Bill C-265

SUMMARY

This enactment improves the protection of the assets of pension plan members and beneficiaries by

(a) ensuring that members have substantial representation on boards of trustees, pension committees and pension councils;

(b) providing that not more than 10% of the total value of the assets of a pension plan may be held in securities issued by the employer or by a corporation associated with the employer (the limit is currently in the regulations);

(c) preventing pension plan administrators and beneficiaries from being restricted in the sale of the employer’s securities unless the directors and officers of the employer are similarly restricted, and in any event for not more than a year; and

(d) requiring that information that affects or is likely to affect the value of securities be provided to pension plan administrators and to persons with the power to trade in those securities at the same time as it is provided to anyone other than the directors, officers, management and advisors of the employer.