Quebec Pension Plan – Completion of Reforms from the 2011 Quebec Budget

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Summary

The Quebec Pension Plan (QPP) was recently amended to complete the program revisions announced in the March 17, 2011 Quebec budget. Beginning in 2014, employees age 60 and older will no longer be required to stop working in order to commence a QPP retirement pension. This parallels recent changes to the Canada Pension Plan (CPP). As a result of the QPP amendments some aspects of the contribution and eligibility rules for participants over age 60 will now differ between the CPP and QPP programs. Though no employer action is required as a result of these QPP reforms, they will be of interest to organizations that use phased retirement programs and other human resource strategies to attract or retain older workers or to influence the retirement age of their employees. Employee communications that reference C/QPP benefits may require updating.