Copyright 2009, Blake, Cassels & Graydon LLP
Originally published in Blakes Bulletin on Pension & Employee Benefits, April 2009
On March 27, 2009, the Department of Finance Canada released regulations to provide temporary solvency funding relief for federally regulated defined benefit pension plans. The new solvency funding relief regulations, which are to be pre-published on April 4, 2009, in Part I of the Canada Gazette, can be found at http://www.fin.gc.ca/n08/09-032-eng.asp.
The effect of the Regulations is as indicated in our February 2009 Blakes Bulletin on Pension & Employee Benefits, except that the detailed requirements of the consent mechanism, restrictions on benefit improvements and the required attributes of the letters of credit to be used are now specified. We will soon be issuing a bulletin comparing the 2006 Federal Solvency Funding Relief Regulations with the solvency relief proposed in the new Regulations.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
