WHEREAS financial security is important for all Canadians and particularly so for seniors who must depend for their wellbeing upon pensions and other assets which they have built up during their working years;
WHEREAS pension reform is needed if Canadian seniors are to have a dignified, secure and healthy retirement;
WHEREAS adequate pension reform must include those members of our society not traditionally considered to be a part of the formal workforce including, but not limited to, stay at home parents, homemakers who were dependent on their husbands’ income;
WHEREAS these people have made a valuable contribution to their communities as volunteers, it seems unfair that they are forced to exist in restrained financial circumstances;
WHEREAS the financial burden of taxpayers in such circumstances could be eased by income splitting between dual wage earners in a family, or forward averaging for a sole taxpayer;
WHEREAS the Liberal Party of Canada Expert Working Group on Retirement Income Security in its White Paper entitled, Canadian Pension Security, Adequacy and Coverage; Public Policy Challenges and the Baby Boom Generation, has made a number of recommendations for the reform of Canada’s pension system, one of which is described as a Supplemental Canada Pension Plan, (SCPP);
WHEREAS this SCPP appears to offer the most optimum benefits to seniors while, at the same time featuring simple and efficient implementation;
WHEREAS the basic Old Age Security pension is deemed to be not sufficient to allow seniors to live in dignity even when coupled with the Guaranteed Income Supplement;
WHEREAS the clawback practice has resulted in some injustices to certain groups of pensioners;
WHEREAS financial literacy is a skill that is not being offered to Canadians at large in a way that provides the skills for the general public to invest well;
BE IT THEREFORE RESOLVED that a Liberal Government will undertake to implement the Supplemental Canada Pension Plan without undue delay;
BE IT FURTHER RESOLVED that a Liberal Government will give consideration to the other recommendations in the White Paper with the intent to bring about their early implementation;
BE IT FURTHER RESOLVED that a Liberal Government adjust the basic monthly Old Age Security pension to lot less than $600.00 per month with Consumer Price Index adjustments in subsequent years;
BE IT FURTHER RESOLVED that the clawback practice be discontinued;
BE IT FURTHER RESOLVED that a Liberal Government introduce changes to the Income Tax Act to allow that provisions for income splitting between dual income earners in a family, or forward averaging of income, from employment and self employment, be available to caregivers and their related family members, upon defined conditions;
BE IT FURTHER RESOLVED that a Liberal Government undertake, in consultation and cooperation with the provinces and territories, the promotion and support of the concept of financial literacy within the regular educational system and such other human resource development programs with which it may, from time to time, be involved.
Senior Liberals’ Commission
All these points are worthy and perhaps not well enough known to Liberals at large. I hope more people will read this resolution and vote for it.
The biggest pension issue is to have or have not. Guaranteed a/o gov’t plans don’t cover me and I am jealous of those employees who are indexed at my expense, while I have declining assets. Good pension reform has to include some clawback from the richer plans and new tax dollars at the bottom end. Certainly this controversial proposal. Can you think of a better solution?
There are two areas that come to mind right of here, OAS and Guaranteed Income Supplement, combine them get ride of the over lap and let any extra be clawed back in income taxes. For most people there would be no claw back.
The second area is much larger and alot more complex(the banks and Investment Houses want it kept that way). The government needs to take steps to makes sure that money saved for retirement is not being ripped off through frontend fees, backend fees, administrative charges, interest spread etc.
I think every one should be required to save for retirement, in the Canada Pension Plan, there should be no RRSP etc. The money should be collected by the government with no upper limit on contributions(there should be a limit on the tax deductable amount). The government should set the regulations, but not administer the funds Then the banks and investment house should bid on the right to administer blocks these funds.
What the government does on the in restructuring OAS/Guaranteed Income Supplement and CPP are only one part of the retirement story.
Another advantage of doing all pensions throught CPP would be: Would be the removal of two two other problems, first companies going bankrupted and the employee losing their pensions. The second would be pension transferability, between companies.
I would recommend the removal of:
WHEREAS adequate pension reform must include those members of our society not traditionally considered to be a part of the formal workforce including, but not limited to, stay at home parents, homemakers who were dependent on their husbands’ income; and
WHEREAS these people have made a valuable contribution to their communities as volunteers, it seems unfair that they are forced to exist in restrained financial circumstances.
They may offend many liberals who appreciate that not everyone who chooses to stay at home are women and those that work and volunteer.
Hopefully this is workable.
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