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GM had Contractual Right to Reduce Retiree Benefits of Executives, But Not Other Salaried Employees

In a recent class action motion, O’Neill v. General Motors of Canada, the Ontario Superior Court concluded that General Motors of Canada (“GM”) breached its contract with certain non-executive salaried employees when it reduced their post-retirement benefits after they had retired. The Court found that GM had not clearly and unambiguously reserved its right to…

The Ontario Court of Appeal Confirms Pension Assignments must be “Clear and Unambiguous”

In a marriage breakdown situation where family assets are being valued and/or divided, a member’s workplace pension entitlements are often the most significant asset. To settle the property issues, a member and his or her spouse may agree that the member will assign an interest in the member’s benefit to the spouse. Unfortunately, it is…

2013 Summer Edition

FOCUS ON WATERLOO Hicks Morley in Waterloo: nearly a quarter century…and counting LEGAL DEVELOPMENTS An update on Bill 168 – what we’ve seen to date Workplace safety – two small words that require an employer’s undivided attention PROFILE Police and beyond Download PDF

GM Benefits Plan Language Did Not Allow Reduction After Non-Executives’ Retirement; GM Plans Appeal

Justice Belobaba of the Ontario Superior Court of Justice has found that General Motors of Canada (“GMCL”) breached its contract with certain retired non-unionized salaried employees when it reduced their post-retirement health care and life insurance benefits. On this motion for partial summary judgment, the Court held that, in the reservation of rights (“ROR”) clause…

Canadian Human Rights Act Amended to Delete Discriminatory Practice Relating to “Hate Messages”

On June 26, 2013, a federal private member’s Bill, Bill C-304, An Act to amend the Canadian Human Rights Act (protecting freedom), received Royal Assent. Bill C-304 amends the Canadian Human Rights Act (“Act”) by repealing section 13 “Hate Messages” as a discriminatory practice, to ensure compliance with the freedom of expression guarantee in the…

PBA Amendment Relating to Retroactivity of Certain Regulations Now in Force

Schedule 11 of the Prosperous and Fair Ontario Act (Budget Measures), 2013 has been proclaimed into force effective June 21, 2013. Among other things, Schedule 11 amends the Pension Benefits Act to add a provision allowing for the retroactive effect of regulations relating to the funding of a defined benefit pension plan by allowing a…

PBA Amendment Repealing Provisions Relating to Withdrawal of Locked-In Retirement Funds in Force January 1, 2014

Section 4 of Schedule 44 of the Strong Action for Ontario Act (Budget Measures), 2012 has been proclaimed into force effective January 1, 2014. Section 4 amends the Pension Benefits Act by repealing certain provisions relating to the Superintendent’s involvement in approving withdrawals from locked-in retirement savings arrangements. As previously reported, a supporting regulation to…

Federal Budget Bill Receives Royal Assent

On June 10, 2013, Bill C-60, Economic Action Plan 2013 Act, No. 1, passed Third Reading in the House of Commons. On June 25, 2013 it passed Third Reading in the Senate and on June 26, 2013 it received Royal Assent. As previously reported, Bill C-60 is omnibus legislation which will give effect to certain…