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ARTICLE · 25 OCTOBER 2016

Ontario Introduces New Executive Compensation Framework

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The BPSECA includes audit and penalty provisions that may be used to ensure compliance with the Framework.

CanadaConsumer Protection
Borden Ladner Gervais LLP
Borden Ladner Gervais LLP
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On September 6, 2016, the Ontario Government introduced Regulation 304/16: Executive Compensation Framework (the "Framework") under the Broader Public Sector Executive Compensation Act, 2014 ("BPSECA") for broader public sector executive compensation. The Framework sets out requirements that all designated employers must follow for establishing and posting executive compensation programs. It also caps salary and performance-related payments for designated executives, such as supervisory officers and directors of education. The Framework becomes effective with respect to a designated employer when the designated employer posts a compliant executive compensation program on its website which must be no later than September 5, 2017.

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