Multi-jurisdictional pension plans play a significant role in providing retirement income to many Canadians. The Governments of Ontario and Quebec have announced the signing of the
Agreement Respecting Multi-Jurisdictional Pension Plans (the "multi-jurisdictional agreement" or the "MJPPA") in May 2011. The MJPPA came into effect July 1, 2011 for multi-jurisdictional pension plans where the major authority (province of registration) is Ontario or Quebec, and the pension plans have both Ontario and Quebec plan members.
The existing Memorandum of Reciprocal Agreement and/or bilateral agreement with the federal government, if applicable, will remain in effect for all members and plan beneficiaries (retired, deferred vested, etc.) in the jurisdictions that have not yet signed the MJPPA.
This multi-jurisdictional agreement establishes an efficient and transparent regulatory environment for multi-jurisdictional pension plans. It specifies the rules that apply to these plans and allows, to the extent provided for in the MJPPA, a single pension supervisory authority to exercise all of the supervisory and regulatory powers relevant to these pension plans.
We anticipate other Canadian governments will sign the MJPPA once they have considered it and their legislation is modified, where necessary, to provide them with the authority to sign the multi-jurisdictional agreement. The effective date of the MJPPA in each jurisdiction will be announced as it is signed.
Several
questions and answers are provided to respond to queries that may arise during the transition to the MJPPA. We will update and expand these as further questions arise.
If you have a question or comment about the MJPPA, you may contact FSCO's Pension Division by e-mail at
pensionpolicy@fsco.gov.on.ca.