r-10, r. 7 - Regulation respecting the partition and assignment of benefits accrued under the Government and Public Employees Retirement Plan

Updated to 12 December 2023

This document has official status.

chapter R-10, r. 7

Regulation respecting the partition and assignment of benefits accrued under the Government and Public Employees Retirement Plan

Act respecting the Government and Public Employees Retirement Plan

(chapter R-10, s. 134).

Act respecting the Pension Plan of Management Personnel

(chapter R-12.1, ss. 163 to 170 and 416).

DIVISION I STATEMENT OF BENEFITS OF THE EMPLOYEE OR FORMER EMPLOYEE

(s. 134, pars. 14.2 and 14.3)

1. Any application for a statement referred to in section 122.1 of the Act respecting the Government and Public Employees Retirement Plan (chapter R-10) must contain the following information and be accompanied by the following documents:

(1)  the name, address, social insurance number and date of birth of the employee or former employee and of his spouse;

(2)  in the case of married spouses, a marriage certificate and, as the case may be, the date on which the spouses resumed living together;

(2.1)  in the case of spouses in a civil union, a certificate of civil union;

(3)  written confirmation from a certified mediator to the effect that he or she has received a mandate within the context of family mediation or written confirmation from a notary to the effect that the spouses in a civil union have undertaken a joint procedure for the dissolution of their civil union or, as the case may be, the joint declaration dissolving the civil union and the notarized transaction contract, or a copy of the application for separation from bed and board, divorce, annulment of marriage or civil union, dissolution of civil union or payment of a compensatory allowance or, where applicable, a copy of the judgment disposing of such an application;

(4)  the information that must be provided by the employer in his annual report, in accordance with section 188 of the Act, for the year during which the assessment is determined up to the date set for that assessment, as well as for the previous year; that information must be certified by an authorized representative of the employer.

Any application filed under this section is also valid for the other pension plans which are administered by Retraite Québec or for which Retraite Québec is responsible for paying benefits in accordance with section 4 of the Act respecting Retraite Québec (chapter R-26.3).

O.C. 351-91, s. 1; O.C. 1191-95, s. 1; O.C. 1428-98, s. 1; T.B. 220167, s. 1.

1.1. Any application for a statement referred to in section 122.1.1 of the Act must be signed by the employee or the former employee and his spouse. The application must contain the following information and be accompanied with the following documents:

(1)  the name, address, Social Insurance Number and date of birth of the employee or former employee and his spouse;

(2)  an attestation by the employee or former employee and his spouse that neither was married or in a civil union on the date on which they ceased living together and, where applicable, the date of the divorce or the dissolution of the civil union and the documents attesting thereto, unless those documents have already been sent to Retraite Québec;

(3)  an attestation by the employee or former employee and his spouse of the dates on which they began and ceased living together and, where applicable, proof concerning their marital residence. Furthermore, if the spouses lived in a conjugal relationship for at least one year but not more than three years preceding the date on which they ceased living together, they must also attest that one of the situations referred to in subparagraphs 1 to 3 of the first paragraph of section 122.1.1 of the Act occurred and, where applicable, provide proof thereof;

(4)  the information that must be provided by the employer in his annual report, in accordance with section 188 of the Act, for the year during which the assessment is determined up to the date set for that assessment, as well as for the previous year; that information must be certified by an authorized representative of the employer.

T.B. 220167, s. 2.

2. Within 90 days following the date of receipt of a duly completed application, Retraite Québec shall provide the employee or former employee and his spouse with a statement showing the following information:

(1)  the date on which the employee or former employee became a member of the Government and Public Employees Retirement Plan and, as the case may be, the date on which he ceased to be a member thereof;

(2)  the benefits accrued to the employee or former employee, without taking into account any reduction resulting from a prior partition or assignment of benefits, from the time when he became a member of the plan until the date of assessment provided for in the second paragraph of section 122.2 of the Act, as well as the value of those benefits;

(3)  in the case of married spouses or spouses in a civil union, the benefits accrued during the period of the marriage or civil union, as well as the value of those benefits;

(4)  as the case may be, the value of the reduction of the benefits accrued as a result of any prior partition or assignment of benefits that would be applicable at the date of that assessment;

(5)  the terms and conditions for payment of the sums awarded to the spouse in accordance with Division III.

The statement of benefits and values established at the date of assessment on the basis of information known to Retraite Québec not later than the date of that statement shall be presumed accurate.

O.C. 351-91, s. 2; O.C. 1191-95, s. 2; T.B. 220167, s. 3.

DIVISION II ESTABLISHMENT AND ASSESSMENT OF ACCRUED BENEFITS

(s. 134, par. 14.4)

§ 1 . — Establishment of benefits

3. The benefits accrued under the plan shall be established in accordance with the Act, taking into account the following provisions:

(1)  where the Act provides for an option between a refund of contributions and a deferred pension and where that option has not been exercised at the date of assessment, the accrued benefits shall be those having the highest value;

(2)  where the Act provides for an option between a pension and a deferred pension and where that option has not been exercised at the date of assessment, the accrued benefit are deemed to correspond to a deferred pension payable at age 65;

(3)  except in the case provided for in the second paragraph of section 57 of the Act, where the Act prescribes that the employee would be entitled to a pension if he ceased to be covered by the plan before reaching age 65, his benefits are deemed to correspond to a deferred pension payable at that age;

(3.1)  where the employee has ceased to be a member of the plan after 31 December 1995 while he was entitled to a reduced pension that he was not receiving at the date of assessment, the accrued benefits are deemed to correspond to a pension payable on the closest date on which a pension would otherwise have been granted to him without actuarial reduction at the time of his ceasing to be a member of that plan;

(4)  where the Act provides for indexation of the deferred pension, it shall be indexed after it has been reduced at the date of assessment by the amount obtained pursuant to section 39 of the Act;

(5)  where the provisions relative to the return to work of a pensioner apply in respect of a pensioner who is not a member of the plan and whose benefits have ceased to be paid in whole or in part because of his return to work, or where the provisions of Division IV of the Chapter IV of Title I of the Act apply, the accrued benefits correspond to the benefits that would otherwise have been paid at the date of assessment if those provisions had not applied.

The accrued benefits of the period of the marriage or civil union shall be established in accordance with the first paragraph on the basis of the years or parts of a year of service counted of credited during that period, on the assumption that the employee or former employee acquired for that period benefits of the same type as those accrued to him between the time when he became a member of the plan and the date of assessment.

For the purpose of establishing and assessing them, the accrued benefits correspond to the benefits acquired under the plan at the date of assessment on the basis of the years or parts of a year of service credited or counted at that date, without taking into account, except in respect of the pensioner, the years or parts of a year added at the time of calculation of the pension. For those purposes, the employee is deemed to have ceased to be covered by the plan at the date of assessment.

O.C. 351-91, s. 3; O.C. 1191-95, s. 3; O.C. 1428-98, s. 2; T.B. 220167, s. 4.

4. The years or parts of a year of service redeemed shall be credited or counted as a ratio of the capital paid therefor to the total capital. The years or parts of a year are deemed to be credited or counted for the period of the marriage or civil union to the extent that they were paid during that period.

O.C. 351-91, s. 4; T.B. 220167, s. 5.

5. Where the number of years or parts of a year of service credited or counted for the purposes of the plan in accordance with section 115.7 as it read on 31 december 2004 or section 158 of the Act is less than the number of years or parts of a year of service recognized under the initial pension plan, and where a fraction of that number of years is included in the period of the marriage or civil union, the number of years or parts of a year of service credited or counted in accordance with those sections and included in the period of the marriage or civil union is equal to “A” in the following formula:

C

B x – = A

D

“B” represents the number of years or parts of a year of service credited or counted for the purposes of the plan in accordance with section 115.7 as it read on 31 december 2004 or section 158 of the Act;

“C” represents the number of years or parts of a year of service recognized under the initial pension plan for the period of the marriage or civil union;

“D” represents the number of years or parts of a year of service recognized under the initial pension plan.

Where the number of years or parts of a year of service recognized under the initial pension plan for the period of the marriage or civil union is unknown to Retraite Québec, the number of years or parts of a year of service credited or counted in accordance with section 158 of the Act and included in the period of the marriage or civil union is equal to “A” in the following formula:

E

B x – = A

F

“B” represents the number of years or parts of a year of service credited or counted for the purposes of the plan in accordance with section 158 of the Act;

“E” represents the number of calendar days having elapsed under the initial pension plan for the period of the marriage or civil union;

“F” represents the number of calendar days having elapsed during membership in the initial pension plan.

O.C. 351-91, s. 5; T.B. 220167, s. 6.

§ 2 . — Assessment of benefits

6. Where the accrued benefits consist in a refund of contributions, the value of those benefits corresponds to the contributions paid with interest calculated in accordance with the Act and accrued to the date of assessment as though the refund had been issued at that date. Where those benefits also consist in a refund of the sums paid for the purchase of a pension credit, a separate calculation must be made for the refund of those sums. The same applies in respect of the value of the benefits accrued for the period of the marriage or civil union.

O.C. 351-91, s. 6; T.B. 220167, s. 7.

7. In this section, the expression “CIA Standards” refers to the standards of practice entitled “Practice-Specific Standards for Pension Plans-3500 Pension Commuted Values” of the Canadian Institute of Actuaries.

The actuarial value of the benefits is determined according to the “distribution of benefits” method and corresponds to the sum of 25% of the actuarial value determined for a male and 75% of the actuarial value determined for a female.

The actuarial value of the benefits is also determined according to the following actuarial assumptions:

(1)  the mortality rates:

The mortality rates are those determined according to the CIA Standards.

(2)  the interest rates:

(a)  the interest rates for fully-indexed or non-indexed benefits are those determined according to the CIA Standards;

(b)  the interest rates for partially-indexed benefits are determined according to the following formula:

((1 + interest rate for a non-indexed benefit)/(1 + indexing rate for a partially-indexed benefit)) - 1

The result must be adjusted according to the CIA Standards.

(3)  the indexing rate:

(a)  the indexing rate for a benefit fully-indexed by the rate of increase in the Pension Index is calculated in the manner described in the CIA Standards;

(b)  the indexing rate for a benefit indexed by the excess of the rate of increase in the Pension Index (PI) over 3% or by half of the rate of increase in the Pension Index corresponds respectively to the excess of the indexing rate calculated in the manner provided in subparagraph a over 3% or by half the indexing rate calculated in the manner provided in that subparagraph.

In order to take into account inflation rate variations, the following additions are made to the results of the effective indexing formulas for actuarial value calculation purposes:

Inflation level	Addition to the result of PI–3% formula	Adjusted indexing rate	Addition to the result of the 50% PI, min. PI–3% formula	Adjusted indexing rate
0	0.00	0.00	0.20	0.20
0.5	0.00	0.00	0.10	0.35
1.0	0.00	0.00	0.05	0.55
1.5	0.05	0.05	0.00	0.75
2.0	0.10	0.10	0.00	1.00
2.5	0.20	0.20	0.00	1.25
3.0	0.40	0.40	0.00	1.50
3.5	0.20	0.70	0.00	1.75
4.0	0.10	1.10	0.00	2.00
4.5	0.05	1.55	0.00	2.25

(4)  the turnover rate: Nil

(5)  the disability rate: Nil

(6)  the proportion of persons with a spouse at death:

Age	Male	Female
18-59 years old	65%	60%
60-64 years old	65%	55%
65-69 years old	60%	50%
70-74 years old	60%	40%
75-79 years old	60%	30%
80-84 years old	60%	20%
85-89 years old	50%	10%
90-109 years old	40%	5%
110 years old	0%	0%

(7)  the age difference between spouses at death:

(a)  the male spouse of the beneficiary is assumed to be 1 year older;

(b)  the female spouse of the beneficiary is assumed to be 4 years younger.

O.C. 351-91, s. 7; T.B. 210818, s. 1; T.B. 226436, s. 1.

8. Where the accrued benefits correspond to a pension, a deferred pension or a pension credit, the value of those benefits shall be equal to the amount “D” in the following formula:

d1 + d2 + d3 + d4 = D, where

“d1” represents the actuarial value of the part of any person which, from the date on which it is paid, is indexed according to the rate of increase in the Pension Index determined under the Act respecting the Québec Pension Plan (chapter R-9);

“d2” represents the actuarial value of the part of any pension which, from the date on which it is paid, is indexed according to the amount by which that rate exceeds 3%. That value includes, where applicable, the amount of life pension added and corresponding to 1.1% of the average pensionable salary for each of the years considered under section 73.1 of the Act and the temporary pension amount that is added, payable until 65 years of age and equivalent to $230 for each of the years considered under that section;

“d3” represents the actuarial value of the part of any person which, from the date on which it is paid, is indexed according to the highest of the following rates:

(1)  50% of the rate of increase in the Pension Index determined under the Act respecting the Québec Pension Plan; or

(2)  the amount by which the rate of increase in the Pension Index determined under the Act respecting the Québec Pension Plan exceeds 3%;

“d4” represents the actuarial value of each pension credit.

A separate value must be calculated in the manner prescribed in the first paragraph for years or parts of a year of service relative to the Teachers Pension Plan or to the Civil Service Superannuation Plan that were transferred to the Government and Public Employees Retirement Plan in respect of each of those cases.

The value of the benefits accrued for the period of the marriage or civil union shall be established in accordance with the first and second paragraphs.

O.C. 351-91, s. 8; T.B. 198509, s. 1; T.B. 220167, s. 8.

9. Where the accrued benefits consist in a benefit being paid at the date of assessment or that would be paid if the former employee had filed an application to that effect, or if those accrued benefits consist in a benefit that would otherwise be paid at that date, the value of those benefits is obtained by calculating the actuarial value of such a benefit.

The value of the benefits accrued for the period of the marriage or civil union shall be established in accordance with the first paragraph.

O.C. 351-91, s. 9; T.B. 220167, s. 9.

DIVISION III PAYMENT OF THE SUMS AWARDED TO THE SPOUSE AS A RESULT OF THE PARTITION OR ASSIGNMENT OF BENEFITS

(s. 134, pars. 14.2 and 14.5)

10. In this Division, the expression “life income fund” has the meaning given to it by sections 18 and 19 of the Regulation respecting supplemental pension plans (chapter R-15.1, r. 6) and the expressions “locked-in retirement account” and “annuity contract” have the meaning given to them by sections 29 and 30 of that Regulation.

O.C. 351-91, s. 10.

11. An application for payment of the sums awarded to the spouse must be preceded by an application for assessment made in accordance with Division I and must show the name and address of the employee or former employee and of his spouse, their social insurance numbers and their dates of birth.

That application is also valid for all the pension plans for which Retraite Québec has provided a statement.

O.C. 351-91, s. 11.

12. An application for payment of the sums awarded to the spouse must be accompanied by the following documents:

(1)  the judgment of separation from bed and board, divorce, annulment of marriage or civil union, dissolution of civil union or the payment of a compensatory allowance unless the judgment has already been sent to Retraite Québec;

(2)  where applicable, any other judgment relative to the partition or assignment of the benefits of the employee or former employee or the joint declaration dissolving the civil union along with the notarized transaction contract;

(3)  where applicable, the agreement entered into between the spouses regarding the terms for payment out of benefits accrued under the Government and Public Employees Retirement Plan;

(3.1)  in the case of spouses referred to in the first paragraph of section 122.1.1 of the Act, the agreement between the spouses concerning partition of the benefits accrued by the employee or former employee under the Government and Public Employees Retirement Plan, signed before a notary or attorney or a sworn declaration signed by both spouses within 12 months following the date on which they ceased living together;

(4)  the divorce certificate and, where applicable, the certificate of non-appeal.

O.C. 351-91, s. 12; T.B. 220167, s. 10.

13. Upon receipt of a duly completed application for payment, Retraite Québec shall send the employee or former employee a statement showing the sums awarded to the spouse as well as the amount of the reduction calculated pursuant to Division IV. Retraite Québec shall also send the spouse a statement showing the sums awarded to him.

The spouse must, within 60 days of the date on which the statement is mailed to him, provide Retraite Québec with the name and address of the financial institution and with an identification of the annuity contract, locked-in retirement account, life income fund or, as the case may be, registered retirement savings plan or registered retirement income fund into which the sums awarded to him must be transferred.

Except where the spouse has been paid otherwise, Retraite Québec shall, within 120 days of the expiry of the period provided for in the second paragraph, transfer the sums awarded to the spouse into an annuity contract, a locked-in retirement account, a life income fund or, as the case may be, a registered retirement savings plan or registered retirement income fund with a financial institution chosen by the spouse, provided that the steps necessary for the transfer of those sums have been taken.

Should the spouse fail to indicate his choice or to take the necessary steps within the prescribed period, Retraite Québec shall transfer those sums into a locked-in retirement account or, as the case may be, a registered retirement savings plan in the spouse’s name with the financial institution with which Retraite Québec entered into an agreement to that effect.

Where the spouse proceeds by way of forced execution, the judgment authorizing seizure in the hands of a third person shall take the place of an application for payment and this section shall apply.

O.C. 351-91, s. 13; O.C. 1191-95, s. 4; I.N. 2016-01-01 (NCCP).

14. Retraite Québec shall transfer the sums awarded to the spouse into an annuity contract, a locked-in retirement account or a life income fund where those sums come from an entitlement to a pension, to a deferred pension or to a pension credit.

Notwithstanding the foregoing, Retraite Québec shall transfer those sums into a registered retirement savings plan or into a registered retirement income fund where those sums come from an entitlement to a refund of contributions or, upon application by the spouse, into an annuity contract, a locked-in retirement account or a life income fund.

Notwithstanding the first and second paragraphs, those sums shall be paid to the spouse’s successors in the event of the spouse’s death.

O.C. 351-91, s. 14; O.C. 1191-95, s. 5.

14.1. The sums awarded to the spouse shall be apportioned among each of the values calculated pursuant to the first and second paragraphs of section 8, proportionately to the value of those sums divided by the total value of the benefits accrued under the plan at the date of assessment.

O.C. 1191-95, s. 6.

15. Interest compounded annually and accrued from the date of assessment to the date of payment must be added to the sums awarded to the spouse at the rate in Schedule VII to the Act, in effect at the date of assessment. Where that date is prior to 1 June 2001, the applicable interest rate is 5.34%.

O.C. 351-91, s. 15; T.B. 210818, s. 2.

DIVISION IV REDUCTION OF ACCRUED BENEFITS

(s. 134, par. 14.6)

16. If the amount paid to the spouse comes from an entitlement to a refund of contributions, to a deferred pension or to a pension credit, the benefits of the employee or former employee shall be established in accordance with the Act and shall be recalculated as follows:

(1)  where the employee or former employee is entitled to a refund of contributions, to a payment of actuarial value or is entitled to transfer an amount under a transfer agreement entered into in accordance with section 158 of the Act, the amount of the refund of contributions, of the payment of actuarial value or the amount to be transferred shall be reduced by the sums awarded to the spouse at the date of assessment with interest compounded annually at the rate determined for each period under Schedule VI to the Act and accrued from the date of assessment to the date on which the refund, payment or transfer is made. Notwithstanding the foregoing, no interest is calculated on the portion of those sums that relate to years or parts of years of service under the Teachers Pension Plan or the Civil Service Superannuation Plan, if those sums come from an entitlement to a refund of contributions. A separate calculation shall be made in the case of a pension credit;

(2)  where the employee or former employee is entitled to a deferred pension, to a pension or to pension credit, his pension or pension credit shall be reduced, from the date on which it becomes payable or from the date of payment, as the case may be, by the amount of pension or pension credit that would be obtained on the basis of the sums awarded to the spouse at the date of assessment.

O.C. 351-91, s. 16; O.C. 1191-95, s. 7; O.C. 1428-98, s. 3.

16.1. If the amount paid to the spouse comes from the entitlement to a pension referred to in subparagraph 3.1 of the first paragraph of section 3 or to a pension credit payable at the date on which that pension is payable, the benefits of the employee or former employee shall be established in accordance with the Act and his pension or pension credit shall be reduced, from the date on which it becomes payable or from the date of payment, as the case may be, by the amount of pension or pension credit that would be obtained on the basis of the sums awarded to the spouse at the date of assessment.

O.C. 1428-98, s. 4.

17. If the amount paid to the spouse comes from an entitlement to a pension, to a pension credit or to any benefit that would otherwise be paid on the date of assessment, that pension or pension credit shall be reduced, from the date of payment or from the date on which it becomes payable in the case of an employee 65 years of age or over on the date of assessment, by the amount of pension or pension credit that would be obtained on the basis of the sums awarded to the spouse at the date of assessment.

O.C. 351-91, s. 17; O.C. 1191-95, s. 8.

18. Each part of any pension corresponding to each of the indexing methods applicable thereto and each pension credit must be reduced by the amount of any pension corresponding to each of the indexing methods applicable thereto as well as by the amount of each pension credit that would be obtained on the basis of the sums awarded to the spouse at the date of assessment. The same applies where the amount paid to the spouse comes partly from the value of any pension corresponding to the years or parts of a year of service relative to the Teachers Pension Plan or the Civil Service Superannuation Plan that were transferred to the Government and Public Employees Retirement Plan, for each of those cases.

O.C. 351-91, s. 18.

19. For the purposes of sections 16 and 18, the amount of pension or pension credit that would be obtained on the basis of the sums awarded to the spouse at the date of assessment shall be established at that date according to the actuarial method and assumptions provided for in section 7. That amount is presumed applicable on the date of the employee’s or former employee’s 65th birthday.

The amount of pension obtained pursuant to the first paragraph shall be indexed at the time prescribed under section 119 of the Act respecting the Québec Pension Plan (chapter R-9) in accordance with the rate of increase in the Pension Index within the meaning of that Act, from 1 January following the date of assessment to 1 January of the year during which that amount begins to apply.

If the amount of pension obtained pursuant to the first and second paragraphs or the amount of pension credit obtained pursuant to the first paragraph begins to apply before the date of the pensioner’s 65th birthday, the amount of pension or pension credit shall be reduced by 0.50% per month, calculated for each month between the date on which the amount of pension or pension credit begins to apply and the date of his 65th birthday, without exceeding 65% in the case of the reduction applicable to the amount of pension.

If the pensioner retired before the date of payment and if that date occurs after the date of his 65th birthday, the amount of pension obtained pursuant to the first and second paragraphs shall be increased by 0.50% per month, calculated for each month between the date of his 65th birthday and the date on which that amount of pension begins to apply, if the pensioner retired before the date of his 65th birthday, or for each month between the date on which he retired and the date on which that amount of pension begins to apply, if the pensioner retired on the date of his 65th birthday or thereafter.

If the amount of pension credit obtained pursuant to the first paragraph begins to apply after the date of the pensioner’s 65th birthday, it shall be increased by 0.75% per month, calculated for each month between the date on which it begins to apply and the date of his 65th birthday.

O.C. 351-91, s. 19; O.C. 1191-95, s. 9; O.C. 1428-98, s. 5.

19.1. For the purposes of sections 16.1 and 18, the amount of pension or pension credit that would be obtained on the basis of the sums awarded to the spouse at the date of assessment shall be established at that date in accordance with the actuarial method and assumptions provided for in section 7. The amount is presumed applicable at the date determined pursuant to subparagraph 3.1 of the first paragraph of section 3.

The amount of pension obtained pursuant to the first paragraph shall be indexed in the same manner as the pension would be if it were being paid at the date of assessment, from 1 January following that date to 1 January of the year during which that amount begins to apply.

If the amount of pension obtained pursuant to the first and second paragraphs or the amount of pension credit obtained pursuant to the first paragraph begins to apply before the determined date, the amount of pension or pension credit shall be reduced by 0.50% per month, calculated for each month between the date on which the amount of pension or pension credit begins to apply and that determined date, without exceeding 65% in the case of the reduction applicable to the amount of pension.

If the pensioner retired before the date of payment and if that date occurs after the determined date, the amount of pension obtained pursuant to the first and second paragraphs shall be increased by 0.50% per month, calculated for each month between the determined date and the date on which the amount of pension begins to apply, if the pensioner retired before the determined date, or for each month between the date on which he retired and the date on which that amount of pension begins to apply, if the pensioner retired on the determined date or thereafter.

If the amount of pension credit obtained pursuant to the first paragraph begins to apply after the determined date but before the date of the pensioner’s 65th birthday, it shall be increased by 0.50% per month, calculated for each month between the determined date and the date on which the amount of pension credit begins to apply.

If the amount of pension credit obtained pursuant to the first paragraph begins to apply on the date of the pensioner’s 65th birthday or after that date, it shall be increased by 0.50% per month, calculated for each month between the determined date and the date of his 65th birthday, and by 0.75% per month, calculated for each month between the latter date and the date on which the amount of pension credit begins to apply.

O.C. 1428-98, s. 6.

20. For the purposes of sections 17 and 18, the amount of pension or pension credit that would be obtained on the basis of the sums awarded to the spouse at the date of assessment shall be established at that date according to the actuarial method and assumptions provided for in section 7. That amount is presumed applicable at the date of assessment.

The amount of pension obtained pursuant to the first paragraph shall be indexed in the same manner as the pension or in the same manner as though it were being paid at the date of assessment, from 1 January following that date to 1 January of the year during which that amount begins to apply.

The amount of pension obtained pursuant to the first and second paragraphs shall be increased by 0.50% per month, calculated for each month between the date of assessment and the date on which that amount of pension begins to apply, if the pension was being paid at the date of assessment or would have been if the former employee had made an application to that effect, or for each month between the date of retirement and the date on which that amount of pension begins to apply, if the pensioner retired between the date of assessment and the date of payment.

The amount of pension credit obtained pursuant to the first paragraph shall be increased, for each month between the date of assessment and the date on which it begins to apply, by 0.50% for each month before the date of the pensioner’s 65th birthday and by 0.75% for each month after that date.

O.C. 351-91, s. 20; O.C. 1191-95, s. 9; O.C. 1428-98, s. 7.

21. Where a pension reduced in accordance with this Division is not paid pursuant to the provisions concerning a pensioner’s return to work or to the provisions of Division IV of Chapter IV of Title I of the Act, and where the pensioner is entitled to receive a pension recalculated pursuant to those provisions, that recalculated pension shall be reduced, from the date on which it becomes payable, by the amount of pension that was used to reduce it. That amount of pension shall be indexed in the same manner as that pension, from 1 January following the date on which that amount began to apply to 1 January of the year during which the recalculated pension becomes payable.

O.C. 351-91, s. 21; O.C. 1191-95, s. 9.

22. Where years or parts of a year of service are credited to the plan pursuant to a provision of the Act, the benefits of the employee or former employee shall be reduced in accordance with this Division on the basis of the sums awarded to the spouse out of the benefits accrued under the pension plan from which those years or parts of a year derive.

O.C. 351-91, s. 22; O.C. 1191-95, s. 10.

23. Where years or parts of a year of service under the Teachers Pension Plan or the Civil Service Superannuation Plan have been considered for the purpose of assessing benefits accrued under the Government and Public Employees Retirement Plan in accordance with section 98 of the Act and where the employee has then declined to have them credited to himself, the sums awarded to the spouse out of the benefits accrued under that plan shall correspond to “M” in the following formula:

VR

SA x — = M

VT

“SA” represents the sums awarded to the spouse at the date of assessment;

“VR” represents the value of the benefits accrued under the plan at the date of assessment, without taking into account the value of the years or parts of a year of service considered for assessment purposes in accordance with section 98 of the Act;

“VT” represents the value of the benefits accrued under the plan at the date of assessment, taking into account the value of the years or parts of a year of service considered for assessment purposes in accordance with section 98 of the Act.

O.C. 351-91, s. 23.

23.1. Where a redemption is being paid at the date of assessment and where, subsequent to that date, the application for redemption is, pursuant to section 216.1 of the Act, deemed never to have been made in respect of all the service, the amount of the employee’s refund shall be reduced so as to correspond to amount “R” in the following formula:

MVd - (Ma x MVe) = R

—

Va

“MVd” represents the amount paid by the employee with, where applicable, accrued interest, up to the date of the employee’s failure to pay;

“Ma” represents the amount awarded to the spouse at the date of assessment;

“Va” represents the value of the benefits accrued under the plan at the date of assessment;

“MVe” represents the amount paid by the employee at the date of assessment with, where applicable, accrued interest, up to the date of the employee’s failure to pay.

O.C. 1191-95, s. 11.

24. Any refund of contributions to be made following a death shall be reduced by the sums awarded to the spouse with interest compounded annually at the rate determined for each period under Schedule VI to the Act and accrued from the date of assessment to the date on which the refund is made, except for the period during which a pension is paid.

Notwithstanding the foregoing, no interest shall be calculated on the portion of those sums that relates to years or parts of years of service under the Teachers Pension Plan or the Civil Service Superannuation Plan, if those sums come from an entitlement to a refund of contributions. A separate calculation shall be made for the refund of the sums paid for the purchase of a pension credit.

O.C. 351-91, s. 24; O.C. 1191-95, s. 12; O.C. 1428-98, s. 8.

DIVISION V SPECIAL PROVISIONS APPLICABLE TO THE PERSONS REFERRED TO IN THE ORDER IN COUNCIL MADE PURSUANT TO SECTION 10.1 OF THE ACT

O.C. 1191-95, s. 13.

24.1. This Division applies to the persons referred to in Order in Council 245-92 dated 26 February 1992 respecting the designation of classes of employees and the determination of special provisions under section 10.1 of the Act respecting the Government and Public Employees Retirement Plan.

O.C. 1191-95, s. 13.

24.2. The benefits accrued under the plan and under that Order in Council shall be established in accordance with the Act and with that Order in Council and, except in the case provided for in the second paragraph of section 57 of the Act, where that Order in Council provides that the employee would be entitled to a pension if he ceased to be covered by the plan before reaching age 60, his benefits are deemed, notwithstanding subparagraph 3 of the first paragraph of section 3, to correspond to a deferred pension payable at the earlier of the following dates:

(1)  the date of his 60th birthday;

(2)  the date on which his age and years of service would total 85, taking into account only those accumulated at the date of assessment.

O.C. 1191-95, s. 13.

24.3. The formula in section 8 is amended by adding the following thereto:

“d5” represents the actuarial value of the portion of any pension calculated pursuant to subparagraphs 1 and 2 of the first paragraph of section 8 of that Order in Council.

O.C. 1191-95, s. 13.

24.4. For the purposes of section 17, the reduction applies from the date of payment or from the date on which the pension or pension credit becomes payable in the case of an employee 60 years of age or over on the date of assessment or whose age and years of service totalled 85 or more on that date.

O.C. 1191-95, s. 13.

24.5. In addition to the terms and conditions for reduction provided for in section 18, any portion of a pension calculated pursuant to subparagraphs 1 and 2 of the first paragraph of section 8 of that Order in Council shall be reduced by the amount of any pension corresponding thereto and that would be obtained on the basis of the sums awarded to the spouse at the date of assessment.

O.C. 1191-95, s. 13.

24.6. Section 19 is amended by substituting the following therefor:

“For the purposes of sections 16 and 18, the amount of pension or pension credit that would be obtained on the basis of the sums awarded to the spouse at the date of assessment shall be established at that date according to the actuarial method and assumptions provided for in section 7. That amount is presumed applicable on the date determined pursuant to paragraphs 1 and 2 of section 24.2

The amount of pension obtained pursuant to the first paragraph shall be indexed at the time prescribed under section 119 of the Act respecting the Québec Pension Plan (chapter R-9) in accordance with the rate of increase in the Pension Index within the meaning of that Act, from 1 January following the date of assessment to 1 January of the year in which that amount begins to apply.

If the date on which the annual pension becomes payable occurs before the date determined pursuant to paragraphs 1 and 2 of section 24.2 or if the pension is being paid at the date of payment and that date occurs before the date determined, the amount of pension obtained pursuant to the first and second paragraphs or the amount of pension credit obtained pursuant to the first paragraph shall be reduced by 0.33% per month and 0.50% per month, respectively, calculated for each month between the date on which that amount of pension or pension credit begins to apply and the date determined, without exceeding 65% in the case of the reduction applicable to the amount of pension.

If the pensioner retired before the date of payment and if that date occurs after the date determined pursuant to paragraphs 1 and 2 of section 24.2, the amount of pension obtained pursuant to the first and second paragraphs shall be increased by 0.50% per month, calculated for each month between the date determined and the date on which that amount of pension begins to apply, if the pensioner retired before the date determined, or for each month between the date on which he retired and the date on which that amount of pension begins to apply, if the pensioner retired on the date determined or thereafter.

If the amount of pension credit obtained pursuant to the first paragraph begins to apply after the date determined pursuant to paragraphs 1 and 2 of section 24.2 but before the date of the pensioner’s 65th birthday, that amount shall be increased by 0.50% per month, calculated for each month between the date determined and the date on which that amount of pension credit begins to apply.

If the amount of pension credit obtained pursuant to the first paragraph begins to apply on the date of the pensioner’s 65th birthday or thereafter, that amount shall be increased by 0.50% per month, calculated for each month between the date determined and the date of his 65th birthday and by 0.75% per month, calculated for each month between the latter date and the date on which that amount of pension credit begins to apply.”.

O.C. 1191-95, s. 13.

DIVISION VI TRANSITIONAL

T.B. 210818, s. 3.

24.7. For the purposes of sections 19, 19.1 and 20, the amount of pension or pension credit that would be obtained on the basis of the sums awarded to the spouse at the date of assessment is established at that date according to the actuarial method and assumptions that were used for the assessment of benefits accrued.

T.B. 210818, s. 3.

25. (Omitted).

O.C. 351-91, s. 25.

REFERENCES

O.C. 351-91, 1991 G.O. 2, 1307

O.C. 1191-95, 1995 G.O. 2, 2819

O.C. 1428-98, 1998 G.O. 2, 4779

T.B. 198509, 2002 G.O. 2, 3951

T.B. 210818, 2011 G.O. 2, 3687

S.Q. 2015, c. 20, s. 61

T.B. 220167, 2018 G.O. 2, 5201

T.B. 226436, 2022 G.O. 2, 2411