B.C., Ontario and other governments take action on pension issues
These and other subjects are covered in the current issue of the Morneau Shepell News & Views
TORONTO, May 19, 2015 /CNW/ - In the May 2015 issue of its monthly newsletter, News & Views, Morneau Shepell looks at how different governments across the country are currently implementing legislation regarding retirement.
- New pension rules in B.C. – The B.C. Government has adopted the new Pension Benefits Standards Regulation which will take effect September 30 this year, along with the new Act that was adopted last year but was not yet in effect. The new Regulation contains significant details that were not known publicly until now, but with the release of Alberta's regulation last year, industry experts had a fairly good idea on what to expect. Key provisions of the New Act and New Regulation concern new plan structures, funding rules, plan membership and disclosure requirements.
- Ontario budget 2015 – The budget announcement sets out the Government's intention to create the Ontario Retirement Pension Plan, to establish an Ontario Retirement Pension Plan (ORPP) Administration Corporation, to conduct a consultation on target benefit multi-employer pension plans (MEPPs) and to implement certain pension reform matters.
- Quebec modifies MEPP rules – The Quebec government quickly adopted Bill 34 to exempt certain multi-employer pension plans from solvency rules and allow them to reduce benefits if the plan's financial situation requires it.
- Federal budget modifies RRIF minimum withdrawals and TFSA maximum contributions –
- Morneau Shepell examines the federal budget measures, which also include permitting charities to invest in limited partnerships and extending the duration of compassionate care benefits under EI.
- Nova Scotia proclaims new Pension Benefits Act – The Act and its accompanying regulations will be in force June 1, 2015.
- Nova Scotia universities now allowed to join Nova Scotia public service superannuation plan – The Government introduced the legislation April 23, 2015. Acadia University is on track to be the first university to make the transfer.
- Market Indices – Monthly summary of returns from various market indices such as the FTSE TMX Bond Indices and Canadian, U.S. and Foreign Equity Indices. Also includes returns from benchmark portfolios used by pension funds.
- Tracking the funded status of defined benefit pension plans – Impact of past returns on plan assets and the effect of interest rate changes on solvency liabilities.
- Impact on pension expense under international accounting – Expense impact for a typical defined benefit pension plan from December 31, 2014 to April 30, 2015.
About Morneau Shepell Inc.
Morneau Shepell is the largest company in Canada offering human resources consulting and outsourcing services. The Company is the leading provider of employee and family assistance programs, as well as the largest administrator of retirement and benefits plans and the largest provider of integrated absence management solutions in Canada. Through health and productivity, administrative, and retirement solutions, Morneau Shepell helps clients reduce costs, increase employee productivity and improve their competitive position. Established in 1966, Morneau Shepell serves approximately 20,000 clients, ranging from small businesses to some of the largest corporations and associations in North America. With approximately 3,700 employees in offices across North America, Morneau Shepell provides services to organizations across Canada, in the United States, and around the globe. Morneau Shepell is a publicly-traded company on the Toronto Stock Exchange (TSX: MSI). For more information, visit morneaushepell.com.
SOURCE Morneau Shepell - Pension/Retirement