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ARTICLE · 08 JULY 2010

Amendments to the Federal Pension Rules

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The federal government has amended the "Pension Benefits Standards Regulations, 1985". The changes came into effect on July 1, 2010, subject to one exception noted below.

CanadaEmployment and HR
Sonia Mak
Sonia Mak
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The federal government has amended the Pension Benefits Standards Regulations, 1985. The changes came into effect on July 1, 2010, subject to one exception noted below.

According to the Regulatory Impact Analysis Statement, the amending regulations are part of the federal government's measures for strengthening and improving the legislative and regulatory framework respecting federally regulated private pension plans on a permanent basis. The impact statement specifically refers to the temporary solvency funding relief measures and special regulations which point to such need.

KEY AMENDMENTS

The amending regulations contain 3 key amendments:

  • new solvency funding rules;
  • new solvency margin requirement for contribution holidays; and

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