Overview of Pension Regulations in Newfoundland and Labrador
Certain programs operated by the Federal Government apply to all Canadian citizens. This includes Old Age Security (including the Guaranteed Income Supplement) and the Canada Pension Plan. For enquiries related to these federal programs contact Service Canada at 1-800-277-9914 or visit the Government of Canada’s website Public pensions – Canada.ca.
Some employers offer savings programs such as Group Registered Retirement Savings Plans (RRSPs) or Tax-Free Savings Accounts (TFSAs), which may include contributions made by your employer. Group RRSPs and TFSAs are not regulated by provincial pension legislation and individuals should contact their employer regarding questions about these programs.
Employers may offer an employer a sponsored pension plan designed to provide benefits to members in retirement.
Public Service Pension Plan (PSPP) and Teachers’ Pension Plan (TPP. Former members of PSPP and TPP are regulated by the Pensions Benefit Act, 1997 if they transferred pension their pension benefit to a locked-in retirement savings arrangement.
Pension plans covering federal public sector employees.
Private sector employees working in federally regulated industries such as banks, airlines, interprovincial railways, broadcasting and telecommunications.
Newfoundland and Labrador members of pension plans registered in other provinces in Canada are also protected by the Pension Benefits Act, 1997.
The Pension Benefits Act, 1997 and Regulations provide standards for the provision of pension benefits, the protection of pension funds, and for the funding of a plan’s pension promise to members (and their spouse, cohabiting partner, beneficiary, or estate).
The Act and Regulations does not guarantee a pension. The Act and Regulations require pension funds to be held in trust (separate and apart from the employer’s assets) and requires employers to adequately fund all benefits earned by members, including making special payments to make up any shortfalls.
Every pension plan is unique and plan members, or beneficiaries, should contact their employer or pension plan administrator or union representative if they have any questions about their own plan or their personal information. The Department of Digital Government and Service NL does not have personal information relating to plan members.
There are two types of pension plans that may be offered by employers:
Defined Benefit Plan – Members earn a pension based on a formula set by the plan. Information about defined benefit plans can be found here.
Defined Contribution Plan – Contribution requirements for the member and the employer are set out in the plan documents. Information about defined contribution plans can be found here.
