Amended SPPA Regulation Comes Into Force, Filling A Gap In Quebec's Supplemental Pension Plan Framework

On January 4, 2018, the Regulation to amend the Regulation respecting supplemental pension plans came into force, filling a regulatory void in Quebec's supplemental pension plans framework that lasted just over two years. This amendment brings the Regulation respecting supplemental pension plans (SPPA Regulation) up to speed with its enabling statute — the Act respecting supplemental pension plans (SPPA) — which had been amended by Bill 57 on January 1, 2016. Bill 57 introduced certain new concepts, such as the purchase of annuities to settle certain benefits and replaced solvency funding for defined benefit pension plans by going-concern funding reinforced by the inclusion of a stabilization provision.