Fall 2018 - Bill 27: Joint Governance of Public Sector Pension Plans Act.
The Joint Governance of Public Sector Pension Plans Act proposes a joint governance structure for three of Alberta’s largest pension plans – the Local Authorities Pension Plan, the Public Service Pension Plan and the Special Forces Pension Plan.
“Above all else, this legislation represents something so fundamental: certainty and security for my future and my family’s future.”
The new legislation will:
- give employee and employer stakeholders equal say in how their pension plans are managed and control over plan design (benefits, rules, eligibility and contributions)
- separate sponsor and administrator/trustee functions and clearly define roles and responsibilities
- create a sponsor board for each plan, with an equal number of seats assigned to employee and employer sponsors
- each plan will have its own corporation that would perform administrator and trustee functions
- allow employee and employer groups to nominate representatives to sit on their sponsor boards as well as the corporation boards with no final approval required from government
- continue plan services with AIMCo and Alberta Pensions Services for a period of 5 years, after which plans can choose to renew their agreements or consider new options
- introduce protections for plan members to remain in their plan if there is an employer restructuring