Barry Gros – Rules-based Regulations A Poor Fit For Target-benefit Pension Plans
From: Barry Gros To: Canada’s pension regulators Date: June 25, 2020 Re: Rules-based regulations a poor fit for target-benefit pension plans Regulations for target-benefit pension plans have been developed across the country in several jurisdictions and without consistency. But as I outline in my recent C.D. Howe Institute paper, their basic direction is actually a […] Room to Thrive: Why Principles-based Standards Make Sense for Regulating Contingent Pension Plans
Pension Rules Stifle Innovation for Target-Benefit Plans Current pension rules, designed from a defined-benefit perspective, are a bad fit for target-benefit pension plans. Author Barry Gros argues contingent pension plans, especially target-benefit plans and multi-employer plans, need to be uniquely managed, communicated and regulated as they play an increasingly important role in delivering retirement benefits. […] The Shifting Ground of Pension Design: Reflections on Risks and Reporting
Workplace Pensions in Flux, Rules Need Reform As workplace pensions evolve, rules and regulatory law should adjust to reflect the realities of the 21st century pension landscape. Bob Baldwin, a pension industry veteran, offers his personal reflections on the unhelpful hyperbole surrounding defined-benefit and defined-contribution plans and explores the way forward for workplace pension design. […] Let Canadians access their RRSP wealth for an immediate, cheap source of financial assistance – Financial Post Op-Ed
In recent weeks, Ottawa has announced several financial assistance measures for those most affected by the COVID-19 crisis. They include increased flexibility for employment insurance benefits, generous wage subsidies for businesses, and an emergency response benefit of $500 per week for affected workers and caregivers. But these programs pose implementation challenges that could result in Canadians waiting weeks to receive the financial assistance they need, assuming they qualify at all.
An unprecedented demand spike is already challenging the capacity of the employment insurance system, especially with Ottawa having closed Service Canada outlets across the country. Technical difficulties around eligibility conditions for the…
The Power of Postponed Retirement
Postponing retirement new reality for older workers Postponing retirement has become a new reality for many older workers in the wake of the market crash, underlining the need for reform of the rules around retirement saving in tax-deferred programs. In this report, author Joseph Nunes argues Ottawa should raise the age at which workers must […] Laurin, Robson – Crisis Relief For Canadian Savers
To: Finance Minister Bill Morneau From: Alexandre Laurin and William Robson Re: Crisis Relief for Canadian Savers Date: March 16, 2020 Plummeting stock markets are aggravating anxiety and the potential economic impact of COVID-19. The market crash is worst for older Canadians who rely on savings in registered retirement saving plans (RRSPs) and defined-contribution pension […] Bill Robson on BNN – RRSP age limit needs to be raised amid COVID-19 crisis
Bill Robson, president and CEO of the C.D. Howe Institute, explains why he thinks the government of Canada should be allowing Canadians to contribute to their RRSPs past 71 and eliminate the drawdowns in RRIFs as markets continue to plunge due to the COVID-19 outbreak.
TFSAs: Time for a Tune-Up
December 19, 2019 – Tax-Free Savings Accounts (TFSAs) have had great success over the past decade, but could use a tune-up, says a new report from the C.D. Howe Institute. In “TFSAs: Time for a Tune-Up,” author Alexandre Laurin argues that after a decade in existence, there is now enough data and empirical analysis on […] Bob Baldwin – The Alberta Pension Plan Is No Slam Dunk
From: Bob Baldwin To: Albertans pondering a new pension plan Date: November 29, 2019 Re: The Alberta Pension Plan Is No Slam Dunk Alberta leaving the Canada Pension Plan (CPP) and creating its own Alberta Pension Plan (APP) has been discussed for many years, and has resurfaced as the newly elected Premier of Alberta has said there is […] Laurin, Omran – Opting Out Of The Canada Pension Plan
From: Alexandre Laurin and Farah Omran To: Provincial Ministers of Finance Date: November 25, 2019 Re: Opting out of the Canada Pension Plan Alberta is studying opting out the Canada Pension Plan, and creating its own equivalent Alberta Pension Plan, much like the Quebec Pension Plan. The attraction of an APP, or theoretically any separate provincial plan, is […] Gros, Sanders – Pension Regulations Headed in the Wrong Direction
From: Barry Gros and Barbara Sanders To: Canada’s pension regulators Date: October 15, 2019 Re: Pension Regulations Headed in the Wrong Direction With the demise of defined-benefit pension plans in the private sector, so-called “contingent” pension plans with benefits conditional on financial performance are rising to the fore. But the direction pension regulators are taking with regard to […]A Tale of Two Pension Plans: My Experience with a Contingent Pension Plan and the Lessons Learned
October 3, 2019 – By sharing the experience of a pension plan operating in two very different regulatory environments, pension expert Randy Bauslaugh shows how contingent pension plans, with benefits conditional on financial performance, are more reliable in times of stress and more cost-efficient than other alternatives. But they require accommodative legislation to survive economic […]