R-15.1, r. 7 - Regulation respecting the exemption of certain categories of pension plans from the application of provisions of the Supplemental Pension Plans Act

Section 68 Disposition versions

2024-11-21

68. A member-funded pension plan may be established only if the eligible employees consent to the obligations incumbent on them under the plan.

Likewise, a plan amendment resulting in an increase in member contributions may be made only if the members subject to the increase consent to it, unless the amendment

(1)  has been made mandatory by a new legislative or regulatory provision giving no latitude;

(2)  results from the withdrawal of an employer referred to in section 199 or 199.1 of the Act or the cessation of eligibility considered a withdrawal of an employer pursuant to section 123;

(3)  involves the appropriation of surplus assets and meets all the terms and conditions provided for under the plan;

(4)  is referred to in section 97.

Approval in writing of the plan’s establishment or amendment by an accredited association constitutes consent, as the case may be, of the eligible employees or the members concerned that it represents.

For the employees eligible for membership under the plan or the members concerned by the amendment to the plan who are not represented by such an association, their consent is deemed obtained if less than 30% of them are opposed to the plan’s establishment or amendment, as the case may be.

Sections 146.4 and 146.5 of the Act apply, with the necessary modifications, to the consultation required to obtain consent.

The notice referred to in section 146.4 of the Act must, in the case of the plan’s establishment, mention that the cost of the obligations of the plan, less the employer contribution, is borne by the plan’s active members, that the members and beneficiaries’ pensions may be indexed provided that the plan remains fully funded and that the assets determined upon plan termination are entirely allocated to the plan’s members and beneficiaries.

O.C. 159-2007, s. 5; O.C. 1535-2024, s. 27.

2012-09-01

68. Member-funded pension plans are exempted from the following provisions of the Act:

— Pension plan – section 7;

— Establishment and effective date – subparagraph 16 of the second paragraph of section 14;

— Contributions – sections 37, 39, 41, 42 and 44;

— Refunds and pension benefits – sections 60, 60.1 and 78 as well as subparagraph 2 of the first paragraph of section 93;

— Transfers of benefits and assets – sections 101 and 106;

— Funding and solvency – sections 130 to 133, 140 and 142 to 146;

— Appropriation of surplus assets to the payments of employer contributions – sections 146.4 to 146.9;

— Division and merger – section 196, with the exception of the third paragraph;

— Liquidation of the benefits of members and beneficiaries – paragraphs 2 to 4 of section 200, section 207.5, the first paragraph of section 210.1, the second paragraph of section 224, sections 228 to 230, 230.1, 230.2 to 230.8 and 240.2.

O.C. 159-2007, s. 5.