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.
- CPP enhancements to increase total benefits by 44% by 2070: study, Benefits Canada, June 21, 2018
- Ontario rolls out several parts of new DB framework, Benefits Canada, May 1, 2018
- Major reform of Ontario pension funding rules now final, Willis Towers Watson, April 27, 2018
- Pension Funding Reform Continues: Taking Aim at Target Benefit Multi-Employer Pension Plans, Hicks Morley, April 18, 2018
- Just 17% of employers starting plans for CPP, QPP changes, Benefits Canada, April 18, 2018
- Alberta Announces Temporary Solvency Funding Relief for Defined Benefit Pension Plans, Blakes Business Class, April 10, 2018
- Ontario proposes rules for target benefits in multi-employer plans, Benefits Canada, April 9, 2018
- Quebec Passes Legislation to Mirror CPP Enhancements and Makes Changes to its Pension Legislation, Hicks Morley, March 23, 2018
- 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
- Ministers agree to additional CPP features to support parents, people with disabilities, Benefits Canada, December 12, 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
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Pooled registered pension plans coming to Manitoba this fall, CBC News, August 10, 2017
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New CAPSA reviews to look at decumulation, missing members, Benefits Canada, July 5, 2017
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New target-date funds to focus members on retirement income goal, Benefits Canada, July 5, 2017
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Ontario sets out plans for target-benefit multi-employer pensions, Benefits Canada, June 30, 2017
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Canadian DB solvency flat so far this year, Benefits Canada, June 28, 2017