Opposition questions value of pension deal

OTTAWA— The Opposition Conservatives are questioning the government’s rush toward expanding the Canada Pension Plan by taking more off the paycheques of working Canadians.

Conservative finance critic Lisa Raitt said the government hasn’t provided evidence to show any widespread benefits from the proposals now being pored over by federal and provincial finance ministers.

She said the majority of Canadians know how to manage their finances and the government should focus on education around retirement planning.

Any changes should target Canadians who are at risk of not having enough money in retirement, Raitt said.

“Everyone seems to have accepted that it’s a good deal, but I’m not seeing the evidence of that on the balance — taking a look at how much money people are going to be removing from their paycheques, which is a given, who is really benefiting at the end of the day for it.”

Finance Minister Bill Morneau will meet with his provincial counterparts in Vancouver on Monday where a key agenda item will be expanding the pension plan — specifically, increasing benefits paid to retirees, requiring higher premiums paid by workers and employers.

Morneau has said he wants to see a deal to expand CPP completed by the end of the year, but talks are now in high gear in the hopes of a preliminary agreement much sooner.

The federal government has kept largely silent on the details of the talks, saying they don’t want to negotiate in public. Critics of the plan, however, hope a deal isn’t reached.

Quebec’s finance minister told The Canadian Press on Wednesday that a final deal would be unlikely until the end of the year. Ontario, on the other hand, expressed confidence that a deal could be reached next week.

The talks centre on whether to have an across-the-board increase in premiums that would capture all workers, or to take a more focused approach that targets the most vulnerable Canadians.

Making CPP changes requires the consent of seven provinces representing at least two-thirds of the country’s population.