Decision to grandfather pension plans for new MHAs insulting

“Our members have made sacrifices. Clearly, the MHAs, despite all their bluster and doublespeak on MHA pension reform during the election, aren’t willing to do the same.” — Jerry Earle, NAPE President

St. John's (12 Dec. 2016) — Jerry Earle, President of the Newfoundland and Labrador Association of Public and Private Employees (NAPE/NUPGE) says he was shocked and appalled by the government’s decision to protect the pension plan for 20 newly elected MHAs last night, despite the initial recommendations from the Members’ Compensation Review Committee (MCRC) to do otherwise.

MHAs pension increase cynical as workers suffer job losses

“Is this one of the difficult decisions that the government said would have to be made in tough times?” asked Earle. “It is absolutely incredible that the government had the gall to pull this off at a time when the people of the province have suffered through regressive tax increases and cuts to public services and when our members have been through layoffs, cutbacks, and office closures. This sort of decision only serves to breed cynicism about the political process in the public.”

On December 7, the House of Assembly Management Commission altered the recommendations of the MCRC and opted to keep the current pension plan for the 20 newly elected MHAs. This decision will cost the people of the province approximately $3.6 million.

Public sector workers agreed to contribute more for longer to make pension stable

“Public sector workers in the Public Service Pension Plan had to raise their retirement age and pay more premiums in order to make their plan more stable in the long run,” said Earle. “Our members have made sacrifices. Clearly, the MHAs, despite all their bluster and doublespeak on MHA pension reform during the election, aren’t willing to do the same.”

“To put this entire fiasco into perspective, the $3.6 million this decision will cost is approximately twice the ‘savings’ of cutting 24-hour snow clearing for our province’s highways,” continued Earle. “I can tell the government one thing, we will not soon forget this decision.”

NUPGE

The National Union of Public and General Employees (NUPGE) is one of Canada's largest labour organizations with over 370,000 members. Our mission is to improve the lives of working families and to build a stronger Canada by ensuring our common wealth is used for the common good. NUPGE

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