Close X
Monday, September 23, 2024
ADVT 
National

Ottawa Won't Co-operate With Ont. Pension Plan, Oliver Says In Letter To Sousa

The Canadian Press, 17 Jul, 2015 12:24 PM
    TORONTO — Finance Minister Joe Oliver is telling Ontario the federal government will not co-operate in any way with the province's move to create its own pension plan.
     
    Oliver sent a letter to provincial Finance Minister Charles Sousa on Thursday saying the Conservatives "will not assist the Ontario government" in the implementation of the Ontario Retirement Pension Plan.
     
    "This includes any legislative changes to allow the ORPP to be treated like the Canada Pension Plan for tax purposes, or to integrate the ORPP with the RRSP contribution limits," wrote Oliver. "Administration of the ORPP will be the sole responsibility of the Ontario government, including the collection of contributions and any required information."
     
    The provincial Liberals passed legislation in April to create the provincial pension plan, which would effectively mirror the CPP for about three million workers.
     
    Sousa called Ottawa's position "extremely disappointing" in a statement Thursday evening.
     
    "Like other arrangements between the federal and provincial governments, our expectation was to enter into a service agreement with CRA or Service Canada, something that would have tremendous advantages for businesses and employees," said Sousa. "The federal government's refusal to work with Ontario puts politics ahead of practicality."
     
    Ontario has said repeatedly its preference would be to enhance the CPP, but the Harper government has always rejected the idea so the province decided to act on its own.
     
    Too many people are not saving enough for an adequate retirement income despite voluntary options such as tax-free savings accounts and registered retirement savings plans, said Sousa.
     
     
    "After a lifetime of working hard and contributing to the economy, Ontarians deserve a secure retirement," he said.
     
    The Conservatives warn the Ontario plan will amount to a job-killing payroll tax because it will require contributions from employers and workers in any company that does not have a workplace pension.
     
    Workers will have to contribute 1.9 per cent of their pay, to a maximum of $1,643 a year, which employers will have to match for every employee.
     
    "The ORPP would take money from workers and their families, kill jobs and damage the economy," warned Oliver. "Your government has not provided any assurance regarding what benefits, if any, would accrue to Ontarians."
     
    The mandatory contributions will be phased in over two years, starting with larger companies in 2017 before expanding to include small operations like convenience stores and dry cleaners.
     
    The Liberals say the deductions for the ORPP begin at the same time the federal government is expected to reduce Employment Insurance premiums.

    MORE National ARTICLES

    Ford Recalls 2015 Focus, C-Max, And Escape Models For Ignition Problem

    Ford Recalls 2015 Focus, C-Max, And Escape Models For Ignition Problem
    TORONTO — Ford says it is recalling 52,180 vehicles in Canada because of a software bug that could leave the car running after the ignition is switched off.

    Ford Recalls 2015 Focus, C-Max, And Escape Models For Ignition Problem

    B.C. Man Permitted To Keep Three Horses After Animal-Cruelty Conviction

    B.C. Man Permitted To Keep Three Horses After Animal-Cruelty Conviction
    A judge has fined Jody Huffman of Kamloops, B.C., $1,500 and forbidden him from owning any animals for the next five years besides the three replacement horses currently in his possession.

    B.C. Man Permitted To Keep Three Horses After Animal-Cruelty Conviction

    Eligible Voters Could Be Disenfranchised By Stricter ID Rules, Groups Say

    Eligible Voters Could Be Disenfranchised By Stricter ID Rules, Groups Say
    The Council of Canadians and the Canadian Federation of Students are in court in Toronto today, seeking an interim injunction against a key provision of the Fair Elections Act.

    Eligible Voters Could Be Disenfranchised By Stricter ID Rules, Groups Say

    Sex Assault Victim Of Serial Killer's Brother 'Elated' At Court Victory

    Sex Assault Victim Of Serial Killer's Brother 'Elated' At Court Victory
    VANCOUVER — A woman who was sexually assaulted by the brother of serial killer Robert Pickton says she is elated she can once again walk tall after winning a lengthy court battle.

    Sex Assault Victim Of Serial Killer's Brother 'Elated' At Court Victory

    Wildfire Smoke Causing Air Quality Concerns In Saskatchewan, Parts Of Manitoba

    Wildfire Smoke Causing Air Quality Concerns In Saskatchewan, Parts Of Manitoba
    Smoke from wildfires is raising air quality concerns across Saskatchewan and parts of Manitoba. Environment Canada has issued special air quality statements for regions in the two provinces.

    Wildfire Smoke Causing Air Quality Concerns In Saskatchewan, Parts Of Manitoba

    Four Arrested After Annual Cannabis Day Protest In Vancouver Turns Violent

    Four Arrested After Annual Cannabis Day Protest In Vancouver Turns Violent
    VANCOUVER — The organizer of an annual marijuana protest in downtown Vancouver is blaming the city for an outbreak of violence that led to several protesters being arrested on Canada Day.

    Four Arrested After Annual Cannabis Day Protest In Vancouver Turns Violent