Pension plans and the issue of who has (or does not have) them has become a hot topic in Canada. As the populations of developed economies—including Canada—grow older and the ratio of workers to retirees drops, it is natural that governments and individuals start to discuss how the older members of the population will provide […]
Politics plays an important role in pension reform, and always has ever since Otto Von Bismarck introduced the first old age pension in 1889. Apparently a major motivation for Bismarck’s conservative government to introduce this pension was to reduce the attractiveness of socialism. Maybe the current initiatives are Bismarck phase II. But it isn’t just […]
A federal budget that attempted to balance the government’s determination to eliminate the deficit by 2015 and the need to attract opposition support offered little new for the country’s ongoing pension reform debate. In delivering the budget, Finance Minister Jim Flaherty made mention of the government’s commitment to advancing the planned pooled retirement pension plan […]
The Quebec government is getting kudos from the industry for being the first province to introduce a new pension program for workers that lack private plans. The provincial budget, tabled on Thursday, proposes a voluntary retirement savings plan (VRSP), which according to the Canadian Life and Health Insurance Association (CLHIA) is based on the pooled […]
Recently OMERS CEO Michael Nobrega suggested that pension funds should also be permitted to compete with banks and insurance companies when it comes to pooled registered pension plans (PRPPs). Benefits Canada followed up with an story and online poll asking “Should large pension plans be permitted to administer the new pooled retirement pension plans?” At […]
Take our poll on the issue. This week, Michael Nobrega, CEO of the Ontario Municipal Employees Retirement System, went on the record saying that the government should open up the administration of the new pooled registered pension plans (PRPPs) to more than just “regulated financial institutions.” “Right now, it’s insurance companies and the banks,” Nobrega […]
While the federal government’s proposed pooled registered pension plan (PRPP) has its critics, pension plan sponsors welcome the relief that it could afford them, according to the latest MorneauShepell 60 Second Survey. Among the 79 participating organizations, the survey found 74% were considering adopting a PRPP because it would allow them to offload fiduciary liability […]
From Investmentreview.ca With most Canadian private-sector workers lacking access to a defined benefit (DB) pension plan – and with the ones who do facing Nortel-like catastrophes – naturally attention turns to the apparently greater resources of the state. Hence the preference of many union and retiree advocates for a beefed-up CPP, rather than encouragement for […]
After nearly five years of expert panels, white papers and public consultations there is a sense that the current wave of pension reform is winding down. And, most of us would say we don’t have much to show for all that effort. An expanded Canada Pension Plan (CPP) was rejected and the changes brought about […]
Each major political party was asked to outline their stance on pension reform and expanding pension coverage for Canadians. Here’s what they said. Green Party of Canada Pension reforms must be built upon the system that will best create decent pensions to keep the elderly out of poverty, require minimum additional contributions and have low […]