Acts and Regulations

2010-23 - Uniform Contributory Pension Plan

Section 18
Disposition versions

Full text
Reciprocal agreements
18(1)The Board may enter into a reciprocal agreement with an approved employer that operates a superannuation plan or a pension fund or plan for its employees, which agreement shall contain the following terms:
(a) the approved employer shall pay into the pension fund under this Regulation an amount determined in accordance with the provisions of the reciprocal agreement in respect of an employee of the approved employer who becomes or is employed by an employer; and
(b) the Board shall pay or arrange to be paid from the pension fund under this Regulation to the approved employer for the purpose of a superannuation plan or a pension fund or plan established for the benefit of employees of the approved employer an amount determined in accordance with the provisions of the reciprocal agreement in respect of an employee of an employer who becomes or is employed by the approved employer.
18(2)Despite subsection (1), the Board may enter into a reciprocal agreement with an approved employer that does not require a transfer of funds if, in the opinion of the Board, an alternative form of reciprocal agreement adequately protects the pension rights of transferring employees and results in an equitable allocation of the cost of pension benefits of transferring employees between an employer and the approved employer.
18(3)A reciprocal agreement entered into by the Board under this section shall include the following provisions:
(a) the basis of determination of the amount, if any, to be paid by the Board to the approved employer or to the Board by the approved employer;
(b) the manner in which and the extent to which prior pensionable service of a transferring employee will be credited to the employee after transfer;
(c) the conditions, if any, under which an employee may make supplementary contributions in order to receive full credit for the employee’s prior pensionable service;
(d) the disposition of contributions made by a transferring employee before the employee’s date of transfer;
(e) the conditions under which the reciprocal agreement may be amended, suspended, replaced or terminated; and
(f) any other provisions relevant to the purpose of the reciprocal agreement or necessary for the effective administration of the reciprocal agreement.
18(4)If a person ceases to be employed by an employer and becomes employed by an approved employer with whom the Board has entered into a reciprocal agreement, the Board may pay or arrange to be paid out of the pension fund to the approved employer, in accordance with the provisions of the reciprocal agreement, all or a part of the required contributions made to the pension fund in accordance with the plan by the person formerly employed by the employer.
18(5)The amount paid by the Board to an approved employer under subsection (4) shall include employer contributions and interest as the Board determines, but no such payment shall be made except with the written consent of the person formerly employed by the employer.
18(6)No person employed by an employer shall be subject to the provisions of a reciprocal agreement which does not require a transfer of funds unless the person has consented in writing to be subject to the provisions.
18(7)If a person ceases to be employed by an approved employer with whom the Board has entered into a reciprocal agreement and becomes employed by an employer, the Board may receive and pay into the pension fund the amount paid by the approved employer in accordance with the provisions of the reciprocal agreement.