Public Service Superannuation Regulations

34 (1) Subject to subsections (2) and (3), the annuity or annual allowance to which a contributor described in subparagraph 13(1)(d)(ii), subsection 13(6) or section 23 of the Act is entitled shall be adjusted by deducting therefrom an amount equal to the product obtained by multiplying

• (a) five per cent of the amount of the annual allowance that the contributor was receiving before becoming disabled or re-employed in the Public Service,

by

• (b) the number of years, calculated to the nearest one-tenth, during which the contributor received an annual allowance, other than those years, calculated to the nearest one-tenth, after the day on which he attained the age at which he could otherwise have retired and been entitled to an immediate annuity based on the length of pensionable service on which the annual allowance was calculated.

(2) The amount of the annuity or annual allowance to which a contributor described in subsection 13(6) or section 23 of the Act may become entitled under Part I of the Act shall not be less than the annual allowance that the contributor was receiving before the contributor’s latest re-employment in the Public Service, plus any increase therein to which the contributor would be entitled in respect of the period of pensionable service to the contributor’s credit as a result of the contributor being so re-employed.

(3) The total amount to be deducted pursuant to subsection (1) shall not exceed the total amount that was received as an annual allowance by the contributor before the contributor became disabled or re-employed in the Public Service.