CARP in the News: CPP Enhancement Saturation Coverage Media Roundup!

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December 18th, 2013: Continuing last week’s coverage on CARP’s position on CPP enhancement, this week’s Finance Ministers’ meeting announcement has generated a wide range of reactions in the media.

Please find below recent media coverage of CPP and CARP. Each article title is followed by a quote containing CARP’s point of view on CPP and our reaction to the results of the Meech Lake Finance Ministers’ meeting and announcement.

At the bottom of this article you can also find links to Susan Eng’s most recent TV interviews.

Maclean’s: Federal Finance Minister Jim Flaherty blocks CPP improvement plans: provinces, a Canadian Press Article (This also appeared in Huffington Post under the title:Canada Pension Plan: Finance Ministers Won’t Sweeten Plan Now , in The Times Colonist, on CTV News Flaherty favours a ‘targeted’ approach to CPP reform , and on Inside Toronto.com)

“But Susan Eng of the Canadian Association of Retired Persons lamented that the ministers had missed an once in a generation opportunity, saying “this will be an election issue” in 2015.

“It would have been possible for them to give a conditional ‘yes’ based on objectively measurable conditions but instead just provided a hard ‘no’ despite the best advice of pensions experts, bank executives and even employers who do provide workplace pensions,” she said in a statement.”

MyKawartha.com: Flaherty still has doubts about CPP reform

(Also in Brampton Guardian: Flaherty still has doubts about CPP reform)

“Susan Eng of the Canadian Association of Retired Persons who has lobbied for CPP enhancement, said she would be satisfied with a “conditional yes” if the ministers set hard triggers for enacting changes, such as specific levels of economic growth and employment rates. She added it was not enough to “simply say when things get better.”

CBC News: Canada Pension Plan reform stalls without Ottawa’s support- Finance Minister Jim Flaherty insists economy too fragile for premium increases (Also featured on Yahoo! News topic stories, business section)

“Susan Eng, vice-president of advocacy for the Canadian Association of Retired Persons, said the 300,000 members of CARP see pension reform as an urgent issue and want the finance ministers to continue working toward a consensus.

“They have to agree to increase the CPP, it’s that simple. It isn’t the only option to help people save for their retirement, but is the one that’s on the table and a very good one,” she said.

“All of the arguments are in, we know what the details are. It’s now come down to a political choice. For our membership … it’s a ballot box issue. It matters that much to them.”

Benefits Canada: No CPP expansion

“However, not all lobbying groups were pleased with the decision.

“This was their chance to improve retirement security for a generation and the finance ministers dropped the ball again,” said Susan Eng, vice-president, advocacy for CARP. “It is clear that the federal government refused to accept the consensus of the provinces.”

The Chronicle Herald- Business: TAYLOR: CPP fix might have to wait for election (Interview with Halifax Chair Bill VanGorder)

      “Over the past several years, CARP has been advocating for an improved CPP as a means of insuring more Canadians have a retirement income they can live on.

VanGorder, who lives in Halifax, says he has spoken directly with Ontario Premier Kathleen Wynne, who insists her province is the only one with a population large enough to allow it to go ahead with pension plan reforms without the participation of Ottawa or other provinces.

That could mean a two-tiered retirement system in Canada. Retirees in Nova Scotia would be at a disadvantage when compared to retired Ontario residents.

VanGorder says there is misinformation about the CPP making the rounds.

In truth, he says, the CPP is a low-cost investment option for managing funds, with expenses lower than any private-sector option…

If changes like that were made, it could be argued the chances of an enhanced CPP gaining wider acceptance would be greater.

But even if changes were adopted immediately, VanGorder says, it is going to take a number of years before alterations could be phased in.”

Winnipeg Free press: Flaherty favours targeted approach to CPP reform, no need for ‘bazooka’

“Susan Eng of the Canadian Association of Retired Persons who has lobbied for CPP enhancement, said she would be satisfied with a “conditional yes” if the ministers set hard triggers for enacting changes, such as specific levels of economic growth and employment rates. She added it was not enough to “simply say when things get better.

The Canadian Federation of Independent Business, however, is opposed to any enhancement, saying it prefers voluntary saving programs.”

BNN (Business News Network) (Janet McFarland, The Globe and Mail): Majority of working Canadians don’t want hike in CPP premiums: Poll

“The Canadian Federation of Independent Business, which has been an opponent of proposals to expand the CPP to provide more coverage to middle-income earners, said an online poll of 1,607 current workers found 58 percent felt the CPP and the parallel Quebec Pension Plan will be “very important” for them as a source of retirement income while a further 31 percent said it will be “somewhat important.” Yet a vast majority also said they preferred government policy solutions to boost retirement incomes that would involve lower taxes, new government incentives or voluntary options over an expansion of CPP coverage and corresponding higher premiums.

The results are in contrast to survey findings reported Sunday by the Canadian Association of Retired Persons, which found 71 percent of 2,654 members surveyed strongly support an expansion of CPP benefits and felt the government should not stay in office if it does not expand the CPP.”

Reuters: Canada provinces fail to reach deal with Ottawa to lift pensions

“Because the CPP is a joint federal and provincial responsibility, any changes to it require the approval of two-thirds of the provinces representing two-thirds of the population.

The Canadian Association of Retired People described the lack of results as very disappointing and vowed to make reform of CPP an issue at the next federal election, which is due in October 2015.”

CBC News: ANALYSIS- CPP reform divides Jim Flaherty and finance ministers

“At the other end of the spectrum is the Canadian Association of Retired Persons, known as CARP. It says 12 million Canadians, nearly two-thirds of the workforce, do not have a private pension plan. Many of them have no other source of retirement income than the Canada Pension Plan.

On Friday, CARP sent out a news release warning the federal government that its members will not tolerate inaction. It said seniors, as a group, are very active voters and their numbers are growing every year.

“Action on CPP is a ballot-box issue and [CARP members] will be watching closely what happens at Meech Lake,” the release said.”

Maclean’s- No. 1 on the list at Flaherty’s finance meeting: CPP reform

“The Ottawa and Ontario resolutions are likely meant more to apply pressure and to flush out party positions on the issue than achieve results, since no one level of government or jurisdiction can act alone.

But Susan Eng of the Canadian Association of Retired Persons said she believes the chances of some agreement on enhancement have improved since the last time it was on the agenda in 2010. At that time, it was considered too soon after the 2008-09 recession, so the ministers opted for a voluntary program called the pooled registered pension plan, which has met with sporadic support.

Eng is not above applying pressure herself. On Sunday, the organization released results of a survey of over 2,000 members showing that 71 per cent “do not believe the current government deserves power if it does not expand CPP.”

The survey also found that more CARP members support the Liberals than the Conservatives by a margin of 43 per cent to 31 per cent.

The results are not “a whim,” Eng said. Her members have been polled repeatedly on the issue, she said, and have consistently supported reform even though they know they won’t personally gain from higher benefits, since the payout will be for future generations.

“People understand there is a necessity for it,” she said, pointing out that more and more of today’s workers have no company pension plan.

Sheridan agreed, saying that Canada’s workforce is increasingly either self-employed, on contract or part-time, meaning they do not have access to company pensions.”

The Telegram: Advocates see support for CPP expansion growing in advance of ministers meeting

“The Ottawa and Ontario resolutions are likely meant more to apply pressure and to flush out party positions on the issue than achieve results, since no one level of government or jurisdiction can act alone.

But Susan Eng of the Canadian Association of Retired Persons said she believes the chances of some agreement on enhancement have improved since the last time it was on the agenda in 2010. At that time, it was considered too soon after the 2008-09 recession, so the ministers opted for a voluntary program called the pooled registered pension plan, which has met with sporadic support.

Eng is not above applying pressure. The organization this week released results of a survey of more than 2,000 members showing that 71 per cent “do not believe the current government deserves power if it does not expand CPP.”

 

TV Interviews

CBC:

http://www.cbc.ca/player/News/Politics/ID/2424737599/

CTV:

http://www.ctvnews.ca/video?clipId=236747

BNN:

http://watch.bnn.ca/#clip1060198