In June 2019, the federal government tabled a Notice of Ways and Means Motion to limit the benefit of the employee stock option deduction for high income individuals employed at large, long-established, mature organizations. Stakeholders were invited to provide input on the characteristics of small, growing companies that should not be subject to the new…
Practice Area: Pensions, Benefits & Compensation
Ontario’s Bill 132 Referred to Committee, Includes Proposed Amendments to PBA
On November 7, 2019, Bill 132, Better for People, Smarter for Business Act, 2019 (Bill 132), passed Second Reading and was referred to the Standing Committee on General Government. Bill 132 is omnibus legislation which, if passed, will amend a number of statutes, including the Ontario Pension Benefits Act (PBA). Proposed amendments to the PBA…
Ontario to Consult on New Public Sector Benefits Pooling Model
The Treasury Board Secretariat has announced that it will begin consultations this year on a new benefits pooling model for broader public sector participants. The government consulted with public sector employers and bargaining agents in the spring and summer of this year about how to achieve reasonable public sector compensation growth, and a centralized benefits…
Ontario Clarifies DB Funding Reforms under the Pension Benefits Act
On May 21, 2019, the Ontario government filed Regulation 105/19 amending Regulation 909 (General Regulation) under the Pension Benefits Act (PBA). The amendments mainly relate to clarifying elements of the defined benefit (DB) funding rules that took effect on May 1, 2018. Many of the new clarifications have been requested by the pension industry over…
Ontario Budget Bill (Bill 100) Passes
As previously reported, on April 11, 2019, the Ontario government released its 2019 Budget and introduced Bill 100, Protecting What Matters Most Act (Budget Measures), 2019. Bill 100 received Royal Assent on May 29, 2019. Of particular interest to employers and human resource professionals are the amendments made to the following statutes: Public Sector Labour…
The End of Health and Welfare Trusts: Proposed Amendments to the Income Tax Act (Canada)
On May 27, 2019, the federal Department of Finance announced proposed amendments to the Income Tax Act (Canada) (ITA), to facilitate the conversion of existing Health and Welfare Trusts (HWTs) into Employee Life and Health Trusts (ELHTs), and to improve the existing ELHT rules. Comments on the proposed ITA amendments are invited by July 31, 2019…
Advanced Planning Required for New Changes to OMERS
Since we first reported on the recently adopted changes to the Ontario Municipal Employees Retirement System (OMERS) to eliminate the 35-year cap on credited service; and expand the normal retirement age 60 opportunity to paramedic employee groups.
Changes to Ontario’s Annuity Purchase and Discharge Rules – Bill 57 Amendments and Draft Supporting Regulations
New draft regulations support and provide additional details respecting the rules governing annuity purchases and related statutory discharges under the Pension Benefits Act. Learn more in this FTR Now.
Ontario’s New Variable Benefits Regime for Defined Contribution Plans – Draft Regulations
With the release of draft regulations, Ontario moves a step closer to allowing variable benefits to be paid directly from defined contribution pension plans.
Federal Government Tables 2019 Budget Bill
On April 8, 2019, the federal government introduced Bill C-97, Budget Implementation Act, 2019, No. 1, for first reading. Bill C-97 is omnibus legislation enacting certain measures outlined in the 2019 Federal Budget. Below are some of the key amendments of interest to employers, pension plan administrators and human resources professionals.