Court rejects $57-million deal to pay benefits to former and disabled employees until the end of 2010 in exchange for an agreement not to sue Nortel
Pensions and Retirement Security
CLC leader says Finance Minister will face backlash
Amendments provide immediate vesting of pension benefits and organizations with more than 50 employees will be required to have workers on their pension-management committee.
The budget contained no new initiatives around pensions reform and retirement security. Federal government ignores calls for National Pensions Summit, commits to only undertake consultations.
This marks second consecutive quarter of growth, however, the value of pension funds still 7.5 percent below the high reached in the second quarter of 2008.
“A great demographic divide exists between younger Canadians and those who are nearing retirement or already there. Younger Canadians clearly lack confidence in the viability of public and private pensions in the future, while older Canadians are much more confident.” - Nik Nanos of Nanos Research
Public sector pensions are paid for by the deferred wages of public employees throughout their careers and private sector workers deserve the same opportunity to protect themselves in retirement.
Most Canadians are worried about their retirement security. NUPGE is pressing the federal government to hold a national summit with a series of radio ads launched this week in the nation's capital.
Deal comes at the price of an acknowledgment that the claims of Nortel pensioners, former employees and employees on Long-term Disability are unsecured, and rank in equal priority to those of all other unsecured creditors, including the bondholders.
Almost one third of Canadians aged 35-54 expect to be working in their retirement years.
Pension funds claw back from losses caused by the economic crisis.
"When you attack people's retirement savings, you are asking for the fight of your life and I think it would be a most unwise thing for any political party to do.”
Retiring boomers leading downward trend
Rosy outlook portrayed by Calgary professor does not stand up to research by pension expert Bob Baldwin.
About 1,000 pensioners from paper mills in all three provinces stand to lose up to 40% of their modest pensions when Fraser Papers goes into bankruptcy.
Abitibi, Nortel and CanWest workers need action now: says NDP
Canada's finance ministers are doing Canadians a grave disservice by pretending that no real crisis exists within our failing pension system.
(16 Dec. 2009) - 'We need a National Pensions Summit that provides Canadians from all walks of life with an open forum to fairly explore and assess the viability of all options designed to improve retirement security for all Canadians.' - James Clancy.
Pension fund revenues exceeded expenditures by $10.6 billion, representing first positive cash flow since the second quarter of 2008.
CPP benefits increase by 0.4 percent: 2010 Yearly Maximum Pensionable Earnings (YMPE) set at $47,200