Statutes of Newfoundland and Labrador 2026 Chapter 4

Be it enacted by the Lieutenant-Governor and House of Assembly in Legislative Session convened, as follows:

SNL1996 cP-4.01
as amended

1. (1) Paragraph 2(ee.1) of the Pension Benefits Act, 1997 is amended by deleting the reference "Public Service Pensions Act, 1991" and substituting the reference "Public Service Pensions Act, 2019".

(2) Section 2 of the Act is amended by renumbering paragraph (ee.2) as paragraph (ee.4) and adding immediately after paragraph (ee.1) the following:

(ee.2) "solvency assets" means the market value of investments held by a pension plan plus any cash balances of the plan and accrued or receivable income items of the plan, less any amounts payable by the plan;

(ee.3) "solvency ratio" means the ratio of the solvency assets of a pension plan to the liabilities of the pension plan calculated on a plan termination basis as of the latest review date and as required by the superintendent;

2. Section 58 of the Act is repealed and the following substituted:

Transfer of plan assets

58. A transfer of assets of a pension plan shall not be made from the pension fund of the pension plan to the pension fund of another pension plan unless

(a) either

(i) the contract or trust agreement of the receiving fundholder is filed with the superintendent and the receiving pension plan is registered under this Act, or

(ii) where the contract or trust agreement of the receiving fundholder is not filed with the superintendent and the receiving pension plan is not registered under this Act, the receiving pension plan

(A) is registered in another jurisdiction that is a signatory to a multilateral agreement, and

(B) has a solvency ratio that is

(I) equal to or greater than 0.85, or

(II) higher than the solvency ratio of the pension plan from which the assets are being transferred; and

(b) the superintendent has approved the transfer in writing.