Bill S-206 explained in plain English
An Act to establish gender parity on the board of directors of certain corporations, financial institutions and parent Crown corporations
Federal Parliament bill summary, status, timeline, sponsor, votes, and official sources.
At a glance
Official Parliament of Canada snapshot for 40th Parliament, 3rd Session. MP vote breakdowns appear when the House of Commons publishes a recorded division export for that bill. Senate and House stage details include official debate/sitting links when LEGISinfo publishes them.
Our plain-language take, written for civic education.
Source: By PoliticalData.ca
Bill S-206, if passed, would require certain Canadian corporations, financial institutions, and parent Crown corporations to achieve gender parity on their boards of directors.
Bill S-206, titled the "Board of Directors Gender Parity Act," aims to promote gender balance on the boards of directors for certain Canadian corporations, financial institutions, and parent Crown corporations. It proposes to amend several existing federal acts to require that, following an election or appointment of directors, the board composition achieves gender parity. This means that if the board has an even number of directors, 50% must be women, and if it has an odd number, the difference between the number of women and men must be one. These requirements would generally apply starting from the second annual meeting after the law comes into force, with a possibility for a deferral to the third annual meeting under certain conditions. For parent Crown corporations, the requirement applies three years after the provisions come into force. The bill also includes provisions regarding the validity of board actions and the process for issuing certain certificates or letters patent, making compliance a condition for their issuance in some cases.
- Amends the Canada Business Corporations Act, the Bank Act, the Cooperative Credit Associations Act, the Insurance Companies Act, the Trust and Loan Companies Act, and the Financial Administration Act.
- Establishes a gender parity requirement for the composition of boards of directors for specific types of corporations and financial institutions.
- Defines 'distributing corporation' for the purposes of the gender parity requirements.
- Sets the requirement for gender parity to apply at the second annual meeting after the relevant provisions come into force, with a possible deferral to the third annual meeting.
- Allows for a deferral of the gender parity requirement under specific conditions related to amending incorporating instruments and avoiding undue hardship.
- Applies the gender parity requirement to parent Crown corporations three years after the relevant provisions come into force.
- Makes compliance with the gender parity requirement a condition for the issuance of certain certificates or letters patent in some circumstances.
- States that acts of a board of directors are not invalid solely due to non-compliance with the gender parity requirement.
- Provides for the appointment of a Director and Deputy Directors to carry out duties under the Canada Business Corporations Act.
- Corporations that are distributing corporations under the Canada Business Corporations Act and have outstanding securities held by more than one person.
- Banks listed in Schedule I to the Bank Act.
- Insurance companies and trust and loan companies that are distributing companies.
- Cooperative credit associations.
- Parent Crown corporations listed in Schedule III to the Financial Administration Act.
- Other publicly traded corporations.
- The Director and Deputy Directors appointed under the Canada Business Corporations Act.
- The Minister responsible for appointing directors.
- The Superintendent (in relation to financial institutions).
- Corporations and financial institutions must ensure their boards of directors achieve gender parity (50% women for even-numbered boards, or a one-person difference for odd-numbered boards) when directors are elected or appointed.
- Corporations may apply for a deferral of the gender parity requirement to their third annual meeting if amending their articles or incorporating instrument to comply earlier would cause undue hardship.
- Parent Crown corporations must comply with the gender parity requirement three years after the relevant provision comes into force.
- In certain cases, the issuance of certificates or letters patent may be contingent on compliance with gender parity requirements.
- The Act comes into force 180 days after receiving royal assent.
- The gender parity requirement applies to distributing corporations, banks, insurance companies, cooperative credit associations, and trust and loan companies starting at the second annual meeting following the day the relevant provision comes into force.
- The gender parity requirement applies to parent Crown corporations three years after the relevant provision comes into force.
- Compliance with the gender parity requirement is linked to the ability of certain corporations to obtain certificates or letters patent necessary for various corporate actions. The bill states that acts of the board of directors are not invalid solely due to non-compliance, but the enforcement mechanism appears to be through the approval processes for corporate actions.
- The bill does not explicitly detail monetary penalties for non-compliance.
- The definition of 'corporation' in Part 3 is extensive and includes exclusions, such as corporations listed in the schedules to the Financial Administration Act or those governed by specific acts like the Bank Act, Canada Business Corporations Act, etc.
- The specific details regarding the 'undue hardship' required for a deferral of the gender parity requirement are not fully elaborated.
- The bill does not specify penalties for non-compliance beyond the linkage to the issuance of certificates or letters patent.
- The text of section 260 of the Canada Business Corporations Act is presented as existing text that is being replaced, but the specific changes in wording or effect are not fully detailed in the provided excerpts, only noted as 'existing text'.
- The exact scope of 'other publicly traded corporations' in Part 3 is defined through a set of criteria and exclusions, which may require careful interpretation.
Adds new sections (105.1, 105.2, 105.3) to define 'distributing corporation' and establish gender parity requirements for its board of directors, including application timelines and deferral provisions. It also amends section 262 regarding the issuance of certificates to require compliance with gender parity for corporations to which subsection 105.1(2) applies, with an exception for amendments enabling compliance.
Source: Section 2
Replaces section 260, which deals with the appointment of the Director and Deputy Directors, though the text provided does not detail the change in effect beyond stating the existing text.
Source: Section 3
Amends subsection 262(2) to require a statutory declaration or certificate stating compliance with the gender parity provisions for corporations subject to section 105.1(2). It also adds a new subsection (2.1) making compliance a condition for the Director to issue a certificate, with an exception for proposals enabling compliance.
Source: Section 4
Adds new sections (159.1, 159.2) to define 'bank' (referring to Schedule I banks) and establish gender parity requirements for their boards of directors, including application timelines and deferral provisions. It also amends section 216 to make compliance a condition for issuing letters patent for proposals related to banks subject to section 159.1(2), with an exception for proposals enabling compliance.
Source: Section 5
Adds new sections (169.1, 169.2) to establish gender parity requirements for the boards of directors of cooperative credit associations, including application timelines and deferral provisions. It also amends section 220 to make compliance a condition for issuing letters patent for proposals related to these associations, with an exception for proposals enabling compliance.
Source: Section 7
Adds new sections (167.1, 167.2) to establish gender parity requirements for the boards of directors of distributing insurance companies, including application timelines and deferral provisions. It also amends section 225 to make compliance a condition for issuing letters patent for proposals related to these companies, with an exception for proposals enabling compliance.
Source: Section 9
Adds new sections (163.1, 163.2) to establish gender parity requirements for the boards of directors of distributing trust and loan companies, including application timelines and deferral provisions. It also amends section 221 to make compliance a condition for issuing letters patent for proposals related to these companies, with an exception for proposals enabling compliance.
Source: Section 11
Adds a new section (105.1) to establish gender parity requirements for the boards of directors of parent Crown corporations. This requirement applies three years after the provision comes into force.
Source: Section 18
Amends section 262(2) by adding a new subsection (2.1) that makes compliance with gender parity requirements a condition for the Director to issue a certificate for corporations subject to subsection 105.1(2), with an exception for proposals that will enable compliance.
Source: Section 4
Amends section 216 by adding new subsections (1.1) and (1.2). Subsection (1.1) states that the Minister shall not issue letters patent for a proposal in respect of a bank subject to section 159.1(2) unless satisfied of compliance with that section. Subsection (1.2) provides an exception for proposals that will enable compliance.
Source: Section 6
Amends section 220 by adding new subsections (1.1) and (1.2). Subsection (1.1) states that the Minister shall not issue letters patent for a proposal in respect of an association subject to section 169.1(1) unless satisfied of compliance with that section. Subsection (1.2) provides an exception for proposals that will enable compliance.
Source: Section 8
Amends section 225 by adding new subsections (1.1) and (1.2). Subsection (1.1) states that the Minister shall not issue letters patent for a proposal in respect of a company subject to section 167.1(1) unless satisfied of compliance with that section. Subsection (1.2) provides an exception for proposals that will enable compliance.
Source: Section 10
Amends section 221 by adding new subsections (1.1) and (1.2). Subsection (1.1) states that the Minister shall not issue letters patent for a proposal in respect of a company subject to section 163.1(1) unless satisfied of compliance with that section. Subsection (1.2) provides an exception for proposals that will enable compliance.
Source: Section 12
Section 260 is amended. The provided text shows the existing wording, but the explanatory notes indicate it is being replaced.
Source: Section 3
Amends section 262(2) by adding paragraph (a.1) which requires a statutory declaration or certificate to be attached when articles or a statement are sent to the Director for corporations to which subsection 105.1(2) applies.
Source: Section 4(1)
Generated using AI from official bill text. Not legal advice. It is written by PoliticalData.ca for civic education, automatically checked and spot-reviewed before publishing.
Official textParliamentary Process
This record details the procedural progress of Bill S-206 through its first reading and subsequent stages in the Senate, up to its report stage.
This artifact describes the procedural steps for Bill S-206 in the Senate. It indicates that the bill received its first reading on March 9, 2010. It also lists subsequent stages, including second reading, consideration in committee, and report stage, with dates for each. The artifact notes that the bill is currently at the report stage in the Senate and the latest activity was debate at the consideration of the committee report on February 8, 2011. Speeches from senators at the second reading stage are also mentioned.
Bill S-206, concerning gender parity on corporate boards, was introduced for its first reading in the Senate on March 9, 2010, during a sitting that also addressed other government business and discussions.
On March 9, 2010, in the Senate, Bill S-206, "An Act to establish gender parity on the board of directors of certain corporations, financial institutions and parent Crown corporations," was introduced for its first reading. This means the bill was formally presented to the Senate. Following this, the Senate proceeded with other business, including tabling reports, debating other matters, and addressing questions. The proceedings also included tributes to individuals and discussions on various topics like International Women's Week, the Commonwealth Day, and the federal budget.
Bill S-206, aiming to establish gender parity on corporate boards, completed its Second Reading stage in the Senate on April 15, 2010.
This record details the progress of Bill S-206, An Act to establish gender parity on the board of directors of certain corporations, financial institutions and parent Crown corporations, within the Senate. It specifically marks the completion of the Second Reading stage on Thursday, April 15, 2010. Major speeches related to this stage occurred on Wednesday, April 28, 2010, and Thursday, May 13, 2010. The bill has since moved on to consideration in committee and report stage. The record also notes a similar bill, S-238, with the same purpose, which is also at the second reading stage in the Senate.
During the Senate's second reading debate on Bill S-206, which aims to establish gender parity on corporate boards, the discussion was adjourned.
On April 15, 2010, the Senate held a debate regarding Bill S-206, "An Act to establish gender parity on the board of directors of certain corporations, financial institutions and parent Crown corporations." This debate occurred during the second reading stage of the bill's progression. The debate was adjourned, meaning it was not completed on this date and will continue at a later sitting. The rest of the sitting involved tributes to the late Senator Jean-Robert Gauthier, recognition of the Canadian Women's Hockey Team, tabling of reports, question period on various topics, and debates on other bills and inquiries. The proceedings also included a decision to change the Senate's sitting times for Wednesdays and Thursdays.
During the Senate's second reading debate on Bill S-206, aimed at achieving gender parity on corporate boards, the bill's sponsor presented arguments for its necessity, which was then adjourned.
This artifact is a record of the Senate debate on April 15, 2010. The primary focus was the second reading of Bill S-206, an act to establish gender parity on the boards of directors of certain corporations. The sponsor of the bill spoke in favour of it, citing statistics on the low representation of women on corporate boards and highlighting examples from other countries and Quebec. The debate on Bill S-206 was adjourned. The record also includes discussions on other matters, such as tributes to a former senator, questions about snow crab quotas, foreign acquisition of energy producers, broadband access, emissions regulation, and a point of order regarding another bill.
On April 28, 2010, the Senate held a sitting that included Senators' Statements, Routine Proceedings, Question Period, and debated the second reading of several bills, notably continuing the debate on the "Board of Directors Gender Parity Bill" (Bill S-206) and adjourning debates on others.
This record details a Senate sitting on April 28, 2010. The sitting included Senators' Statements on various topics such as Multiple Sclerosis treatment, maternal health, the liberation of the Netherlands, and a hockey championship. Routine Proceedings involved tabling reports and presenting notices of motion and inquiry. The Question Period covered issues like the lobster and snow crab industries, farm income, Atlantic Gateway projects, the Canadian Northern Economic Development Agency, and funding for the First Nations University of Canada. The Orders of the Day included debates on the second reading of "Justice for Victims of Terrorism Bill" and "Criminal Code" amendments, both of which were adjourned. The "Board of Directors Gender Parity Bill" (Bill S-206) had its second reading debate continued. Additionally, the second reading debate for "Bill to Amend" (Bill S-6) and "Bill to Amend" (Bill S-204) were adjourned.
In the Senate on April 28, 2010, debate on Bill S-206, concerning gender parity on corporate boards, continued with Senator Frum arguing against the bill due to concerns about government intrusion and the natural progression of diversity, while other senators discussed the nuances of the bill and educational trends.
On April 28, 2010, the Senate continued its debate on Bill S-206, An Act to establish gender parity on the board of directors of certain corporations, financial institutions and parent Crown corporations. Senator Linda Frum spoke against the bill, arguing that while gender diversity on corporate boards is beneficial and happening organically, government intervention through this bill would be an unnecessary intrusion into business operations. She highlighted studies showing improved financial performance with diversity but emphasized that corporations should have the autonomy to make their own decisions regarding board composition. Senator Frum also pointed to educational trends where women are increasingly outnumbering men, suggesting that future concerns might be about a lack of male representation. Other senators participated in the discussion, raising points about the definition of parity versus quotas, the role of shareholders, and the challenges faced by men in education. The debate was ultimately adjourned.
The Senate debated Bill S-206, aiming to establish gender parity on corporate boards, with senators expressing both support and reservations before referring it to committee, alongside discussions on various other government and social issues.
On May 13, 2010, the Senate met and discussed various matters. The main focus related to Bill S-206, "An Act to establish gender parity on the board of directors of certain corporations, financial institutions and parent Crown corporations." Senators debated the bill, with one senator expressing support for its aim of mandatory gender parity on corporate boards, citing historical progress in women's equality and the slow pace of change in corporate representation. Another senator expressed reservations, suggesting that the bill's approach might be too prescriptive and that further study was needed. The bill was ultimately referred to the Standing Senate Committee on Banking, Trade and Commerce for further review. Other discussions included the Citizenship Act, Air Force Appreciation Day, national securities regulation, appointments within the public service, the Enabling Accessibility Fund, climate change, assistance for Alberta cattle farmers, and issues related to the Supreme Court Act. There was also a point of order raised regarding comments made during Senators' Statements.
This record shows that Bill S-206 completed its committee review and moved to the report stage in the Senate.
This artifact describes the procedural stage of Bill S-206, titled "An Act to establish gender parity on the board of directors of certain corporations, financial institutions and parent Crown corporations", within the Senate of Canada. Specifically, it notes that the bill has completed its "Consideration in committee" stage and is now at the "Report stage" in the Senate. The artifact also lists the dates when various procedural steps, including first reading, second reading, consideration in committee, and report stage, took place. It also mentions that there was "Latest activity" on February 8, 2011, related to the debate at the "consideration of committee report". A similar bill, S-238, is also mentioned as being at the second reading stage in the Senate during the same Parliament.
The Senate's Banking, Trade and Commerce Committee presented a report recommending against further proceeding with Bill S-206, citing legal, constitutional, and practical concerns regarding gender parity on corporate boards.
On February 3, 2011, the Senate proceedings included various statements and debates. Notably, the Standing Senate Committee on Banking, Trade and Commerce presented its Eighth Report on Bill S-206, "An Act to establish gender parity on the board of directors of certain corporations, financial institutions and parent Crown corporations." The committee recommended that the bill not be proceeded with further. The report cited legal and constitutional concerns regarding the bill's application to provincially and foreign-incorporated public corporations, and suggested that shareholders are better positioned to decide on board composition. The committee also noted that Canadian corporations were already increasing female representation on their boards and raised concerns about increased regulatory burden and potential cost increases.
The Senate was at the report stage for Bill S-206 on February 8, 2011, but this stage was not completed.
On February 8, 2011, the Senate was at the report stage for Bill S-206, An Act to establish gender parity on the board of directors of certain corporations, financial institutions and parent Crown corporations. This stage involves reviewing and potentially amending the bill after it has been studied by a committee. The stage was not completed on this date.
During a Senate sitting on February 8, 2011, various legislative and procedural matters were discussed, including a debate on a committee's report recommending against proceeding with Bill S-206 (Gender Parity on Boards) and concerns raised about the committee's process.
This artifact details a Senate sitting on February 8, 2011. The sitting included Senators' Statements on Black History Month, Hospice Palliative Care, and congratulations to Commissioner Linda Bond. Routine Proceedings involved tabling Supplementary Estimates (C) and notices of inquiry on the Old Age Security Allowance and the First Conference of Arab Expatriates. Question Period addressed repairs to New Brunswick harbours, Health Canada's Sodium Working Group, Service Canada office reorganizations, and the appointment of a Vice-Chairperson at the CRTC. Orders of the Day included debates on Bill C-22 (Protecting Children from Online Sexual Exploitation), Bill S-223 (Canada Pension Plan amendment), a bill for National Hunting, Trapping and Fishing Heritage Day, and Bill S-206 (Gender Parity on Boards), where the Banking, Trade and Commerce Committee's report recommending against proceeding with Bill S-206 was debated. There was also debate on a motion to resolve into a Committee of the Whole to receive the Commissioner of Official Languages, and continued debates on inquiries concerning Racism in Canada and the Impact of Dementia on Society. Specifically concerning Bill S-206, the Senate considered the eighth report of the Banking, Trade and Commerce Committee, which recommended not proceeding with the bill. A debate ensued regarding the process followed by the committee, with concerns raised about potentially manipulating Senate rules and conducting legislative business in camera.
We don't have a plain-language summary for Third reading yet. The official source linked below is the full record.
We don't have a plain-language summary for First reading yet. The official source linked below is the full record.
We don't have a plain-language summary for Second reading yet. The official source linked below is the full record.
We don't have a plain-language summary for Consideration in committee yet. The official source linked below is the full record.
We don't have a plain-language summary for Report stage yet. The official source linked below is the full record.
We don't have a plain-language summary for Third reading yet. The official source linked below is the full record.
Debate and sitting links point to official parliamentary sources when LEGISinfo publishes them. Any plain-language discussion summaries should be generated from those official texts and reviewed before public display.
Vote Summary
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No published representative vote breakdown
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Official sources
Status, sponsor, votes, and timeline on this page are drawn from these official legislative sources and public records. Each summary above is attributed to its own source.
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