15.3. Where payment of the early benefit referred to in section 69.1 of the Act is made from pension plan benefits accumulated by the member that are not referred to in section 15.1, the pension committee shall determine the amount of the portion of the normal pension that would have been payable to the member at the normal retirement age and that is equivalent to the benefit paid. The pension committee shall keep a record of that amount as well as the adjustments made thereto in accordance with the fourth paragraph.
That amount, as well as the value of the benefits referred to in subparagraph 3 of the first paragraph of section 69.1 of the Act, shall be determined, as at the date of payment, according to the conditions or characteristics provided for the normal pension and according to the assumptions referred to in section 61 of the Act, other than those related to early or postponed payment of the pension which are used at that date to determine the value of the other benefits to which section 60 of the Act applies and to which entitlement is vested as at that date.
The benefits referred to in the first paragraph are then reduced in the following manner:
(1) The pension paid is reduced either by the amount determined in the second paragraph or, if its requirements and characteristics, with the exception of those related to early or postponed payment, are different from those used to determine such amount or, if its payment begins on a date other than that of the normal retirement age, by a sum equivalent to such amount;
(2) any other benefit, excluding the one referred to in section 69.1 of the Act and any refund that are payable to the member are reduced by the value of that portion of the pension of which the valuated amount is referred to in the second paragraph.
The amount referred to in the first paragraph must be adjusted to take into account any change to the normal pension registered or taking effect after the date on which the early benefit is paid and which would have reduced the value of the member’s benefits at that date. Where the change has an effect on the amount of the normal pension, that amount must be adjusted in a proportion equal to the one that applies to the amount of the normal pension determined as at the date of the payment. Where the change affects a condition or a characteristic of the normal pension, the condition or characteristic thus modified must be applied to the portion of the pension that corresponds to the amount referred to in the first paragraph.
Furthermore, in the case of a change to the normal pension that, in accordance with the conditions provided for in the fourth paragraph, would have increased the value of the benefits of a member, the pension plan may provide that the amount referred to in the first paragraph be adjusted in accordance with the rules provided for in the fourth paragraph.
O.C. 1681-97, s. 3; O.C. 173-2002, s. 15; 1183-2017O.C. 1183-2017, s. 1211.