Human Resources Legislative Update
New Rules for Administrator Appointment & Advisory Committee Establishment
Date: November 1, 2016
On October 31, 2016, the Ontario government filed new regulations under the Pension Benefits Act (PBA) to implement the measures set out below.
Appointment of administrator. Effective October 31, 2016, the PBA regulations are amended to set out the prescribed circumstances in which the Superintendent may appoint an administrator for a pension plan or act as administrator of a pension plan for the purposes of subsections 8(1.1) and (1.2) of the PBA. Those circumstances are wind up, court-ordered stays resulting from bankruptcy, insolvency or Companies’ Creditors Arrangement Act proceedings, or where a receiver or receiver-manager has been appointed.
These PBA sections, enacted by the Securing Pension Benefits Now and for the Future Act, 2010, also came into force on that date, along with provisions dealing with fees and expenses of an appointed administrator and the Superintendent. See O. Reg. 352/16 (General).
Pension advisory committee (PAC) rules. Effective January 1, 2017, regulations regarding conditions and restrictions relating to the establishment of a pension advisory committee (PAC) come into force, coincident with various subsections of the PBA to which they relate. The government previously consulted on draft regulations and industry stakeholders recommended a number of substantive changes. The regulations adopt the substantive changes outlined in our prior communication in respect of ongoing requirements and conducting a vote to establish a PAC. See O. Reg. 351/16 (General).