pooled registered pension plans
The three popular articles this week on HRinfodesk deal with: A matter where the court had to determine the enforceability of a promoted employee’s new employment contract, particularly the termination clause; current and 2017 payroll rates; and PRPP legislation that is now in force in Ontario.
Pension plans can be a very helpful retention mechanism for good employees (and, it must be noted, bad ones too), and many larger employers offer them to their employees as part of their overall compensation package. However, the cost and complexity of pension plans have also meant that they may not be considered by most smaller employers. Recent legislative enactments have attempted to address this.
A number of financial institutions and other providers are now offering pooled registered pension plans (PRPPs) and voluntary registered savings plans (VRSPs), the PRPP’s Quebec equivalent. Except for VRSPs, which are mandatory for employers who don’t offer pension plans or other retirement savings plans such as group registered retirement savings plans (RRSPs), how popular are PRPPs likely to be?
Three of the most popular articles this week on HRinfodesk deal with Ontario’s private member’s bill to curtail unpaid internships; statutory pay in lieu and WSIB; and balancing retirement income with disposable income.
As anticipated, since the federal Pooled Registered Pension Plans Act came into force December 14, 2012, several provinces have followed suit and tabled legislation to implement the new kind of portable deferred income plan, which is designed to provide retirement income to workers and self-employed persons who do not have access to an employer-sponsored retirement pension plan.
We are repeating this December 21 blog post to ensure employers, human resources professionals, payroll specialists, legal advisors, managers and supervisors among others start 2013 on the right foot.
Several changes to pension, employment standards, payroll and other legal requirements are coming into force January 1, 2013 or later. Below you will find brief summaries, listed by jurisdiction, of some of the important changes employers need to know about and prepare for: (The post is now updated and includes the new AODA Built environment requirements coming into force January 1, 2013).
On November 17, 2011, Bill C-25, An Act relating to pooled registered pension plans and making related amendments to other Acts, received first reading in the House of Commons. There is a bit of controversy about this Bill… let’s take a look.