FREDERICTON: The proposed pooled retirement pension plan announced yesterday by Federal Finance Minister Jim Flaherty is a step backward from real pension reform.
“Instead of improving the Canada Pension Plan (CPP), the Federal proposal is a sign Canada’s banks and financial institutions have hijacked this important issue”, said Daniel Légère, president of the Canadian Union of Public Employees in New Brunswick (CUPE NB).
“This proposal doesn’t address the issue of workers not being able to save for retirement.” A recent Environics poll shows 74 per cent of Canadians don’t make RRSP contributions, not because they don’t want to save for retirement but because they simply can’t afford it.
“We believe, the best, most effective, and most cost-efficient route to addressing retirement income insecurity is expanding the CPP, an option supported by more than three quarters of Atlantic Canadians.”
“We are calling on our provincial and territorial finance ministers to respect the wishes of Canadians and reject the Federal Finance Minister’s proposal at their meeting next week.”
“Increasing CPP benefit is just the right thing to do to guarantee every worker a decent, secure income in retirement”, concluded Légère.