CFIB Wants Broader Use

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    The Canadian Federation of Independent Business (CFIB) supports the federal government consultations on more sustainable pension plans for federally-regulated industries and crown corporations. However, it is disappointed that the target benefit plans, which share risk between employers and employees, would not apply to the core public service, where this kind of plan is badly needed to address massive unfunded pension liabilities. “With the private sector moving quickly away from traditional defined benefit pension plans, a shared risk model will be a terrific addition to Canada’s pension landscape,” says Dan Kelly, its president. “A shared risk plan could also help taxpayers get out from under massive unfunded pension liabilities, such as the $6.5 billion liability at Canada Post alone. We hope the federal government doesn’t stop with Crown corporations and considers moving the core civil service to a less costly shared risk pension plan.”