R-12.1, r. 1.1 - Regulation respecting certain provisions relating to the partition and assignment of benefits accrued under the supplementary benefits plan in respect of classes of employees designated under section 208 of the Act respecting the Pension Plan of Management Personnel

Updated to 12 December 2023

This document has official status.

chapter R-12.1, r. 1.1

Regulation respecting certain provisions relating to the partition and assignment of benefits accrued under the supplementary benefits plan in respect of classes of employees designated under section 208 of the Act respecting the Pension Plan of Management Personnel

Act respecting the Pension Plan of Management Personnel

(chapter R-12.1, ss. 208 and 416).

0.1. The rules provided for under section 163.1 of the Act respecting the Pension Plan of Management Personnel (chapter R-12.1) apply, with the necessary modifications, to the supplementary benefits plan in respect of the classes of employees designated under section 208 of the Act respecting the Pension Plan of Management Personnel.

For that purpose, any application for a statement referred to in the aforementioned section 163.1 must be signed by the employee or the former employee and his spouse. The application must contain the following information and be accompanied with the following documents:

(1)  the name, address, Social Insurance Number and date of birth of the employee or former employee and of his spouse;

(2)  an attestation by the employee or former employee and his spouse that neither was married or in a civil union on the date on which they ceased living together and, where applicable, the date of the divorce or the dissolution of the civil union and the documents attesting thereto, unless those documents have already been sent to Retraite Québec;

(3)  an attestation by the employee or former employee and his spouse of the dates on which they began and ceased living together and, where applicable, proof concerning their marital residence. Furthermore, if the spouses lived in a conjugal relationship for at least one year but not more than three years preceding the date on which they ceased living together, they must also attest that one of the situations referred to in subparagraphs 1 to 3 of the first paragraph of section 163.1 of the Act occurred and, where applicable, provide proof thereof;

(4)  the information that must be provided by the employer in his annual report, in accordance with section 188 of the Act respecting the Government and Public Employees Retirement Plan (chapter R-10), for the year during which the assessment is determined up to the date set for that assessment, as well as for the previous year; that information must be certified by an authorized representative of the employer.

T.B. 220171, s. 1.

1. The actuarial value of the benefits of the supplementary benefits plan in respect to classes of employees designated under section 208 of the Act respecting the Pension Plan of Management Personnel (chapter R-12.1) is determined according to the “distribution of benefits” method and corresponds to the sum of 40% of the actuarial value determined for a male and 60% of the actuarial value determined for a female. The actuarial value of the benefits is also determined according to the following actuarial assumptions:

(1)  the mortality rates:

The mortality rates are those determined according to the CIA Standards.

(2)  the interest rates:

(a)  the interest rates for fully-indexed or non-indexed benefits are those determined according to the CIA Standards;

(b)  the interest rates for partially-indexed benefits are determined according to the following formula:

((1 + interest rate for a non-indexed benefit) / (1 + indexing rate for a partially-indexed benefit)) - 1

The result must be adjusted according to the CIA Standards.

(3)  the indexing rate:

(a)  the indexing rate for a benefit fully-indexed by the rate of increase in the Pension Index is calculated in the manner described in the CIA Standards;

(b)  the indexing rate for a benefit indexed by the excess of the rate of increase in the Pension Index (PI) over 3% or by half of the rate of increase in the Pension Index corresponds respectively to the excess of the indexing rate calculated in the manner provided in subparagraph a over 3% or by half the indexing rate calculated in the manner provided in that subparagraph.

In order to take into account inflation rate variations, the following additions are made to the results of the effective indexing formulas for actuarial value calculation purposes:

Inflation level	Addition to the result of the PI – 3% formula	Adjusted indexing rate	Addition to the result of the 50% PI, min. PI – 3% formula	Adjusted indexing rate
0	0.00	0.00	0.20	0.20
0.5	0.00	0.00	0.10	0.35
1.0	0.00	0.00	0.05	0.55
1.5	0.05	0.05	0.00	0.75
2.0	0.10	0.10	0.00	1.00
2.5	0.20	0.20	0.00	1.25
3.0	0.40	0.40	0.00	1.50
3.5	0.20	0.70	0.00	1.75
4.0	0.10	1.10	0.00	2.00
4.5	0.05	1.55	0.00	2.25

(4)  the turnover rate: Nil

(5)  the disability rate: Nil

(6)  the proportion of persons with a spouse at death:

Age	Male	Female
18-59 years old	80%	60%
60-64 years old	80%	55%
65-69 years old	75%	50%
70-74 years old	75%	40%
75-79 years old	70%	30%
80-84 years old	65%	20%
85-89 years old	55%	10%
90-109 years old	40%	5%
110 years old	0%	0%

(7)  the age difference between spouses at death:

(a)  the male spouse of the beneficiary is assumed to be 1 year older;

(b)  the female spouse of the beneficiary is assumed to be 4 years younger.

In this section, the expression “CIA Standards” refers to the standards of practice entitled Practice-Specific Standards for Pension Plans-3500 Pension Commuted Values of the Canadian Institute of Actuaries.

T.B. 210826, s. 1; T.B. 227183, s. 1.

2. Where Retraite Québec makes the payment of sums awarded to the spouse as a result of the partition or assignment of benefits accrued under the supplementary benefits plan, interest compounded annually and accrued from the date of assessment to the date of payment must be added to the sums awarded to the spouse at the rate in Schedule VIII to the Act, in effect at the date of assessment. Where that date is prior to 1 July 2002, the applicable interest rate is 5.34%.

T.B. 210826, s. 2.

2.1. For the purposes of section 1 of Schedule I of the Order in Council respecting the partition and assignment of benefits accrued under the supplementary benefits plan in respect of classes of employees designated under section 220.1 of the Act respecting the Government and Public Employees Retirement Plan (chapter R-10, r. 6), as it applies to the Pension Plan of Management Personnel, in the case of spouses in a civil union, in addition to the information referred to in subparagraphs 1 and 4 of the first paragraph of the aforementioned section 1, the application for a statement must be accompanied with a certificate of civil union and written confirmation from a notary to the effect that the spouses in a civil union have undertaken a joint procedure for the dissolution of their civil union or, as the case may be, the joint declaration dissolving the civil union and the notarized transaction contract, or a copy of the application for an annulment or dissolution of civil union.

T.B. 220171, s. 2.

2.2. For the purposes of subparagraph 3 of the first paragraph of section 2 and sections 3, 4 and 6 of Schedule I of the Order in Council respecting the partition and assignment of benefits accrued under the supplementary benefits plan in respect of classes of employees designated under section 220.1 of the Act respecting the Government and Public Employees Retirement Plan (chapter R-10, r. 6), as it applies to the Pension Plan of Management Personnel, the term “period of the marriage” is considered to mean “period of the marriage or civil union”.

T.B. 220171, s. 2.

2.3. For the purposes of section 8 of Schedule I of the Order in Council respecting the partition and assignment of benefits accrued under the supplementary benefits plan in respect of classes of employees designated under section 220.1 of the Act respecting the Government and Public Employees Retirement Plan (chapter R-10, r. 6), as it applies to the Pension Plan of Management Personnel:

(1)  in the case of spouses in a civil union, the application for payment must be accompanied with the judgment of annulment or dissolution of civil union or with the joint declaration dissolving the civil union and the notarized transaction contract;

(2)  in the case of spouses referred to in the first paragraph of section 163.1 of the Act respecting the Pension Plan of Management Personnel (chapter R-12.1), the application for payment must be accompanied with the agreement between the spouses concerning partition of the benefits accrued by the employee or former employee under the supplementary benefits plan, signed before a notary or attorney or a sworn declaration signed by both spouses within 12 months following the date on which they ceased living together.

T.B. 220171, s. 2.

3. For the purposes of sections 14 and 15 of Schedule I to the Order in Council respecting the partition and assignment of benefits accrued under the supplementary benefits plan in respect of classes of employees designated under section 220.1 of the Act respecting the Government and Public Employees Retirement Plan (chapter R-10, r. 6), as it applies to the Pension Plan of Management Personnel, the amount of pension that would be obtained on the basis of the sums awarded to the spouse at the date of assessment is established at that date according to the actuarial method and assumptions that were used for the assessment of benefits accrued.

In addition, for the purposes of those sections 14 and 15, a reference to section 5 of Schedule I to that Order in Council must be read as a reference to section 1 of this Regulation if the benefits were assessed in accordance with section 1 of this Regulation.

T.B. 210826, s. 3.

4. For the purposes of the Act respecting the Pension Plan of Management Personnel (chapter R-12.1), sections 5 and 10 of Schedule I to the Order in Council respecting the partition and assignment of benefits accrued under the supplementary benefits plan in respect of classes of employees designated under section 220.1 of the Act respecting the Government and Public Employees Retirement Plan (chapter R-10, r. 6) are revoked. Despite the foregoing, section 5 remains in force in the situations referred to in the first paragraph of section 3 of this Regulation.

T.B. 210826, s. 4.

5. (Omitted).

T.B. 210826, s. 5.

REFERENCES

T.B. 210826, 2011 G.O. 2, 3705

S.Q. 2015, c. 20, s. 61

T.B. 220171, 2018 G.O. 2, 5211

T.B. 227183, 2022 G.O. 2, 3455