The latest news articles and legislative updates on retirement reform
Pension plans are a priority on society’s fix-it list.
Plan sponsors in Canada are finding it increasingly difficult to fund defined benefit (DB) pension plans, which rely on employer contributions to provide promised benefits to participants. As the population ages and investment performance slips, additional contributions are needed to adequately fund DB plans, but economic volatility makes finding the extra cash problematic.
As DB plans struggle, attention has shifted to capital accumulation plans. Both sponsors and participants contribute money to capital accumulation plans, which is often then left to the mercy of the markets. Some wonder whether capital accumulation plans will provide adequate retirement income—will participants have enough money to last the rest of their lives?
Federal, provincial and local governments are legislating temporary and permanent funding/solvency relief for DB plans. Governments and industry experts are also analyzing the possibilities of retirement income security for their aging populations. Are lifetime income distribution options plausible? Should retirement saving be mandatory? Are participants receiving the information and education they need to plan for retirement and make wise investment decisions? These are just some of the issues to watch in the continuing debate.
- DB pension solvency drops from 15-year high in February: survey, Benefits Canada, March 8, 2018
- 2018 to be a significant year for pension reform in Ontario, Benefits Canada, January 23, 2018
- Manitoba pension consultations to consider target-benefit, shared-risk plans, Benefits Canada, January 11, 2018
- 2018 to be a busy year for pension reforms, Benefits Canada, January 3, 2018
- Ontario releases more details on funding cushion in new DB framework, Benefits Canada, December 15, 2017
- New Brunswick proposes Pooled Registered Pension Plan legislation, Stewart McKelvey, November 17, 2017
- Ontario makes ‘significant step’ with new bill addressing missing members, discharges, Benefits Canada, November 16, 2017
- Ontario exploring decumulation, New Brunswick introducing PRPPs, Benefits Canada, November 14, 2017
- OSFI touts progress of pension priorities, including PRPPs, Benefits Canada, November 13, 2017
- Manitoba now allows PRPPs, Morneau Shepell, November 13, 2017
- Quebec move to follow CPP changes ‘good news’: ACPM, Benefits Canada, November 3, 2017
- Saskatchewan: New funding rules for pension plans with fixed contributions, Morneau Shepell, October 12, 2017
- 80% of pension plans underfunded but solvency improved slightly in 2016: OSFI, Benefits Canada, October 11, 2017
- Pension industry favours majority regulator approach to multijurisdictional plans, Benefits Canada, October 3, 2017
- N.S. looking at changes to DB pension funding framework, target-benefit plans, Benefits Canada, September 11, 2017
- CPP reform to help lift plan’s assets above $15 trillion by 2090: analysis, Canada Business, August 23, 2017
Pooled registered pension plans coming to Manitoba this fall, CBC News, August 10, 2017
New CAPSA reviews to look at decumulation, missing members, Benefits Canada, July 5, 2017
New target-date funds to focus members on retirement income goal, Benefits Canada, July 5, 2017
Ontario sets out plans for target-benefit multi-employer pensions, Benefits Canada, June 30, 2017
Canadian DB solvency flat so far this year, Benefits Canada, June 28, 2017
Canadian pension solvency reaches highest level since pre-2007: survey, Benefits Canada, April 7, 2017
CPP changes an opportunity to look at pension plan redesign, Benefits Canada, March 30, 2017
Ontario adopts Multilateral Agreement on PRPPs, Morneau Shepell, March 14, 2017
CPP enhancements receive final sign-off, Benefits Canada, March 2, 2017
CAPSA: Revised Governance Guideline, Morneau Shepell, February 10, 2017