Rules for Unlocated Pension Members

Summary#

These are proposed changes called Regulations Amending the Pension Benefits Standards Regulations, 1985 (Persons who Cannot be Located). The proposal, sponsored by the Department of Finance, would set rules for what happens when a pension plan member or beneficiary cannot be found and the plan’s assets are moved to a designated entity. This is a proposal published on June 24, 2023 and the government asked for comments within 30 days.

What it does#

• Defines who counts as the relevant person when assets are transferred because someone “cannot be located.” That can be the plan member, or if they are deceased, their survivor, designated beneficiary, or estate representative.
• Lists the exact information a pension administrator must give to the designated entity. That includes:
  • the person’s name, and names of spouse/common‑law partner and designated beneficiary (if on file);
  • postal and email addresses on file;
  • date of birth and social insurance number;
  • dates when the person joined the plan and stopped accruing benefits;
  • date and amount of the asset transfer;
  • pension plan name and registration number;
  • names of employers that contributed for that person; and
  • the name and address of the plan administrator or, if applicable, the trustee or custodian that made the transfer.
• Says what the designated entity may publish about the person who cannot be located. The publishable items are much the same as the list above (name, contact details on file, membership and transfer dates, amount, plan and employer names).
• Sets how long the designated entity must keep the information (or make it available):
  • 30 years if the transferred amount is under $1,000; or
  • 100 years in any other case.
• Explains when the rules would come into force: tied to the start date of section 142 of the Budget Implementation Act, 2021, or, if the regulations are registered later, on the day they are registered.

Who's affected#

• Pension plan administrators and their trustees or custodians. They must collect and send the listed information when assets are transferred because a person cannot be located.
• Employers that contribute to defined-benefit or defined-contribution plans. Their names will be part of transferred records.
• Plan members who are missing or who lose contact with their plan administrator, and their survivors or designated beneficiaries. Their personal and plan details could be transferred and possibly published by the designated entity.
• The unnamed “designated entity” that receives and may publish the information. The Canada Gazette text does not name that body.

Why it matters#

• It creates a clearer, consistent process when pension plan assets are moved because a member can’t be found. That can help plans close out unclaimed amounts more predictably.
• The rules require sharing and, in some cases, publishing personal details. Missing members and their families should know which kinds of information could be shared publicly.
• The long retention times (30 years or 100 years) mean the records will be kept for many generations. That matters for people checking for lost pension entitlements or for privacy concerns.
• This is a proposed change, not final law. The government invited comments for 30 days after publication on June 24, 2023.