Wynne pledges ‘portable pensions’
TORONTO — “Portable pensions” for workers to take with them from job to job would be created under a provincial Liberal government, leader Kathleen Wynne says.
The Liberals, if elected June 7, would also “remove barriers” so that outsiders could buy into existing pension plans — even if they have no connection to the company, she said.
Given the changing economy, “we have to evolve the supports that people have as well,” Wynne said at a campaign stop in downtown Toronto at Wattpad, an online publishing site where writers post their work to be critiqued by other users.
“The parents and grandparents of the young people who work here may have gone into a company and worked in that company for 35, 40 years, and come out with a pension that is allowing them to have a dignified retirement.
“That’s not the case for the young people who are working” today, she said. “The changing economy puts that decent retirement into jeopardy ... The reward for a lifetime of hard work shouldn’t be the prospect of spending your golden years struggling to make ends meet.”
She noted the Ontario government had pushed the federal government for enhancements to the Canada Pension Plan, but “there are still gaps.”
“We are going to take the next steps, so that, no matter where you work, you will be able to look forward to a more secure retirement. That is the objective.”
The Liberals, she added, would “support the creation of portable pension plans, that stay with one worker from one job to the next,” allow others to join “successful plans” and also strengthen the power of the pension regulator to “intervene where pensioners are treated unfairly.
“When a company is in trouble, we are going to strengthen the ability of the regulator to intervene and make sure (pensioners’) interests are taken care of,” giving them “greater priority” if the company goes bankrupt.
The pledge is a response to the plight of Sears retirees, who saw their benefits decrease after the company went under. Earlier this year, the Liberals promised to give them up to $500 extra a month.
She said the Progressive Conservatives have not talked about pensions at all, and the NDP would not be willing to work with the private sector.
Wynne said more details on private-sector pensions will be released in the Liberals’ formal platform, which will be out in the next few days.
About a third of working Ontarians are enrolled in a pension plan, but, among younger workers ages 25 to 34, it’s only about one-quarter.
Wynne said the Liberals will also increase the power of pension regulating authorities to intervene when Ontarians believe they are not receiving the pension benefits they were promised. The premier pledged to grant access to private-sector pension plans to workers, such as contractors or part-timers, who may not qualify for them.