds of jurisdiction or a denial of natural justice, shall not be questioned or reviewed in any court, and no order shall be made or proceedings taken in any court, whether by way of injunction, declaratory judgment, order on judicial review or otherwise to question, review, prohibit or restrain the Labour and Employment Board or any of its proceedings.
97(3)If a decision of the Labour and Employment Board is reviewed and set aside because of an excess of jurisdiction or a denial or natural justice, no costs shall be awarded against any party to the matter before the Labour and Employment Board.
1994, c.52, s.4; 2013, c.31, s.23
Referral to The Court of Appeal
98(1)Despite subsection 38(5) of the Financial and Consumer Services Commission Act, the Tribunal, on its own motion, may state a case in writing for the opinion of The Court of Appeal of New Brunswick on a question that, in the opinion of the Tribunal, is a question of law.
98(2)The Court of Appeal of New Brunswick shall hear and determine the question or questions of law arising in the stated case and shall remit the matter to the Tribunal with the opinion of the Court, and the opinion of the Court on a question of law is binding on the Tribunal and the parties.
98(3)No costs shall be awarded in a case stated under this section.
1994, c.52, s.4; 2013, c.31, s.23
Repealed
99Repealed: 1994, c.52, s.4
1994, c.52, s.4
PENSIONERS OF ST. ANNE-NACKAWIC PULP COMPANY LTD.
2007, c.76, s.1
Transfer of commuted value of a pension
99.1(1)This section applies to the following pension plans:
(a) Pension Plan for Non-Union Salaried Employees of St. Anne-Nackawic Pulp Company Ltd., the registration of which under the Act was acknowledged on August 7, 1997, as amended;
(b) Pension Plan for Hourly Paid and Clerical Union Employees of St. Anne-Nackawic Pulp Company Ltd., as registered with the Superintendent on January 13, 1994, as amended.
99.1(2)On the wind-up of the pension plans mentioned in subsection (1) a person who is receiving a pension under one of the plans is entitled to require the administrator to transfer the commuted value of the pension in accordance with the regulations
(a) to another pension plan with the consent of the administrator of that plan, or
(b) to a prescribed retirement savings arrangement.
99.1(3)The administrator shall not make a transfer under paragraph (2)(a) to a pension plan that is not registered in the Province unless
(a) the pension plan is registered for persons employed in a designated jurisdiction, and
(b) the member is employed in that jurisdiction by an employer who is making contributions on behalf of the member to the pension fund that is to receive the amount to be transferred.
99.1(4)The administrator shall not make a transfer under paragraph (2)(b) unless the retirement savings arrangement meets the prescribed requirements.
99.1(5)A person who desires to exercise any rights under subsection (2) shall deliver a direction in the prescribed form to the administrator within ninety days after receipt of notice of the rights.
99.1(6)The administrator shall, subject to the requirements of this Act and the regulations, comply with the direction within thirty days after its receipt.
99.1(7)Money transferred from a pension fund to a retirement savings arrangement purchased pursuant to a right exercised under subsection (2) shall be administered in accordance with this Act and the regulations, and sections 41, 42 and 56 apply to the amount transferred.
99.1(8)Subsection (7) applies to the initial transfer or purchase and to any subsequent transfer or purchase.
99.1(9)Where an administrator has complied with a request in accordance with this section, the administrator and the pension fund are not liable for providing the pension.
2007, c.76, s.1
Limitation on transfer of money from a pension fund
99.2(1)The administrator of a pension plan shall not transfer money out of the pension fund pursuant to section 99.1without the consent of the Superintendent if the transfer is not within the prescribed limitations in relation to transfers of money from pension funds.
99.2(2)On request for consent under subsection (1), the Superintendent may consent to the transfer on such terms and conditions as the Superintendent considers appropriate in the circumstances.
2007, c.76, s.1
Liability in relation to improper transfer of money from a pension fund
99.3Where money has been paid or transferred from a pension fund contrary to this Act or the regulations or contrary to a term or condition imposed by the Superintendent under section 99.2, the Superintendent may order the transferee to return the money to the pension fund and the transferor and transferee are jointly liable to the pension fund for the amount of money so transferred plus interest.
2007, c.76, s.1
Exemption from execution, seizure or attachment
99.4(1)Except as otherwise provided by this Act, a transaction that purports to assign, charge, anticipate or give as security any interest in or under a retirement savings arrangement referred to in section 99.1 or any money payable under such an arrangement is void.
99.4(2)Except as otherwise provided by this Act, money paid out of a pension fund to another pension plan or to a retirement savings arrangement under section 99.1 is exempt from execution, seizure or attachment or other process of law.
99.4(3)Except as otherwise provided in this Act, any interest in or under a retirement savings arrangement referred to in section 99.1 and any money payable under any such retirement savings arrangement are exempt from execution, seizure or attachment or other process of law.
99.4(4)Money payable under a retirement savings arrangement referred to in section 99.1 is subject to execution, seizure or attachment or other process of law in satisfaction of an order for support or maintenance enforceable in the Province, whether made before or after the commencement of this section, but, other than in the case of a refund of contributions with interest, to a maximum of fifty per cent of the payment unless otherwise ordered by a court of competent jurisdiction.
99.4(5)Except as otherwise provided by this Act, a transaction that purports to commute or surrender a retirement savings arrangement referred to in section 99.1 is void.
2007, c.76, s.1
WIND-UP OF FRASER PAPERS’ PENSION PLANS
2010, c.13, s.1
Definition of “Regulation 91-195”
99.5In sections 99.94 to 99.99, “Regulation 91-195” means New Brunswick Regulation 91-195 under this Act.
2010, c.13, s.1
Application
99.6Sections 99.7 to 99.992 apply to the following pension plans:
(a) the Pension Plan for New Brunswick Hourly Paid Employees of Fraser Papers Inc., registration number 0251264, as amended; and
(b) the Pension Plan for New Brunswick Salaried Employees of Fraser Papers Inc., registration number 0251256, as amended.
2010, c.13, s.1
Wind-up in whole or in part
99.7 For greater certainty, reference to the wind-up of either pension plan includes the wind-up in whole or in part of the pension plan.
2010, c.13, s.1
Amendments to the pension plans
99.8Despite section 12, the following amendments are not void:
(a) the amendment to the pension plan referred to in paragraph 99.6(a), received by the Superintendent on October 30, 2009, with an effective date of October 31, 2009; and
(b) the amendment to the pension plan referred to in paragraph 99.6(b), received by the Superintendent on October 30, 2009, with an effective date of October 31, 2009.
2010, c.13, s.1
Exemption from deemed trust
99.9On and after the effective date of the wind-up of either pension plan, Fraser Papers Inc. is exempt from the application of subsection 51(4) with respect to the beneficiaries of the relevant pension plan.
2010, c.13, s.1
Exemption from contribution requirements
99.91On and after the effective date of the wind-up of either pension plan, Fraser Papers Inc. is exempt from the requirements of section 65 with respect to the relevant pension plan.
2010, c.13, s.1
Exemption from successor employer and new plans provisions
99.92(1)On the sale of all or part of the business of or the assets of Fraser Papers Inc., FPS Canada Inc., Fraser Papers Holdings Inc., Fraser Timber Ltd., Fraser Papers Limited and Fraser N.H. LLC to Twin Rivers Paper Company Inc., Twin Rivers Paper Company Inc. shall be deemed not to be a successor employer under section 69.
99.92(2)On and after the effective date of the wind-up of either pension plan, sections 70 and 71 do not apply to the pension plan.
2010, c.13, s.1
Interim wind-up reports
99.93(1)Within 6 months after the effective date of the wind-up of either pension plan, the administrator shall file with the Superintendent an interim wind-up report as at the effective date of the wind-up, prepared by an actuary and containing the information required by the Superintendent.
99.93(2) Beginning in the calendar year following the effective date of the wind-up and ending in the calendar year prior to the calendar year in which a wind-up report is filed, not later than October 1 each year, the administrator shall file an interim wind-up report as at April 1 of that year, prepared by an actuary and containing the information required by the Superintendent.
99.93(3)Beginning in the calendar year following the effective date of the wind-up and ending in the calendar year in which a wind-up report is filed, not later than October 1 each year, the administrator shall give to the persons listed in subsection 60(2) a notice containing the information required by the Superintendent as at April 1 of that year.
2010, c.13, s.1
Wind-up report
99.94(1)Despite paragraph 49(2)(b) of Regulation 91-195, the administrator shall
(a) prepare a wind-up report that includes the information listed in subsection 62(1) calculated as at April 1, 2018, unless otherwise ordered by the Superintendent, and
(b) file the wind-up report no later than 6 months after the date for which the information in the wind-up report is calculated.
99.94(2)The administrator shall not give the statement required under subsection 64(1) to the persons listed in that subsection until the wind-up report has been approved by the Superintendent.
2010, c.13, s.1
Administration of pension plans during wind-up
99.95(1)On and after the effective date of the wind-up of either pension plan, for the purpose of improving the plan’s funded ratio, the administrator may
(a) receive money for the pension fund from any source, and
(b) invest up to 40% of the pension fund in equity shares.
99.95(2)A source from which money is received under paragraph (1)(a) shall not be considered a pension fund.
2010, c.13, s.1
Payments from fund during wind-up
99.96(1)On and after the effective date of the wind-up of either pension plan, subsections 62(2) and (3) of this Act and subsection 49(7) of Regulation 91-195 do not apply to the pension plan.
99.96(2)On and after the effective date of the wind-up of either pension plan until the date of the distribution of the assets of the pension fund, only the following payments may be made out of the fund:
(a) pensions or other benefits for which payments had commenced before the effective date of the wind-up;
(b) pensions or other benefits for which members become eligible after the effective date of the wind-up;
(c) refunds of member contributions with interest to members who terminate employment before the effective date of the wind-up and who are not entitled to a pension or deferred pension;
(d) payment of a pre-retirement death benefit;
(e) on the approval of the Superintendent, payment of the defined contribution benefits of the plan;
(f) on the approval of the Superintendent, the distribution of assets of the pension fund with respect to a member of former member or persons entitled to benefits or payments through a member or former member for whom the distribution has been requested by the pension regulator in a designated jurisdiction; and
(g) any other payment approved by the Superintendent.
99.96(3)The value of any projected payments into a pension fund and the investment earnings included in an interim wind-up report filed by the administrator under section 99.93 shall be taken into account when making payments under paragraphs (2)(a), (b), (c), (d) or (g) or when ordering the reduction of any of those payments under subsection 66(2).
2010, c.13, s.1
Distribution of assets - non-application of provisions
99.97 On and after the effective date of the wind-up of either pension plan, the following provisions do not apply to the plan:
(a) subsection 66(1); and
(b) paragraph 19(4)(c), subsection 49(6) and section 50 of Regulation 91-195.
2010, c.13, s.1
Distribution of assets - rules
99.98(1)Subject to subsection 99.96(2), the assets in the fund of a pension plan shall not be distributed until the wind-up report is approved by the Superintendent.
99.98(2)On approval of the wind-up report, if insufficient funds are available to pay the pensions and benefits under a plan, the funds that are available shall be allocated in the following manner in order of priority:
(a) to all members and former members or persons entitled to benefits or payments through members or former members, for transfer of or purchase with an amount equal to any additional voluntary contributions made by the member or former member with interest accrued as of the effective date of the wind-up, after deducting any transfer value for those additional voluntary contributions previously transferred in respect of the member or former member;
(b) to all members and former members or persons entitled to benefits or payments through members or former members and who were not in receipt of a pension as of the effective date of the wind-up, for transfer of or purchase with an amount equal to the total of any contributions, other than contributions made under paragraph (a), made by the member or former member, with interest accrued as of the effective date of the wind-up, after deducting any transfer value for the contributions previously transferred in respect of the member or former member;
(c) to all members and former members or persons entitled to benefits or payments through members or former members and who were in receipt of a pension as of the effective date of the wind-up, for transfer of or purchase with an amount equal to the total of the pension and bridging benefits payable in respect of the period commencing the effective date of the wind-up to April 30, 2010, inclusive, after deducting any transfer value for the benefits or payments previously transferred in respect of the member or former member, and
(d) to all members and former members or persons entitled to benefits or payments through members or former members, for transfer of or purchase with an amount equal to the commuted value, determined in accordance with section 99.99, of the pension or deferred pension to which the person is entitled, multiplied by the allocation ratio calculated under section 99.991, less any amount payable under paragraph (b) and less any amount payable under paragraph (c) multiplied by the allocation ratio.
99.98(3)If the calculation under paragraph (2)(d) results in a negative figure for a member, former member or persons entitled to benefits or payments through a member or former member, the amount payable under that paragraph shall be 0.
99.98(4)If there are insufficient funds to allocate fully, but sufficient funds to allocate partly the amounts provided for under paragraph (2)(a), (b), or (c), as the case may be, the amount to be allocated to each person shall be calculated by multiplying the full amount to which the person would have been entitled by the quotient obtained by dividing the amount of funds available to be allocated to the group under that paragraph by the amount of funds that would be required to allocate fully the amounts to the group under that paragraph.
99.98(5)The amount available at the distribution date for the person entitled to a benefit shall be the amount determined in accordance with subsections (2), (3) and (4), reduced by the amount paid to the member or former member or persons entitled to benefits or payments through the member or former member, between the effective date of the wind-up and the distribution date, adjusted with interest based on the interest rate determined in accordance with paragraph 99.99(3)(c).
99.98(6)If the calculation under subsection (5) results in a negative figure for a person entitled to a benefit, the amount available at the distribution date for that person under that subsection shall be 0.
2010, c.13, s.1
Distribution of assets - commuted value
99.99(1)For the purpose of the wind-up of either pension plan, the commuted value of a benefit as of the effective date of the wind-up, in respect of a member or former member who requires a transfer under paragraph 36(1)(a), shall be determined as if the pension plan were fully funded on a wind-up basis and shall not be less than the amount referred to in paragraph 19(4)(b) of Regulation 91-195 determined as if the transfer occurred on the effective date of the wind-up, or a lesser amount approved by the Superintendent.
99.99(2)For the purpose of the wind-up of either pension plan, the commuted value of a benefit as of the effective date of the wind-up, in respect of a person who is receiving a pension at the wind-up date or in respect of a member or former member who requires a purchase under paragraph 36(1)(b), shall not be less than the sum of the present value of payments made between the effective date of the wind-up and the distribution date, and the present value of the amount required to purchase the annuity referred to in paragraph 19(4)(b) of Regulation 91-195 as at the distribution date, or a lesser amount approved by the Superintendent.
99.99(3)The amounts referred to in subsection (2) shall be determined as follows:
(a) as if the pension plan were fully funded on a wind-up basis;
(b) taking into account the survival of the member, former member, or persons entitled to benefits through members or former members, from the effective date of the wind-up to the distribution date;
(c) using the interest rate that would apply to an annuity purchase referred to in paragraph 19(4)(b) of Regulation 91-195 on the effective date of the wind-up to discount values from the distribution date to the effective date of the wind-up; and
(d) any other adjustments approved by the Superintendent.
2010, c.13, s.1
Distribution of assets - allocation ratio
99.991 The allocation ratio referred to in paragraph 99.98(2)(d) is calculated as follows:
(a) if there are sufficient funds to pay all amounts due under paragraphs 99.98(2)(a), (b), (c), and (d), the ratio is 1;
(b) if there are insufficient funds to allocate fully, but sufficient funds to allocate partly the amounts provided for under paragraph 99.98(2)(d), the ratio is the percentage required to allocate the remaining funds; and
(c) if there are no funds remaining after making the allocation due under paragraphs 99.98(2)(a), (b) and (c), the ratio is 0.
2010, c.13, s.1
Immunity
99.992No action for damages or other proceeding shall be instituted against Her Majesty in right of the Province, the Minister, the Superintendent, or the administrator of either pension plan in relation to anything done or purported to be done in good faith, or in relation to anything omitted in good faith, while acting under the authority of this Act or the regulations with respect to a decrease in the value of the assets in the pension fund of either pension plan.
2010, c.13, s.1
REGULATIONS
Regulations
100(1)The Lieutenant-Governor in Council may make regulations
(a) designating provinces or territories as designated jurisdictions for the purposes of this Act;
(b) prescribing fees payable under this Act and the regulations;
(c) prescribing forms for the purposes of this Act and the regulations;
(d) respecting applications for registration of pension plans or amendments to pension plans;
(e) respecting the administration of pension plans;
(f) respecting the annual information returns to be filed by an administrator;
(g) prescribing additional reports that are to be filed with the Superintendent or the Financial and Consumer Services Commission, the contents of those reports and the method of preparation of the reports and the persons or classes of persons by whom the reports are to be prepared;
(h) prescribing times for filing or the last dates for filing of returns, reports and documents required to be filed under this Act and the regulations;
(i) respecting the establishment of advisory committees and the appointment of members of advisory committees;
(j) respecting variations in the terms of payment of a pension or deferred pension that an administrator may permit;
(j.01) respecting benefits under section 35.1;
(j.1) respecting retirement savings arrangements prescribed for the purposes of subparagraph 36(1)(a)(ii);
(j.2) respecting retirement savings arrangements prescribed for the purposes of paragraph 99.1(2)(b);
(k) respecting the transfer of the commuted value of a deferred pension to another pension plan or a retirement savings arrangement;
(k.1) respecting the terms and conditions under which a provision prescribed for the purposes of subsection 39(4) may be included in a pension plan;
(l) respecting the waiver of joint and survivor pensions;
(m) respecting the division of pension benefits and pensions on the breakdown of a marriage or common-law partnership, including the valuation and revaluation of a pension benefit or pension under section 44;
(n) respecting the funding of a pension plan;
(o) respecting the calculation and crediting of interest on contributions under a pension plan;
(o.1) respecting optional ancillary benefits and optional ancillary contributions;
(p) respecting the investment of money of pension funds;
(q) respecting an application for consent to the payment of surplus out of a pension fund;
(r) respecting the wind-up of a pension plan or classes of pension plans, including priorities or the method of determining priorities on wind-up, including priorities in allocation of assets;
(s) respecting the reduction of pensions and benefits where insufficient funds are available on wind-up;
(t) respecting records that shall be kept by the administrator of a pension plan and the period of time for which such records shall be retained by the administrator;
(t.1) respecting records that shall be kept by a financial institution acting as a trustee for a retirement savings arrangement prescribed for the purposes of subparagraph 36(1)(a)(ii) and the period of time for which such records shall be retained by the financial institution;
(t.2) respecting records that shall be kept by a financial institution acting as a trustee for a retirement savings arrangement prescribed for the purposes of paragraph 99.1(2)(b) and the period of time for which such records shall be retained by the financial institution;
(u) requiring the audit of pension plans and pension funds or classes of pension plans and pension funds and respecting the persons or classes of persons who may perform the audits and the manner of performing the audits;
(v) respecting the manner of determining the portion of a pension benefit, pension, or ancillary benefit that is attributable to employment before or after the commencement of this Act or of particular sections of this Act;
(w) prescribing any matter or thing required by this Act to be prescribed;
(w.1) defining any word or expression used in this Act but not defined in this Act for the purposes of this Act, the regulations or both;
(x) exempting, subject to any terms or conditions specified, any pension plan, class of pension plans or class of employees from the application of this Act or the regulations or of any provision of this Act or the regulations.
(x.1) exempting, for the application of section 99.1, subject to any terms or conditions specified, any category of persons from the application of subsection 56(1) of the Act.
100(2)A regulation may be general or particular in its application and may be limited as to time or place or both.
100(3)A regulation may adopt by reference, in whole or in part, with such changes as the Lieutenant-Governor in Council considers necessary, any code, formula, standard or procedure, and may require compliance with a code, formula, standard or procedure so adopted.
2002, c.12, s.31; 2007, c.76, s.2; 2008, c.5, s.14; 2012, c.38, s.3; 2013, c.31, s.23
100.1(1)A regulation respecting the following pension plans may be made retroactive to December 31, 1991, or any date thereafter:
(a) Pension Plan for Non-Union Salaried Employees of St. Anne-Nackawic Pulp Company Ltd., the registration of which under the Act was acknowledged on August 7, 1997, as amended,
(b) Pension Plan for Hourly Paid and Clerical Union Employees of St. Anne-Nackawic Pulp Company Ltd., as registered with the Superintendent on January 13, 1994, as amended.
100.1(2)Subsection (1) ceases to have effect on June 30, 2008.
100.1(3)A regulation with retroactive effect does not cease to have effect by virtue of the fact that subsection (1) ceases to have effect on June 30, 2008.
100.1(4)A regulation with retroactive effect may affect any right, privilege, obligation or liability acquired, accrued, accruing or incurred by any person under or in respect of the pension plans identified in subsection (1).
100.1(5)No action for damages or other proceedings shall be taken against the Province, the Minister, or a person designated to act on behalf of the Minister with respect to anything done or purported to be done, or with respect to anything omitted in respect of a regulation with retroactive effect, either before or after the coming into force of this section.
2004, c.43, s.1; 2007, c.76, s.3
2
SHARED RISK PENSION PLANS
2012, c.38, s.4
Definitions
2012, c.38, s.4
100.2The following definitions apply in this Part.
“ancillary benefit” means a benefit referred to in section 100.51.(prestation accessoire)
“base benefit” means the total amount of all benefits paid or payable, including all vested base benefits as at the relevant date and all vested ancillary benefits as at the relevant date.(prestation de base)
“shared risk plan” means the form of a defined benefit plan provided for under this Part and the regulations.(régime à risques partagés)
“termination value” means the value of a base benefit calculated in the manner prescribed by regulation and as of a fixed date.(valeur de terminaison)
“vested ancillary benefit” means an ancillary benefit for which a member is receiving a pension or for which a member would have received a pension if he or she had retired at the relevant date.(prestation accessoire dévolue)
“vested base benefit” means a benefit other than an ancillary benefit for which a member or a former member is receiving a pension or for which a member would have received a pension if he or she had retired at the relevant date, including base benefits that arise as a result of the conversion of a pension plan to a shared risk plan as of the conversion date.( prestation de base dévolue)
2012, c.38, s.4; 2012, c.57, s.1
Application of Part 1
2012, c.38, s.4
100.3(1)Part 1 and the regulations under that Part apply with the necessary modifications to a shared risk plan but if a provision of this Part or the regulations for the purposes of this Part is inconsistent with or in conflict with a provision of Part 1 or the regulations under that Part, the provision of this Part or the regulations prevails.
100.3(2)The references to “commuted value” in Part 1 and the regulations under that Part shall be read as references to “termination value” for the purposes of this Part.
2012, c.38, s.4
This Part binds the Crown
2012, c.38, s.4
100.31This Part binds the Crown if the Crown is the employer under a shared risk plan that is registered under this Part.
2012, c.38, s.4
Characteristics of shared risk plans
2012, c.38, s.4
100.4(1)A shared risk plan shall meet the following criteria:
(a) the employer and the members make contributions to the pension plan in the amount set in accordance with the plan and the funding policy;
(b) subject to the prior consent of the Superintendent, a funding policy for the pension plan is established at inception and reviewed at least annually by the administrator in accordance with the regulations;
(c) subject to the prior consent of the Superintendent, an investment policy for the pension plan is established at inception and reviewed at least annually by the administrator in accordance with the regulations;
(d) subject to the prior consent of the Superintendent, risk management goals and procedures for the pension plan are established at inception and reviewed at least annually by the administrator in accordance with the regulations;
(e) escalated adjustments may only be granted in respect of past periods and if the funding policy so permits;
(f) contributions shall not be reduced or suspended except in accordance with the Income Tax Act (Canada) and the funding policy;
(g) disclosure of the purpose and characteristics of the pension plan is made to its members in accordance with the regulations;
(h) a dispute resolution process is established at inception in the plan text to resolve a deadlock among the trustees on a board of trustees with respect to any resolution or motion before them; and
(i) the base benefits and ancillary benefits satisfy any other criteria prescribed by regulation.
100.4(2)The sole obligation of persons making contributions under a shared risk plan is limited to making or remitting, within the time prescribed by regulation, the contributions required under the plan text and the funding policy.
2012, c.38, s.4
Administrator
2012, c.38, s.4
100.5(1)The administrator of a shared risk plan shall be a trustee, a board of trustees or a non-profit corporation.
100.5(2)If the administrator is a non-profit corporation, each director on the board of directors of the corporation is a trustee of the shared risk plan.
100.5(3)A shared risk plan shall provide for the appointment of the administrator and if the administrator is a board of trustees, the composition of the board.
100.5(4)A trustee shall act independently of the person who appointed him or her.
100.5(5)The sole obligation and fiduciary duty of a trustee is to carry out the purposes of the shared risk plan.
100.5(6)A trustee shall manage the risks in accordance with the funding policy, the investment policy and the risk management procedures.
100.5(7)Subject to subsection (8), the term of office of a trustee is three years or such longer period of time as the shared risk plan permits and may be renewed.
100.5(8)The Superintendent may remove a trustee from office if the Superintendent believes, on reasonable and probable grounds, that the trustee has acted improperly, has acted to the detriment of the purposes of the shared risk plan, has not acted in accordance with this Act and the regulations or has failed to act when required to act by this Act and the regulations.
100.5(9)If a trustee is removed from office under subsection (8), another trustee shall be appointed in accordance with the shared risk plan but if not so appointed within 60 days after the removal, the Superintendent shall appoint the other trustee.
100.5(10)If there is a deadlock among the trustees on a board of trustees with respect to any resolution or motion before them, it shall be resolved in accordance with the dispute resolution process contained in the plan text.
100.5(11)If the board of trustees fails to act in accordance with the dispute resolution process within the time prescribed by regulation, the Superintendent may determine the process to follow and may appoint such persons as he or she considers necessary to resolve the dispute.
2012, c.38, s.4
Ancillary benefits
2012, c.38, s.4
100.51A shared risk plan may provide the following ancillary benefits:
(a) early retirement benefits in addition to the early retirement pension referred to in section 40;
(b) postponed retirement benefits in addition to the pension referred to in section 40;
(c) bridging benefits;
(d) pre-retirement death benefits in addition to the benefits referred to in section 43.1;
(e) escalated adjustments;
(f) the benefits payable as a result of changes to the normal form of pension payable under the pension plan; and
(g) any other ancillary benefit prescribed by regulation.
2012, c.38, s.4
Conversion of pension plan to shared risk plan
2012, c.38, s.4
100.52(1)Despite section 12, the Municipalities Act and the regulations under that Act and any contract or trust, including a document that creates or supports a pension plan or pension fund, a conversion of a defined benefit plan to a shared risk plan may affect escalated adjustments not yet granted as of the conversion date and future increases in the pension benefits accrued as of the conversion date resulting from increases in the member’s pensionable earnings after the conversion date.
100.52(2)Despite section 12, the Municipalities Act and the regulations under that Act and any contract or trust, including a document that creates or supports a pension plan or pension fund, a conversion of a pension plan to a shared risk plan is not void if the amount of the pension benefits is frozen as of the conversion date and changed to a form of contingent indexing as of that date.
100.52(3)Despite section 12, the Municipalities Act and the regulations under that Act and any contract or trust, including a document that creates or supports a pension plan or pension fund, a conversion of a pension plan to a shared risk plan is not void if the vested right to escalated adjustments is changed to a form of contingent indexing as of the conversion date.
100.52(3.1)Despite section 12, the Municipalities Act and the regulations under that Act and any contract or trust, including a document that creates or supports a pension plan or pension fund, a pension plan may be amended for the purpose of converting the pension plan to a shared risk plan, including converting pension benefits to base benefits as of the conversion date and reducing accrued or vested pension benefits as of the conversion date.
100.52(3.2)Despite section 12, the Municipalities Act and the regulations under that Act and any contract or trust, including a document that creates or supports a pension plan or pension fund, a conversion of a pension plan to a shared risk plan is not void if the pension benefits under the pension plan are converted to base benefits as of the conversion date, if accrued or vested pension benefits are reduced as of the conversion date and if the base benefits are reduced after the conversion date.
100.52(4)On the conversion date and despite section 12, the Municipalities Act and the regulations under that Act and any contract or trust, including a document that creates or supports a pension plan or pension fund, the administrator of the pension plan shall transfer all of the assets in the plan as of that date to the shared risk plan.
100.52(5)Sections 69 and 70 do not apply to a conversion of a pension plan to a shared risk plan.
2012, c.38, s.4; 2012, c.57, s.2
Change of benefits and contributions
2012, c.38, s.4
100.53Despite section 12, the Municipalities Act and the regulations under that Act and any contract or trust, including a document that creates or supports a pension plan or pension fund, an administrator may, in accordance with the funding policy for the shared risk plan,
(a) increase, reduce or suspend the contributions to the plan,
(b) increase or reduce the base benefits, and
(c) increase or reduce the ancillary benefits.
2012, c.38, s.4; 2012, c.57, s.3
Registration of shared risk plans
2012, c.38, s.4
100.6(1)Section 10, except the fee referred to in subsection 10(2), applies with the necessary modifications to an application for registration of a shared risk plan.
100.6(2)An applicant shall pay the fee prescribed by regulation for the purposes of this section and file the following with the Superintendent:
(a) if a pension plan is converted to a shared risk plan,
(i) a copy of the conversion plan that
(A) demonstrates how existing benefits are converted to benefits provided by the shared risk plan,
(B) specifies the base benefits and ancillary benefits,
(C) specifies the initial contributions of the employer and the members and the automatic changes allowed by the funding policy referred to in paragraph 100.4(1)(b), and
(D) demonstrates to the satisfaction of the Superintendent that the contributions are sufficient to pay for the projected base benefits and ancillary benefits and to meet all of the risk management goals under this Part and the regulations, and
(ii) an actuarial valuation report of the status of the shared risk plan as of the conversion date;
(b) if the shared risk plan is new,
(i) the base benefits and ancillary benefits,
(ii) the initial contributions of the employer and the members and the automatic changes allowed by the funding policy referred to in paragraph 100.4(1)(b), and
(iii) evidence satisfactory to the Superintendent that the contributions are sufficient to pay for the projected base benefits and ancillary benefits and to meet all of the risk management goals under this Part and the regulations;
(c) the results of an analysis of the shared risk plan using an asset liability model that complies with the regulations and any guidelines issued by the Superintendent;
(d) the funding policy required under paragraph 100.4(1)(b);
(e) the investment policy required under paragraph 100.4(1)(c); and
(f) any other information prescribed by regulation.
2012, c.38, s.4
Actuarial valuation report
2012, c.38, s.4
100.61(1)An actuarial valuation report pertaining to a shared risk plan shall be submitted to the Superintendent annually within the time prescribed by regulation.
100.61(2)If an employer intends to significantly increase or reduce the number of members of a shared risk plan, the employer shall notify the administrator who shall assess the financial impact on the plan and make recommendations on any required corrective measures.
2012, c.38, s.4
Wind-up of shared risk plan and termination of employment or membership
2012, c.38, s.4
100.62(1)On the wind-up of a shared risk plan in whole or in part, section 36, other than paragraph 36(1)(b) and subsection 36(3), applies with the necessary modifications to the members, former members and persons receiving a pension.
100.62(2)Subject to subsection (4), on termination of employment or on termination of membership, the termination value of the base benefits of a member or former member shall remain in the shared risk plan until the retirement, death or breakdown of the marriage or common-law partnership of the member or former member.
100.62(3)A member or former member referred to in subsection (2) is entitled to all future improvements to base benefits or ancillary benefits in accordance with the funding policy if the improvements are made while he or she is a member or former member.
100.62(4)Subsection (2) does not apply if the member or former member elects within the time prescribed by regulation to require the administrator to transfer the termination value of his or her base benefits to another pension plan with the consent of the administrator of that plan or to a retirement savings arrangement prescribed by regulation.
100.62(5)Section 36 applies with the necessary modifications to the transfer referred to in subsection (4).
100.62(6)On the termination of employment, termination of membership, retirement, death or breakdown of the marriage or common-law partnership of the member or former member, as the case may be, the termination value of his or her base benefits shall be calculated in accordance with the regulations.
100.62(7)The termination value referred to in subsection (6) shall not exceed the amount calculated in accordance with the regulations.
2012, c.38, s.4
Prohibition against wind-up or conversion
2012, c.38, s.4
100.63No shared risk plan shall be wound up in whole or in part or converted to another pension plan except in accordance with this Act and the regulations.
2012, c.38, s.4
Valuation and review
2012, c.38, s.4
100.64An administrator shall, in each year within the time prescribed by regulation,
(a) ensure that an actuarial valuation report is submitted to the Superintendent in accordance with the regulations,
(b) review the funding policy referred to in paragraph 100.4(1)(b) in consideration of the risk management procedures referred to in paragraph 100.4(1)(d),
(c) review the investment policy referred to in paragraph 100.4(1)(c) in consideration of the risk management goals referred to in paragraph 100.4(1)(d), and
(d) ensure that the risk management procedures referred to in paragraph 100.4(1)(d) are applied to the shared risk plan.
2012, c.38, s.4
Documents to be filed with the Superintendent
2012, c.38, s.4
100.7(1)In each year within the time prescribed by regulation, an administrator shall file the following documents with the Superintendent:
(a) confirmation that the funding policy referred to in paragraph 100.4(1)(b) has been reviewed and an updated funding policy if any changes have been made;
(b) confirmation that the investment policy referred to in paragraph 100.4(1)(c) has been reviewed and an updated investment policy if any changes have been made;
(c) a notice of any increase or reduction of ancillary benefits;
(d) a notice of any increase, reduction or suspension of contributions;
(e) an updated report on the application of the risk management procedures to the shared risk plan; and
(f) any other document prescribed by regulation.
100.7(2)As soon as practicable, an administrator shall file with the Superintendent documents pertaining to a change to the asset liability model used to apply the risk management procedures and the reasons for the change.
100.7(3)If there is a known significant increase or reduction of the number of current or future members of a shared risk plan and as soon as practicable, the administrator shall file with the Superintendent the results of the application of the risk management procedures to the plan and the required adjustments to the base benefits, the ancillary benefits and the contributions, as the case may be.
2012, c.38, s.4
Superintendent’s guidelines
2012, c.38, s.4
100.8(1)The Superintendent may issue guidelines with respect to any matter dealt with in this Part or in the regulations.
100.8(2)The Regulations Act does not apply to guidelines issued by the Superintendent.
2012, c.38, s.4
Immunity
2012, c.38, s.4
100.81(1)The Crown in right of the Province, the Minister, a person designated to act on behalf of the Minister, the Financial and Consumer Service Commission, the Superintendent or an administrator or any of their officers, directors, employees or members is not liable under this Act or the regulations if the Minister, person designated to act on behalf of the Minister, Financial and Consumer Services Commission, Superintendent or administrator or any of their officers, directors, employees or members exercised the care, diligence and skill that a reasonably prudent person would have exercised in comparable circumstances, including reliance in good faith on a report of a person whose profession lends credibility to a statement made by that person.
100.81(2)Despite section 12, the Municipalities Act and the regulations under that Act and any contract or trust, including a document that creates or supports a pension plan or pension fund, no cause of action, claim or demand arises and no action for damages or other proceeding shall be instituted against the Crown in right of the Province, the Minister, a person designated to act on behalf of the Minister, the Financial and Consumer Services Commission, the Superintendent, an administrator, a trustee, a board of trustees, an employer, a trade union that represents the members, an employee organization that is the bargaining agent of the members or any other person, board or committee with the right to amend a pension plan or any of their officers, directors, employees, members, agents or advisors in relation to
(a) a breach of any contract or trust, including a document that creates or supports a pension plan or pension fund, with respect to any matter referred to in subsections 100.52(1) to (4), or
(b) a breach of any legal duty or obligation with respect to any matter referred to in subsections 100.52(1) to (4).
2012, c.38, s.4; 2012, c.57, s.4; 2013, c.31, s.23
The City of Saint John pension plan
2012, c.57, s.5
100.82(1)Despite the repeal of the City of Saint John Pension Act and after The City of Saint John and the unions that represent the members of the pension plan established by that Act have entered into a memorandum of understanding that provides for the conversion of the pension plan to a shared risk plan, including the governance structure of the shared risk plan, the council of The City of Saint John has the power to amend, by resolution and in accordance with the memorandum of understanding, the pension plan for the purpose of converting the pension plan to a shared risk plan, including amending the governance structure of the pension plan for that purpose.
100.82(2)A resolution referred to in subsection (1) may be made retroactive to July 1, 2012, or to any date after July 1, 2012.
100.82(3)Subsection 100.81(2) applies with the necessary modifications to the council.
2012, c.57, s.5
Regulations
2012, c.38, s.4
100.9(1)Subsection 100(1) applies with the necessary modifications for the purposes of this Part.
100.9(2)The Lieutenant-Governor in Council may make regulations
(a) respecting the conversion of a pension plan to a shared risk plan;
(b) respecting base benefits and ancillary benefits, including increasing or reducing them;
(c) respecting the contributions to a shared risk plan, including increasing or reducing them;
(d) respecting the funding policy referred to in paragraph 100.4(1)(b) and the funding goals for a shared risk plan;
(e) respecting the funding deficit recovery plan for a shared risk plan;
(f) respecting the investment policy referred to in paragraph 100.4(1)(c);
(g) respecting the risk management goals and procedures referred to in paragraph 100.4(1)(d);
(h) respecting the disclosure of the purpose and characteristics of a shared risk plan for the purposes of paragraph 100.4(1)(g);
(i) respecting the calculation of the liabilities of a shared risk plan;
(j) respecting the asset liability model for a shared risk plan;
(k) respecting the actuarial valuation report referred to in subsection 100.61(1);
(l) respecting the distribution of assets on the wind-up of a shared risk plan, on termination of employment and on termination of membership;
(m) respecting the calculation of the termination value referred to in subsection 100.62(6);
(n) respecting the calculation of the maximum termination value for the purposes of subsection 100.62(7);
(o) for the purposes of section 100.63, respecting the wind-up of a shared risk plan in whole or in part or the conversion of a shared risk plan to another pension plan;
(p) respecting the funding excess utilization plan for a shared risk plan, including the management and use of a funding excess in the plan;
(q) respecting a solvency test for a shared risk plan;
(r) respecting the expenses relating to the administration of a shared risk plan;
(s) prescribing anything required to be prescribed by this Part;
(t) respecting any other matter or thing necessary or advisable to carry out the intent of this Part.
100.9(3)Regulations made under subsections (1) and (2) may be made retroactive to July 1, 2012, or to any date after July 1, 2012.
100.9(4)A regulation with retroactive effect may affect any right, privilege, obligation or liability acquired, accrued, accruing or incurred by any person under or in respect of a shared risk plan or a pension plan converted to a shared risk plan.
2012, c.38, s.4
REPEAL
Repeal of Pension Plan Registration Act
101The Pension Plan Registration Act, chapter P-7 of the Revised Statutes, 1973, is repealed.
COMMENCEMENT
Commencement
102This Act or any provision of it comes into force on a day or days to be fixed by proclamation.
SCHEDULE A
Column I
Column II
Section
Category of Offence
  7(1)..............
E
  8(1)..............
E
10(1)..............
E
13(5)..............
E
14(1)..............
H
14(2)..............
H
15(1)..............
C
15(2)..............
C
16..............
C
17(1)..............
F
17(2)..............
F
17(3)..............
H
18(2)..............
C
20..............
C
22(2)..............
C
23(1)..............
C
23(2)..............
C
23(3)..............
C
24(1)..............
C
24(2)..............
C
25..............
C
26(1)..............
C
27(1)..............
C
27(2)..............
C
27(3)..............
C
27(4)..............
C
36(2)..............
F
36(5)..............
E
37(1)..............
F
49(2)..............
E
49(3)..............
E
49(5)..............
C
49(6)..............
H
49(7)..............
C
58..............
H
60(2)..............
C
62(1)..............
C
62(4)..............
H
64(1)..............
C
65(1)..............
E
65(3)..............
C
69(8)..............
C
83(1)..............
E
88(1)..............
B
88(1.1)..............
F
1990, c.61, s.104
N.B. This Act, except section 2, was proclaimed and came into force December 31, 1991.
N.B. This Act is consolidated to July 1, 2013.