Pension Act (R.S.C., 1985, c. P-6)

Act current to 2017-04-12 and last amended on 2017-04-01. Previous Versions

PART VAnnual Adjustment of Pensions and Allowances

Marginal note:Definitions

 The definitions in this section apply in this Part.

basic pension

pension de base

basic pension means the monthly basic pension payable under Schedule I to a Class 1 pensioner without a spouse, common-law partner or child. (pension de base)

Consumer Price Index

indice des prix à la consommation

Consumer Price Index, in relation to an adjustment year, means the average of the Consumer Price Index for Canada, as published by Statistics Canada under the authority of the Statistics Act, for each month in that adjustment year. (indice des prix à la consommation)

first adjustment year

première année de rajustement

first adjustment year, in relation to a calendar year, means the period of twelve months ending on October 31 in the previous calendar year. (première année de rajustement)

second adjustment year

seconde année de rajustement

second adjustment year, in relation to a calendar year, means the period of twelve months immediately before the first adjustment year. (seconde année de rajustement)

  • R.S., 1985, c. P-6, s. 74;
  • R.S., 1985, c. 16 (1st Supp.), s. 10;
  • 2000, c. 12, s. 230, c. 34, s. 34.
Marginal note:Annual adjustment of basic pension
  •  (1) The basic pension shall be adjusted annually in the manner prescribed by regulation of the Governor in Council, so that the basic pension payable for a month in the following calendar year is the greater of

    • (a) an amount equal to the product obtained by multiplying

      • (i) the basic pension that would have been payable for that month if no adjustment had been made under this Part with respect to that following year,

      by

      • (ii) the ratio that the Consumer Price Index for the first adjustment year that relates to that following year bears to the Consumer Price Index for the second adjustment year that relates to that following year, and

    • (b) an amount equal to one twelfth of the average annual gross composite wage, as of the thirty-first day of October of the year in which the adjustment is made, of categories of unskilled members of the federal public administration designated by the Minister, minus income tax for a single person calculated in the province with the lowest combined provincial and federal income tax rate.

  • Marginal note:Adjustment not subsequently affected

    (2) A retroactive change in the wages or income tax rates referred to in paragraph (1)(b) does not affect an adjustment made in accordance with that paragraph.

  • Marginal note:Adjustment of other pensions and allowances

    (3) All amounts set out in Schedules I to III shall be adjusted, in the manner prescribed by regulation of the Governor in Council, at the same times and by the same percentage as the basic pension.

  • R.S., 1985, c. P-6, s. 75;
  • R.S., 1985, c. 16 (1st Supp.), s. 11, c. 37 (3rd Supp.), s. 13;
  • 1990, c. 43, s. 24;
  • 2000, c. 34, s. 35;
  • 2003, c. 22, s. 224(E).
Marginal note:Limitation
  •  (1) Notwithstanding anything in this Part, the amount of any pension or allowance that may be paid to a person for a month in any calendar year shall not, by reason only of this Part, be less than the amount of the pension or allowance that was or may be paid to that person for any month in the immediately preceding calendar year.

  • Marginal note:No adjustment when Consumer Price Index is lower

    (2) Notwithstanding anything in this Part, if, in relation to a calendar year, the Consumer Price Index for the first adjustment year is lower than the Consumer Price Index for the second adjustment year,

    • (a) no adjustment shall be made by virtue of paragraph 75(1)(a) in respect of that calendar year; and

    • (b) no adjustment shall be made by virtue of that paragraph in respect of any subsequent calendar year until, in relation to a subsequent calendar year, the Consumer Price Index for the first adjustment year that relates to that subsequent calendar year is higher than the Consumer Price Index for the second adjustment year that relates to the calendar year referred to in paragraph (a), in which case the second adjustment year that relates to the calendar year referred to in paragraph (a) is deemed to be the second adjustment year that relates to that subsequent calendar year.

  • R.S., 1985, c. P-6, s. 76;
  • 2000, c. 34, s. 36.
Marginal note:Where basis of Consumer Price Index changed

 Where at any time the Consumer Price Index is adjusted to reflect a new time basis or a new content basis, a corresponding adjustment shall be made in the Consumer Price Index for any twelve-month period that is used for the purpose of calculating the amount of any pension or allowance that may be paid.

  • R.S., 1985, c. P-6, s. 77;
  • 2000, c. 34, s. 37.
Marginal note:Reference to Schedules I and II

 A reference in subsection 33(2) of the Royal Canadian Mounted Police Superannuation Act to Schedules I and II of this Act shall be construed as a reference to the rates set out in those Schedules as increased by virtue of this Part.

  • 1972, c. 12, s. 1.

PART VIProcedure

Marginal note:Definitions

 In this Part,

Assessment Board

comité d’évaluation

Assessment Board means two members of the Commission designated under section 87 of the former Act; (comité d’évaluation)

Commission

Commission

Commission means the Canadian Pension Commission established by section 5 of the former Act; (Commission)

Entitlement Board

comité d’examen

Entitlement Board means an Entitlement Board established under section 91 of the former Act; (comité d’examen)

former Act

loi antérieure

former Act means the Pension Act, as it read immediately before the day on which section 73 of An Act to establish the Veterans Review and Appeal Board, to amend the Pension Act, to make consequential amendments to other Acts and to repeal the Veterans Appeal Board Act comes into force. (loi antérieure)

  • R.S., 1985, c. P-6, s. 79;
  • 1995, c. 18, s. 73.
Marginal note:Application
  •  (1) Subject to subsection (2), no award is payable to a person unless an application has been made by or on behalf of the person and payment of the award has been approved under this Act.

  • Marginal note:Exception

    (2) A survivor or child of a deceased member of the forces who, at the time of the member’s death,

    • (a) was living with the member, and

    • (b) was a person in respect of whom an additional pension was being paid to the member

    need not make an application in respect of a pension referred to in paragraph 21(1)(i) or (2)(d) or subsection 34(6), (7) or (11) or 45(2), (2.1), (3), (3.01) or (3.1) or an allowance referred to in subsection 38(3) or 72(5).

  • R.S., 1985, c. P-6, s. 80;
  • 1995, c. 18, s. 73;
  • 2000, c. 12, s. 231.
Marginal note:Application made to Minister
  •  (1) Every application must be made to the Minister.

  • Marginal note:Consideration of applications

    (2) The Minister shall consider an application without delay after its receipt and shall

    • (a) where the Minister is satisfied that the applicant is entitled to an award, determine the amount of the award payable and notify the applicant of the decision; or

    • (b) where the Minister is not satisfied that the applicant is entitled to an award, refuse to approve the award and notify the applicant of the decision.

  • Marginal note:Counselling service

    (3) The Minister shall, on request,

    • (a) provide a counselling service to applicants and pensioners with respect to the application of this Act to them; and

    • (b) assist applicants and pensioners in the preparation of applications.

  • R.S., 1985, c. P-6, s. 81;
  • R.S., 1985, c. 16 (1st Supp.), s. 12;
  • 1995, c. 18, s. 73.
 
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