Pension Cut Bill Now Drafted

“Pension Cut Bill Now Drafted”, published in Blacklock’s reporter on September 22, 2015

By Shannon Bittman, Vice-President PIPSC, September 25, 2015

Earlier this week, Blacklock’s Reporter, an Ottawa-based online publication specializing in public service and related issues, published an article* about the federal government’s ongoing efforts to allow federal Crown corporations and other federally- regulated entities to convert their Defined Benefit (DB) pension plans to a Target Benefit (TB) model.

This comes as no surprise given the current government’s concerted attack on our members’ benefits and it follows the like-minded former New Brunswick Conservative government’s decision to implement a TB model in 2014, a move which is being reviewed by the current provincial government and which continues to be opposed by our local members.

The current federal government’s obsession with introducing TB plans should be seen for what it is: a means to distract Canadians from the real issue – ensuring that everyone can retire with dignity. Target Benefit plans do nothing to address the fact that more than 60% of all Canadians do not belong to a pension plan and/or have not saved enough for their retirement.

This government prefers to pit pension “haves” against pension “have-nots” instead of playing a responsible leadership role through real progressive reforms such as expanding the existing Canada Pension Plan (CPP).

While this egregious legislation does not apply to our members public service Defined Benefit plan, it provides a clear roadmap of this government’s next target. Another good reason to vote for change on October 19th.

(*) This article is currently accessible only to Blacklock’s subscribers but will be available to all readers the week of September 28th.

From: http://www.pipsc.ca/portal/page/portal/website/issues/pensioninfo/pen_main/news/0925201

N.B. Also see “Honour Your Promise” on Advocacy page of CFPA website.