Bill 87 (Legislature 10, Session 5)

L10 S5 7334

Alberta — Bills

Bill No. 87 of 1948. A BILL TO PROVIDE FOR VOLUNTARY RETIREMENT PENSIONS NOTE. This Bill introduces a new Act providing for, voluntary retirement ·pensions. .,. Sections 3 and 4 of the Act provide for the creation of a corporation known as "The Administrator of the Retirement Pension Fund", and the person who acts as Administrator from time to time is appointed by the Lieutenant Governor in Council. .

Section 5 sets out the powers of the 'Administrator. ;,'The Administrator provides technical, actuarial and administra tive facilities necessary to give information and advice re garding 'pension plans and to set up and administer such pension plans. The Administrator may receive deposits from employers consisting of the employers' contributions and employees' deductions under any pension plan which he approves and may administer the plan. He pays out the pensions in plans he administers. He also is empowered to invest the moneys in the Retirement Pension Fund from time to time in securities in which an insurer may invest. By

section 6 the Administrator may enter into a contract with any employer on such terms and conditions as may be mutually agreed upon whereby the Administrator ad ministers the pension plan of the employer and provides him with technical and actuarial facilities. By

section 7 the Administrator may not enter into a con tract with an employer unless deductions from employees' salaries do not exceed five per cent, the ,contributions of the employers are at least equal to the deductions from the em ployees, and the amount of the annual retirement pension does not exceed an amount actuarially equivalent to a single life pension commencing at the age of sixty-five years of two per cent of the average annual wage or salary for the continuous five-year period of pensionable service during which the employee received the highest wage or salary. By

section 8 an employee who leaves the service of an employer whose pension plan is adm~nistered by ~he .Ad ministrator is entitled to withdraw hIS own contrIbutIons with interest or to leave the sum on deposit with the Ad- ministrator. By

section 9 the amount left on deposit by any employee with the Administrator may be added to any amount he sub-

ii , sequently contributes under the pension plan of any other employer, or in the event of his death it is payable to his beneficiary. ,.

Section 10 provides .that the Minister shall pay a minimum of two per cent interest on all deposits in the Fund and this minimum is guaranteed 1:>Y the Province.

Section 12 enables the Lieutenant Governor in Council to nlake contributions to the Retirement Pension Fund to be deposited to the ,credit of the pension plan applicable to any designated employees or class or classes of employees or the 'employees of any designated employer or class or classes of ,employers. ' W. S. GRAY, Legislative Counsel. , (This note does not form any part of the Bill but is offered inr ,explanation of its p'rovisions.)

BILL No. 87 of 1948.

An Act to. Provide for Voluntary Retirement Pensions. (Assented to , -1948.) HIS MAJE.ST~, by and· with the -advice and .. eonse,ti:t of ~ the LegIslatIve Assembly -of the Province of. Alberta, enacts as follows:

SHORT TITLE. 1. This Act may be cited as "The RetirerYbent Pension Act".

INTERPRETATION. 2. In this Act, unless the ,context otherwise~equires, (a) "Administrator" means the Administrator of' the Retirement Pension Fund; - . (b) "Employer" means any person, fir~.,. corporation, partnership, association or public body '-of' whatso ever -nature which employs any -perso·h. for wages, salary .or other remuneration; . . . - - ( c) "Fund" means the Retirement Pensio~Fund ; (d) "Minister" means the Minister of E-conomic Affairs. RETIREMENT PENSION FUND. 3.

There is hereby ·constituted a corporation sole under the name and style of "The Administrator of the Retirement Pension Fund" with perpetual succession and a seal of offi:ce. 4. The Lieutenant Governor in CDuncil may from· time to time appoint an Administrator who shall administer the Retirement Pension Fund. 5. The Administrator may,- (

a) provide technical, a'ctuarialand. administr.ative facilities necessary to give informatIOn and advice to any employer regarding pensiori plans and to set up and administer such pension plans; (

b) make actuarial and other calculations for any, em ployer desirous of setting up a pension plan fDr his employees; (

c) assist any employer in formulatin¥, a pension plan and in determining the deposits In the Fund re quired to meet t~ecost of any such plan;

2 (

d) receive and deposit in the Fund the deposits made by any employer in accordance with any pension plan 'approved ,and a4ministered by the Administra tor, which deposita. ,may: consist of contributions from the employer and deductions from the wages or salaries of ,hur. ~mployees ; (

e) administer on behalf of any employer any pension plan, for his: em·:ployees approved by the Ad ministrator ; . (fi) pay pensions to, .employees, in accordance with the pension plan applic'able to them; , (g )'" :~h~ge any employer for the ,cost of services or f~i1jties,.-provided: to, ,that employer and for the cost of administering the pensien pian of that employer; (

h) invest moneys deposited in the Fund by employers in ,connection with any pension plan in any securities and'investments in which an insurer may invest pursuant to The Alberta Insurance Act and -deal, sell, exchange, dispose' of or otherwise turn to account any such securities and investments; (

i) estabIisha reserve fund for meeting contingencies or' equalizmg interest payments, arid invest, control, manage and dispose of such reserve fund; tiY' acquire, ,'hold," im:prove, develop, sell, manage, ex . cfrange, lease, dispos~' of or otherwise turn to account real e~tate Or other property or rights; (

k) do all acts and' things which in the opinion of the , Administrator' are requisite or necessary for the purpose of ,providing fa.eilities for the efti:cient ad ministration of retirement pensions pursuant to this Act or which are incidental thereto. CONTRACTS WITH EMPLOYERS. 6.-( I} The Administrator may enter into a contract with any employer upon such terms and conditions as may be mutually .. agreed, upon whereby the Administrator win ad minister the" pension plan of the employer and will provide the employer with such services and facilities in connection with his pension plan as the Administrator is authorized to provide pursuant to

section 5.

(2) The Administrator may enter into a contract with, '(

a) the Board of Administrators which administers the Teachers" Itetirement Fund pursuant to The Teachers' Retirement Fund Act· (b) • the Administrative Board which administers the Superanntlation . Fund pursuant to The Municipal Districts' Office Employees' ,Superannuation Act, 1948; (c), an~o~her board!~n:ganization,or person approved by the Lleutenant Governor in Council which adminis-

ters on behal~ of an employer?r employers a pension, superannuatIOn, or other rehrelnent fund' on suc.h terms and conditions as may be mutuali y agreed upon whereby the Administrator will administer the said pension, superannuation' or other retirement fund and will provide such services and facilities as the Administrator is authoriu:d , to ,provi~e pu~s~ant to

section 5, and whereby the AdmInIstrator, In addItIOn to any powers which he may have pursuant to this Act, may exercise on behalf of the other party to the contract such of that party's powers as may be transferred or delegated to the -Administrator by the con tract., 7. The Administrator shall not enter into any such con tract unless,- (

a) the pension plan of the employer is approved by the Administrator; and " , (

b) the deductions from the wages or salary of each employee under the pension plan do not exceed five per cent of the employee's wages or salary'; and (c). the contributions of the employer are at least equal to the deductions from the wages or salaries of his employees; and (

d) the amount of the annual retirement pension pay able to any employee under the plan does not exceed an amount actuarially equivalent to a single-life pension commencing at the age of sixty-five years of two per cent of the average annual wage or sa1a'l'Y for the -continuous five-year period of pensionable servi-ceduring which the employee received the highest wage or salary, " ' GENERAL. 8. Any employee of an employer whose pension plan is administered by the Administrator under a contract pur suant to this A-ct shall be entitled when he ceases to be an employee of that employer,- (

a) to withdvaw from the Fund the am,ount contribu~ed by him during his pensionable serVlce together WIth ,interest thereon and such other amounts as he may be entitled to under the contract between his em ployer and the Administrator; or (

b) to leave on deposit to his credit ~n the Fu,nd the amount he would be entitled to WIthdraw, Ifsuch amount is not less than one hundred dollars. 9. Any employee who has left an am~unt on deposit. in the Fund shall be entitled to have the saId amount and In terest thereon placed to his credit and,- (

a) it may be withdrawn by him at any time; or

(b) (0) 4 it may be applied tD increase the benefits payable to him under the pensiDn plan of any other em ployer by whom he is em,ployed and whose pension plan is administered by the Administrator under a contract pursuant to this Act; or in the event 'Of his death it shall be paid tD a bene ficiary designated by him, and failing any such designatiDn, to his executors, administrators, or assigns. 10.-

(1) The AdministratDr shall pay interest on all sums deposited in the Fund at the rate of two per cent per annum or at such higher rate as the Administrator may determine from time tD time.

(2) The Provin,ce hereby guar'antees the payment of in terest at the rate of two per cent per annum by the Administrator.

(3) The Provincial Treasurer is hereby authorized to pay to the Administrator such sums, if any, as may be necessary from time to time to pay interest .on deposits in the Fund at the rate of two per cent per ~nnum on such terms and con ditions as may from time to time be determined by the Lieutenant Governor in Council. 11. The Administrator shall furnish to the Minister such information and reports as the Minister may from time to time require. 12. The Lieutenant Governor in Council out of moneys appropriated by the Legislature for the purpose may make contributions to the Retirement Pension Fund to be de posited to the credit of the pension plan, applicable to,- (

a) any designated employees or class or classes of em ployees; or (

b) the employees of any designated employer or class or classes of employers. 13. The Lieutenant Governor in Council may make regulations not inconsistent with this Act to facilitate its administration and for the purpose of supplying any de ficiency and carrying out the pr.ovisions hereof' according to their true intent. 14. This Act shall come into force on the day upon which it is assented to.

FIFTH SESSION TENTH LEGISLATURE 12 GEORGE VI 1948 BILL

An Act to Provide for Voluntary Retirement Pensions. Received and read the First time Second time . Third time HON. MR. HOOKE. Title: 1948 (10th, 5th) Bill 87,

An Act to Provide for Voluntary Retirement Pensions

Document details

Collection	Alberta — Bills
Citation	L10 S5 7334
Type	bill
Volume / chapter	L10 S5 7334
Language	en
Format	json
Source	PROVINCIAL
Identifier	7e6879f9c44e7d6990c50d9c9b61773deedb2560

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