43. Upon the total termination of a plan, the balance of assets remaining in the retirement fund shall be determined after the full payment of all the pension credits has been made. Subject to section 43.1, the balance may be paid, wholly or in part, from 15 November 1988, only to the members affected by such termination, and apportioned among them only pro rata to their pension credits, except in the following cases:
(1) where the plan provides that the balance of assets shall first be used to increase the members’ benefits up to the ceiling fixed under the Taxation Act (chapter I-3), the apportionment may be made pro rata to the members’ pension credits up to the aforementioned ceiling only. Moreover, in no case may any part which, by reason of such ceiling, cannot be paid to a member accrue to the other members;
(2) where the employer and the members have agreed in writing to apportion among themselves, among the members only or among the members and former members, the whole or part of the balance of assets otherwise than pro rata to the pension credits, the apportionment among the said members may be made according to the agreement if
(a) the Board considers that the apportionment is fair for all the said members, and that the members affected by the termination have been properly informed of the agreement;
(b) less than 30 % of the members affected by the termination notified the Board in writing of their objection to the agreement within sixty days of the date on which they were informed of the agreement;
(3) where a report under section 40 was approved by the Board prior to 15 November 1988, the apportionment among the members of the whole or part of the balance of assets may be effected according to the report.
For the purposes of this section, the pension credit of every employee under employment at the time of the termination shall be increased, if necessary, to make it equal to the value on termination date of the pension payable at normal retirement age under the plan, having regard to his period of service as defined in the plan.
1975, c. 18, s. 13; 1988, c. 79, s. 3.