On April 15, 2020, the government of Canada announced that it will provide immediate, temporary relief to sponsors of federally regulated defined benefit pension plans.
The evolution of the financial situation of pension plans since December 31, 2019
A number of Canadian jurisdictions have introduced new unpaid job-protected statutory leaves for employees who are required to take time off work due to quarantine, care for family members, personal illness, or orders relating to public health.
Every year, companies must establish an expense for their defined benefit pension plans.
The Canada Revenue Agency has announced that it has suspended the minimum contribution rule for defined contribution (DC) pension plans in 2020.
Morneau Shepell’s Pension Risk Transfer Team publishes a periodic Pension Risk Bulletin to provide pension risk transfer and risk management updates and views to defined benefit pension plan sponsors in Canada.
On April 24, 2020, the Financial Services Regulatory Authority of Ontario (FSRA) published additional information setting out its response to the COVID-19 pandemic.
Results of the Universe Performance survey for Q1 2020
In light of the COVID-19 situation, pension regulators in the Atlantic provinces have made announcements relating to regulatory extensions and other matters.
On April 6, 2020, the Actuarial Standards Board of the Canadian Institute of Actuaries announced it would delay the adoption of its revised commuted value standards until December 1, 2020, at the earliest.