Defence Services Pension Continuation Regulations (C.R.C., c. 554)

Short Title

1 These Regulations may be cited as the Defence Services Pension Continuation Regulations.

Interpretation

2 In these Regulations,

Act

Act means the Defence Services Pension Continuation Act; (Loi)

a(f) Ultimate Table

a(f) Ultimate Table means the table so entitled appearing in the Mortality of Annuitants 1900-1920 published on behalf of the Institute of Actuaries and The Faculty of Actuaries in Scotland, 1924; (a(f) Ultimate Table)

annuity

annuity means an annuity immediate or deferred, or annual allowance, computed in accordance with the Public Service Superannuation Act; (rente viagère)

augmenting service

augmenting service means any period, subsequent to the grant of a pension, of continuous full-time paid service of one year or more

• (a) in the forces,

• (b) in the naval, army or air forces of Canada or the Canadian Forces, other than the forces, if during such period the officer or man receives the pay of his rank as though he were in the forces, and

• (c) in the public service, in respect of which he is not entitled to an annuity; (service ouvrant droit à majoration)

forces

forces means the regular force of the Canadian Forces and includes

• (a) the forces known before February 1, 1968 as the regular forces of the Canadian Forces, and

• (b) the forces known before February 1, 1968 as the Royal Canadian Navy, the Canadian Army Active Force, the Permanent Active Militia, the Permanent Militia Corps, the permanent staff of the Militia, the Royal Canadian Air Force (Regular) and the Permanent Active Air Force; (forces)

former Act

former Act means the Defence Services Pension Act; (ancienne loi)

Minister

Minister means the Minister of National Defence; (ministre)

Parts I to IV

Parts I to IV means the respective parts of the Act; (parties I à IV)

pension

pension means a pension granted, pursuant to any of Parts I to III of the Act, to a person in respect of his service; (pension)

pensioner

pensioner means a person to whom a pension has been granted; (pensionné)

public service

public service means all branches or portions of the public service of Canada to which the Public Service Superannuation Act is applicable. (fonction publique)

Service for Computing a Pension

• 3 (1) For the purpose of computing a pension in respect of an officer, other than a pensioner, service, in addition to any periods specified in Parts I to III of the Act, includes any continuous period of full-time service of six months or more in the naval, army or air forces of Her Majesty raised in Canada or the Canadian Forces, other than the forces, if

  • (a) during such period he received the pay of his rank as though he were in the forces as defined in such Part, and

  • (b) he is otherwise eligible for a pension under any of Parts I to III,

  but that service may not be counted as service under any other provision of any such Parts, except to the extent prescribed by paragraph 7(e), paragraph (b) of the definition service in section 37(1) or paragraph (c) of the definition service in section 41 of the Act for the purpose of determining eligibility for pension.

• (2) Where a person, prior to the war that commenced on September 10, 1939, served as an officer in the Royal Canadian Air Force other than the Permanent Active Air Force, for a continuous period of full-time service for six months or more, but did not receive the pay of his rank as though he were in the forces, and subsequently served on active service during that war and during such period of full-time service received remuneration by way of pay, or pay and allowances, according to the service regulations applicable to his appointment, such continuous period of full-time service shall be included for the purpose of making contributions and of computing a pension to which he may be entitled under Parts I to III of the Act.

4 For the purpose of computing a pension in respect of an officer or militiaman, service, in addition to any periods specified in Parts I to III of the Act, includes any service as a member of the regular force of the Canadian Forces.

• 5 (1) A pensioner serving on a full-time paid basis in the forces or in the naval, army or air forces of Canada or the Canadian Forces, other than the forces, if receiving the pay of his rank as though he were in the forces, may elect, within one year of the commencement of that full-time paid service,

  • (a) to count for the purpose of computing his pension the whole augmenting service performed subsequent to the said commencement and during that service and upon the making of that election

    • (i) entitlement to the whole or that part of the pension to which he is otherwise entitled during that service, or the gratuity to which he would otherwise become entitled in respect of that service, shall terminate, and

    • (ii) he shall repay the whole or that part of the pension he may have received during that service, in the manner hereinafter provided; and

  • (b) to count for the purpose of computing his pension the whole or any part, but not less than one year, of any period of augmenting service he may have performed subsequent to the grant of his pension but prior to the commencement of his current full-time paid service provided he

    • (i) makes an election pursuant to paragraph (a), and

    • (ii) repays the whole or that part of the pension he may have received during that augmenting service or the gratuity he may have received in respect of that augmenting service, in the manner hereinafter provided.

• (2) Every election made by a pensioner under this section shall, in the form prescribed by the Minister, be evidenced in writing and witnessed, and the original thereof shall be forwarded to a person designated by the Minister for the purpose, by registered mail or in such other manner as the Minister directs, within one month of making the election.

• 6 (1) A pensioner, who has elected to count augmenting service pursuant to paragraph 5(1)(a) and receives pension payments during that augmenting service, shall repay the payments in one sum or by reservation from pay and allowances or otherwise, without interest, in equal instalments over a period similar to that during which the payments were made to him, the instalments to commence on the expiration of the month next following the date of his election, except that no repayment is required for a period when the pensioner's pay and allowances are reduced by the amount of the gross pension paid, pursuant to relevant pay regulations.

• (2) A pensioner, electing to count the whole of that augmenting service pursuant to paragraph 5(1)(b) and in respect of which he has been paid a gratuity, or during that service has received pension payments, shall repay an amount equal to the gratuity or pension payments received by him during that service, together with simple interest at the rate of four per cent per annum from the date of payment of that gratuity or pension payments to the date of his election under that section, and where the pensioner has elected to count part of that augmenting service, the repayment required in respect of that part shall be the proportion of the said amount that the part is of the whole of his augmenting service, except that no repayment is required for a period when the pensioner's pay and allowances are reduced by the amount of the gross pension paid, pursuant to relevant pay regulations.

• (3) The repayment required by subsection (2) may be made in one sum or in instalments equivalent in value to the total amount of the arrears, payable by reservation from pay and allowances or otherwise, for life, or for a period of years or for life whichever is shorter, to commence on the expiration of the month next following the date of the election, the said instalments to be computed as to mortality and interest on the basis of the Canadian Life Tables No. 2 (1941), Males or Females, as the case may be, with interest at the rate of four per cent per annum.

• (4) Where a periodic scheme of payment is in effect under this section, the pensioner may at any time elect to settle any amount outstanding by one sum or to arrange to pay that amount by instalments over a shorter period.

• 7 (1) The whole of the elected augmenting service of a pensioner granted his original pension as an officer shall be subject to deductions in the following manner:

  • (a) in respect of that part of augmenting service, which the pensioner performs subsequent to the date of his election, a deduction shall be made from his pay at the rate and in the manner set out in section 47 of the former Act; and

  • (b) in respect of that part of elected augmenting service, which the pensioner performed prior to the making of the election required by section 5, the whole of that augmenting service shall be subject to deductions

    • (i) where it is non-contributory augmenting service, to the same extent and in the manner as if that augmenting service were prior non-contributory service under Part V of the former Act and the election made to count that augmenting service were made under subsection 48(1) of the former Act and regulations relating thereto, and

    • (ii) where it is contributory service and deductions or contributions have been made under the Act, the Public Service Superannuation Act or the Civil Service Superannuation Act, or deferred pay deductions have been made from his pay and allowances, pursuant to pay regulations applicable to his service, and

      • (A) those deductions or contributions have not previously been repaid to him by way of gratuity or otherwise, such deductions or contributions shall be deemed to be the deductions required by this section in respect of the period of service for which the deductions or contributions were made, or

      • (B) those deductions or contributions have previously been repaid to him by way of gratuity or otherwise, to the same extent and in the manner as if that augmenting service could be counted as service under subsections 56(3) and (4) of the former Act and regulations relating thereto.

• (2) The sums required by this section shall,

  • (a) where deductions are made, be paid into the Consolidated Revenue Fund; or

  • (b) where transfers are applicable, be debited to the appropriate account and credited as revenues of Canada.

8 Where a pensioner, contributing for elected augmenting service by way of repayment by instalments any amount required by section 6 or by way of making the deductions required by section 7, ceases to serve on augmenting service before payment of those instalments or deductions have been made in full, he shall be deemed to have contributed in respect of the augmenting service for which he elected and the remaining instalments or deductions shall be reserved out of his pension.

• 9 (1) Subject to subsections (3) and (5), a pensioner, upon ceasing to serve on augmenting service referred to in subsection 5(1) for any reason other than inefficiency or misconduct, shall have his pension computed for the term of service upon which his pension was originally based, together with the augmenting service elected pursuant to section 5 (the whole period hereinafter referred to in this section as the “pensionable term”) in the following manner:

  • (a) where he was granted a pension as a militiaman and subsequently serves the whole or any part of his augmenting service elected pursuant to section 5 as a militiaman or an officer his pension shall be

    • (i) if the original term of service is less than 20 years, one-fiftieth of his average annual pay and allowances during the last six years of the pensionable term,

    • (ii) if the original term of service is 20 years or more but less than 25 years, twenty-fiftieths of his average annual pay and allowances during the last six years of the pensionable term with an addition of two-fiftieths of the said average pay and allowances for every year over 20 years of the original term and one-fiftieth of the said average pay and allowances for every year of augmenting service that the pensioner has elected to count, or

    • (iii) if the original term of service is 25 years or over, thirty-fiftieths of his average annual pay and allowances during the last six years of the pensionable term with an addition of one-fiftieth of the said average pay and allowances for every year of service over 25 years of the original term and of the augmenting service that the pensioner elected to count; or

  • (b) where he was granted a pension as an officer and subsequently serves the whole or any part of his pensionable term as an officer or militiaman, his pension shall be one-fiftieth of his average annual pay and allowances during the last six years of the pensionable term for each year of the pensionable term.

• (2) Notwithstanding paragraphs (1)(a) and (b), the pension of a pensioner who was granted a pension

  • (a) as an officer, shall not be computed on a number of years in excess of 35; or

  • (b) as a militiaman, shall not exceed two-thirds of the average annual pay and allowances received by him during the last three years of the term of service upon which his pension was originally based.

• (3) A pensioner, where he has been granted a pension

  • (a) as an officer, whether he serves the whole or any part of his augmenting service as an officer or as a militiaman, shall have that pension computed, as provided in subsection (1), as an officer, or

  • (b) as a militiaman, whether he serves the whole or any part of his augmenting service as a militiaman or as an officer, shall have that pension computed, as provided in subsection (1), as a militiaman,

  provided that the Minister is satisfied, in the case of an officer, and a board composed of three officers, as provided in section 15 of the Act, certifies, in the case of a militiaman, that the circumstances of service and the cause of ceasing to serve on the augmenting service elected pursuant to paragraph 5(1)(a) are such as would give rise to entitlement to the grant of a pension if the pensioner were otherwise qualified.

• (4) Where a pensioner has been granted a pension as an officer and dies while performing augmenting service or dies while in receipt of a pension computed on the pensionable term, his widow may be granted a pension computed on the pensionable term and each of his children may be granted a compassionate allowance, to the extent that they are otherwise qualified under the Act.

• (5) Subject to subsection (2), where the amount of a pension computed in accordance with subsection (1) is less than the total amount of the original pension increased by one-fiftieth of the average annual pay and allowances received during the augmenting service for each year of the augmenting service, a pensioner, in lieu of entitlement to a pension computed pursuant to subsection (1), shall be entitled to an annual pension equal to the latter amount or the original pension, whichever is the greater.