In its response to the Department of Finance’s consultation paper on the proposed target benefit plan (TBP) framework, Morneau Shepell stressed that all groups should collaborate to ensure a smooth transition.
“We strongly believe that there should be a realistic pathway to conversion to a TBP,” says Fred Vettese, Morneau Shepell’s chief actuary, adding that the voluntary nature of the proposed framework means that all stakeholders should have a chance to learn more about TBPs and have an opportunity to express their views.
“It will be vital for government, unions, business, plan sponsors and plan members to focus on co-operation in order to achieve a sustainable system to fund pensions going forward,” explains Vettese.
Morneau Shepell assisted in the development of New Brunswick’s shared risk pension plan design in 2012.
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