New Brunswick Reforms MLAs Pensions To Shared Risk

On March 26, 2014, the New Brunswick legislature introduced for first reading Bill 51, An Act Respecting Members' Pensions, which proposes to move Members of the Legislative Assembly (MLAs) to the shared risk pension plan currently available for other public sector employees in New Brunswick. (As discussed in a prior blog post, New Brunswick recently introduced shared risk pension plans, a type of target benefit plan, in the province.)

With the introduction of Bill 51, the New Brunswick government continues its innovative pension reform initiatives.

As disclosed in a CBC news bulletin, MLAs will retain the service accrued to the effective date, but new service will be calculated based on the provisions of the Public Service Shared Risk Plan, which covers many of New Brunswick's public servants. Under An Act Respecting Public Service Pensions, the Public Service Superannuation Act was repealed and the pension plan under the PSSA was converted to a shared risk plan