Nova Scotia
(a) New Pension Benefits Act and Regulations Come into Force
The new Nova Scotia Pension Benefits Act came into force in large part on June 1, 2015, on the same date as the accompanying Pension Benefits Regulations. Largely based on the Ontario model, the new Act and Regulations will expand the types of pension plans available, clarify funding rules, and increase disclosure required to be provided to plan members. The Act was originally released as Bill No. 96 in 2011, and has been amended twice since as a result of public consultations.
Plan administrators must make all necessary amendments to bring plans into compliance by June 1, 2018. However, plans must be administered according to new regulations effective June 1, 2015. The new Act is available online with subsequent amendments. The new Regulations may also be found online.
(b) New Pooled Registered Pension Plans Act
On November 6, 2014, the Nova Scotia legislature passed the new Pooled Registered Pension Plans Act, which adopts the Federal Pooled Registered Pension Plans Act with necessary changes. This is the same approach taken in British Columbia and Saskatchewan. Under this legislation, PRPPs will be optional for employers, and employees may choose to opt out or reduce their contributions to zero.
The Act is available online.
(c) New University Pension Plans Transfer Act
On May 4, 2015, the Nova Scotia legislature passed the new University Pension Plans Transfer Act, which allows for university pensions to be transferred to the Public Service Superannuation Plan. Enacted to facilitate a transfer agreement between Acadia University and its plan members, the Act could be beneficial to other universities, particularly those with defined benefit pension plans.
The Act is available online.
Newfoundland and Labrador – PSPP Reform
On December 11, 2014 two new Bills were introduced in the Newfoundland and Labrador House of Assembly:
- Bill 39: An Act to Amend the Pensions Funding Act and the Public Service Pensions Act, 1991; and
- the Other Post-Employment Benefits Eligibility Modification Act.
This new legislation facilitated a Reform Agreement signed on September 2, 2014, with the five largest unions in the Public Service Pension Plan and a subsequent Joint Sponsorship Agreement to establish the principles of the Joint Trusteeship. Among other objectives, the PSPP Reform intends that the plan be fully funded within 30 years. Contribution rates and group health and group life insurance benefits also had to be amended accordingly. All changes came into effect on January 1, 2015.
The full text of Bill 39 and the Other Post-Employment Benefits Eligibility Modification Act are available online.
New Brunswick – Upcoming Changes in Required Forms
New Bill 41, proposed May 26, 2015 and passed June 2, 2015, amends the New Brunswick Pension Benefits Act to allow the Superintendent to prescribe changes in the required form of applications and documents, including electronic documents. The amendments also enable the Superintendent to regulate withdrawal of commuted value of retirement savings arrangements, and registration of financial institutions acting as a trustee for a retirement savings arrangement.
The full text of Bill 41 is available online.
Prince Edward Island
There have been no new developments in PEI for some time. For the third time, the PEI Government introduced the Pension Benefits Act on November 21, 2012, as Bill 12. It is substantially the same as Bill 41, which was introduced on May 17, 2012.
Bill 12, as passed on first reading, is available online.