Judy Sgro's Response: An Act to amend the Bankruptcy and Insolvency Act

Editor’s Note: Since the Nortel pensioners’ plight has been brought to light there has been a public outcry calling for reform of the Banking Insolvency Act. Many feel that pensioners should not be last in the line of creditors when it comes to claiming the pension earnings they were promised. The bill was renamed C-501, it is likely to be debated before the end of this session of Parliament.

We asked the original sponsor, NDP MP Wayne Marston for a primer on his bill and we asked all the Federal Parties for their position on the bill. At press time we received an answer from Judy Sgro (Liberal) and Carole Freeman (Bloc Quebecois)- posted below. In the Finance Subcommittee on Thursday, Liberal Finance Critic John McCallum also indicated his support for the intent of the bill. We will keep you updated on this story as it unfolds.

To Whom It May Concern:To Whom It May Concern:

I am writing in response to your request for information on the Liberal Party of Canada’s position on Bill C-476 (An Act to amend the Bankruptcy and Insolvency Act and other Acts (unfunded pension plan liabilities)). Thank you for taking the time to contact me on this matter.

My personal position on the subject, and that of the Liberal Caucus, is both unified and straightforward. As you will understand, no legislation is perfect when first introduced to Parliament. Because of this, multiple readings and a committee process are essential components along the road to creating new laws. That said, the Liberal Party strongly and unreservedly believes that Canadians deserve and need a full range of legal protections (relating to their pensions) in the event their employer becomes insolvent. With this guiding principle in mind, the Liberal Caucus is prepared to support Bill C-476 should it come to a vote a Second Reading. Additionally, we have worked to advance a number of measures independently as we are anxious to enact the protections Canadian pensioners need, such as a Supplemental Canada Pension Plan, to help ensure all Canadian seniors can retire and live with dignity.

We regret that the government has again failed to act decisively, missing yet another opportunity to act in the best interests of seniors on the issue of pension reform but, the Liberal Caucus stands ready to protect and preserve pensions.

Again, I thank you for taking the time to contact me. I would invite you to call my office if you would like to explore this matter in greater detail. Sincerely,
Hon. Judy A. Sgro, Privy Council, MP
Official Opposition Critic for Seniors and Pensions

I am writing in response to your request for information on the Liberal Party of Canada’s position on Bill C-476 (An Act to amend the Bankruptcy and Insolvency Act and other Acts (unfunded pension plan liabilities)). Thank you for taking the time to contact me on this matter. My personal position on the subject, and that of the Liberal Caucus, is both unified and straightforward. As you will understand, no legislation is perfect when first introduced to Parliament. Because of this, multiple readings and a committee process are essential components along the road to creating new laws. That said, the Liberal Party strongly and unreservedly believes that Canadians deserve and need a full range of legal protections (relating to their pensions) in the event their employer becomes insolvent. With this guiding principle in mind, the Liberal Caucus is prepared to support Bill C-476 should it come to a vote a Second Reading. Additionally, we have worked to advance a number of measures independently as we are anxious to enact the protections Canadian pensioners need, such as a Supplemental Canada Pension Plan, to help ensure all Canadian seniors can retire and live with dignity. We regret that the government has again failed to act decisively, missing yet another opportunity to act in the best interests of seniors on the issue of pension reform but, the Liberal Caucus stands ready to protect and preserve pensions. Again, I thank you for taking the time to contact me. I would invite you to call my office if you would like to explore this matter in greater detail. Sincerely, Hon. Judy A. Sgro, Privy Council, MP Official Opposition Critic for Seniors and Pensions