Alberta and British Columbia announced Friday that they will collaborate on a comprehensive review of pension standards to ensure pension plans continue to benefit workers, employers and investors.

Alberta Finance Minister Lyle Oberg and British Columbia Finance Minister Carole Taylor have appointed a six-member expert panel to review the provinces’ pension legislation, which sets minimum standards for benefits, funding, investments and disclosure in private-sector pension plans. Public sector pension plans are not included in the review.

“To attract and retain workers, as well as business, we must ensure that Albertans and British Columbians are confident about their pension plans,” said Oberg. “Both employees and employers must be treated fairly, and we need to be competitive with other jurisdictions. We can achieve this by working together on an objective and thorough review of pension standards in both provinces.”

“Like our cooperation on the Trade, Investment and Labour Mobility Agreement or our work to modernize insurance legislation, the pension review is another opportunity for Alberta and British Columbia to create stronger economies that benefit residents in both provinces,” said Taylor. “It is our hope that the outcome of this review will serve as a model for the modernization of pension legislation across Canada.”

The Joint Expert Panel on Pension Standards will consult with stakeholders and present their findings and recommendations to both provinces’ finance ministers by September 30, 2008.

The panel will be co-chaired by Christopher Brown, a partner with Osler, Hoskin & Harcourt LLP in Alberta, and Scott Sweatman, senior legal counsel with Blake, Cassels & Graydon LLP in BC.

BC will also introduce temporary measures to address pension plan funding concerns. While further details will be announced in the near future, the measures will be similar to those recently adopted or proposed by Alberta and include: a three-year moratorium on solvency payments for qualifying multi-employer negotiated cost pension plans; and, the ability to use letters of credit to fund solvency deficiencies in certain circumstances.