There would be two proposals. One is to create a de minimis rule where if the surplus is less than a certain percentage of the actuarial liabilities, this rule does not apply. The federal government recently implemented a rule where they allow up to 25% of pension surplus to cover economic downturn cycles. Another approach would be to measure the value of the benefits in the plan versus a life annuity, which is really what an IPP or defined benefit pension plan is supposed to provide, i.e., lifetime benefits. So at age 72, an actuarial evaluation could be done based on what income can be derived from a life annuity from the value of the benefit in the pension plan. This could be compared with the benefit that is actually being provided. If it's greater, then that becomes the benefit and has to come out of the plan.
On November 2nd, 2011. See this statement in context.