As the federal Conservative Party finally introduced its election platform last week, it included a number of provisions around pension plan solvency and retirement security.
If elected, the party said it will mandate that all federally regulated companies report on the solvency of their pension funds. “This will give seniors the confidence that their hard-earned pensions are being well-managed and will alert them if their pension funds are being mishandled,” it noted.
It’s also pledging to allow underfunded pension plans transfer to another, more successful pension plan. And to penalize executives who underfund their pension funds, the platform noted a Conservative government would restrict bonuses for the executives of companies who go through bankruptcy.
The Liberals are promising similar measures. In September, the party said it would reform the Bankruptcy and Insolvency Act and the Companies’ Creditors Arrangement Act on Nov. 1 to improve retirement security and protect pension plans, following on its budget 2019 promises.
In its platform, published in September, the New Democratic Party said it would keep pensioners at the front of the line if a company goes bankrupt and will prevent companies from paying out dividends and bonuses when their pensions are underfunded. It also pledged to create a mandatory, industry-financed pension insurance program, protect defined benefit pension plans in the public sector and support efforts to improve Canadians’ retirement financial literacy.
The NDP also intends to create a pension advisory commission to develop plans to enhance old-age security and the guaranteed income supplement and strengthen the Canada Pension Plan. It also said it wants to make the OAS program and GIS enrolment retroactive.
On the CPP, the Green Party of Canada said in September it’s calling for an “over time” increase of the target income replacement rate, from 25 per cent to to 50 per cent, and said it would mandate that the Canada Pension Plan Investment Board divest from coal, oil and gas shares.