Legislation to bring pool registered pension plans (PRPPs) to British Columbia has been put on hold as the province's legislative assembly adjourned March 14 — B.C. is holding a provincial election May 14.
B.C. Finance Minister Michael de Jong introduced the Pooled Registered Pension Plans Act on Feb. 28 — following in the footsteps of similar legislation introduced by Ottawa in December. B.C.’s legislation would make all workers in the province eligible to enrol in defined contribution (DC) pension plans.
It’s ironic that B.C. is the first provincial government to introduce such legislation and now it’s being stalled by an election, said Andrew Harrison, a partner at the Toronto office of Borden Ladner Gervais.
“If there’s a change of government, you know, who knows where this particular initiative will be on the new government’s agenda?”
PRPPs would be managed by licensed financial institutions, reducing administrative burdens for employers and providing tax advantages to employers that are not available under alternative models such as group RRSPs, said the B.C. government.
Quebec, Alberta and Saskatchewan have signalled their intention to pass similar PRPP legislation.
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