Participating employers in the Ontario Municipal Employees Retirement System (OMERS) should be aware of five amendments to the OMERS Primary Pension Plan (Primary Plan) approved by the OMERS Sponsors Corporation Board (SC Board) on June 24, 2020. The changes will be of interest to employers in the municipal and school board sectors with employees who participate in OMERS and include several amendments to address COVID-19-related issues. In addition, two non-COVID-19-related amendments were adopted, including a major change to eligibility for non-full-time employees.
On June 10, 2020, the federal government introduced Bill C-17, An Act respecting additional COVID-19 measures (Bill C-17). Among other changes, if passed in its current form, Bill C-17 would amend the Income Tax Act to revise the eligibility criteria for the Canada Emergency Wage Subsidy (CEWS).
The Canadian Association of Pension Supervisory Authorities (CAPSA) has announced the adoption of the 2020 Agreement Respecting Multi-Jurisdictional Pension Plans (2020 Agreement), which will become effective on July 1, 2020.
On May 15, 2020 the federal government released a backgrounder (CEWS Backgrounder) regarding the extension of the Canada Emergency Wage Subsidy beyond June 6, 2020 to August 29, 2020 and indicated that the details of the extension would follow.
As governments start lifting orders and directives made under the Emergency Management and Civil Protection Act (or similar legislation in other jurisdictions), it is understandable that employers and employees alike are anxious to return to their ‘pre-COVID-19 normal’. However, in order to ensure a successful return to work during the largest pandemic in modern history, it is crucial that employers turn their minds to the unique labour and employment issues created by COVID-19 and reopen with a solid return to work plan in place.
On May 12, 2020, the Ontario government introduced and passed Bill 190, COVID-19 Response and Reforms to Modernize Ontario Act, 2020 (Bill 190). Among other changes, Bill 190 amends the Succession Law Reform Act to permit electronic beneficiary designations, and makes a consequential amendment to the Pension Benefits Act (PBA). The amendments permit electronic beneficiary…
On May 8, 2020, the federal government published a new question and answer (Q&A) about the use of Supplemental Unemployment Benefit (SUB) plans to top-up the Canada Emergency Response Benefit (CERB).
In response to industry requests, the Canada Revenue Agency (CRA) announced on May 5, 2020 that the minimum 1% employer contribution rule applicable to defined contribution (DC) pension plans is temporarily suspended. In addition, the federal Department of Finance issued a comfort letter confirming that it will recommend an amendment to the Income Tax Regulations to extend the deadline for electing to purchase a leave of absence on a current-service basis. These measures are intended to temporarily assist the sponsors and administers of DC and defined benefit (DB) registered pension plans in light of the COVID-19 pandemic.
On April 30, 2020, the Ontario government filed Ontario Regulation 187/20 amending Regulation 909 made under the Pension Benefits Act. This amendment allows for significantly reduced financial penalties for late payment of a Pension Benefits Guarantee Fund (PBGF) assessment. Normally, an employer who fails to pay a PBGF assessment by the assessment date must pay…
On April 21, 2020, the federal government announced that effective April 27, 2020, employers will be able to apply online for the Canada Emergency Wage Subsidy (CEWS) through signing into their “My Business Account.”