Hicks Morley | Ontario Government Introduces Budget 2013

On May 2, 2013, the Ontario government tabled its Budget 2013, “A Prosperous and Fair Ontario” as well as Bill 65, Prosperous and Fair Ontario Act (Budget Measures), 2013, legislation which, if passed, would implement certain initiatives contained in the Budget.

Among other things, the measures contained in the Budget of interest to employers include:

reaffirmation that the compensation restraint measures imposed by Part II.1 of the Broader Public Sector Accountability Act, 2010 are to remain in effect until the elimination of the deficit;
a review of compensation practices for executives in the Broader Public Sector;
commitments to consider possible “modest enhancements” to the CPP and to commence consultations regarding the viability of implementing Pooled Registered Pension Plans in Ontario;
a review of the Court of Appeal for Ontario decision in Carrigan v. Carrigan Estate regarding spousal entitlements under the Pension Benefits Act;
an intention to amend the pension benefit legislation to permit the transfer of assets from and/or conversion of a single employer pension plan (“SEPP”) to a jointly sponsored pension plan (“JSPP”);
a proposed increase of the Employer Health Tax exemptions for small businesses, from $400,000 to $450,000;
the establishment of a Minimum Wage Advisory Panel to review the minimum wage rates in Ontario; and
additional funding to hire more officers and staff to enhance enforcement of the Employment Standards Act, 2000.

An FTR Now providing a more detailed analysis of the Budget proposals will be availabe shortly on our website.

For an analysis of the Carrigan v. Carrigan Estate decision, see our FTR Now of March 28, 2013 “Supreme Court Denies Leave in Carrigan.”

Ontario Government Introduces Budget 2013