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Bill C-283

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2nd Session, 36th Parliament,
48 Elizabeth II, 1999

The House of Commons of Canada

BILL C-283

An Act amend the Canada Labour Code (severance pay)

R.S., c. L-2; R.S., cc. 9, 27 (1st Supp.), c. 32 (2nd Supp.), cc. 24, 43 (3rd Supp.), c. 26 (4th Supp.); 1989, c. 3; 1990, cc. 8, 44; 1991, c. 39; 1992, c. 1; 1993, cc. 28, 38, 42; 1994, cc. 10, 41; 1996, cc. 10, 11, 12, 18, 31, 32; 1997, c. 9; 1998, cc. 10, 20, 26; 1999, cc. 28, 31

      Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows:

1. Subsection 235(2) of the Canada Labour Code is replaced by the following:

Circumstan-
ces deemed to be termination

(2) For the purposes of this Division, except where otherwise provided by regulation, an employer shall be deemed to have terminated the employement of an employee when the employer lays off that employee.

2. (1) Section 236 of the Act is amended by replacing all that portion before paragraph (a) with the following:

Regulations

236. (1) The Governor in Council may make regulations for the purposes of this Division

(2) Section 236 of the Act is amended by adding the following after paragraph (d):

Exception

(2) Notwithstanding paragraph (1)(a), where an employer lays off an employee who, either immediately on being laid off or before that time, is entitled to a pension under a pension plan contributed to by the employer that is registered pursuant to the Pension Benefits Standards Act, 1985, to a pension under the Old Age Security Act or to a retirement pension under the Canada Pension Plan or the Quebec Pension Plan, the entitlement to such a pension shall not be prescribed under paragraph (1)(a) as circumstances in which the lay-off of the employee shall not be deemed to be a termination of the employee's employment by the employee's employer.