their pension plan will be there for them when they retire (5). In terms of reform the following factors can help to make DB plans more attractive again: Risk shared plan where the cost is explicitly shared between participants and sponsors; Target benefit plan (TBP) where accrued benefits can be increased or decreased according to experience, and Plans where indexation of pensions is conditional (Bakvis and Skogstad 2008, 144). The second tier consists of the CPP and QPP, which is an earnings-related program for the employed and self-employed that provides retirement, disability, and survivor benefits as well as benefits for children of deceased and disabled contributors (Pierlot 2008, 3). The plans provide a retirement benefit of 25 …show more content…
This matter is not discussed in this paper. In general any reform to the CPP is meant to apply to both the QPP and CPP. The context in which the CPP/QPP operates refers to as joint-decision federalism; although made for the purpose of mutual negotiation, it is harder to reach agreements over important matters in the CPP (Bakvis and Skogstad 2008, 143). The federal government and the provinces jointly administer the CPP whereas the OAS works within the domain of only federal jurisdiction (Beland and Myles 2012, S78). First, any changes to the CPP must have the consent of two-thirds of the provinces having two-thirds of the population, which implies that any four provinces can, in concert, block a change to the CPP (Dyck 1986, 55). Second, the federal government has the authority to block any change that it disapproves (55). These rules create a system where multiple vetoes can overpower changes to the CPP. This makes it difficult to reach a common consensus on urgent issues and reform, since there is a diverse range of governments with different ideologies and viewpoints (Bakvis and Skogstad 2008, 144). The requirement that assenting provinces represent two-thirds of the population gives a special veto to the larger provinces. Ontario has a veto in its own right, and will continue to retain that power as long as more than one-third of the population continues to reside within its borders (Dyck 1986, 55) In addition; Quebec is included in
The central provinces of Canada, Ontario and Quebec, are represented by 60% of the seats in the House of Commons and just under half the seats in the Senate. It is quite clear that the insufficiency of regional representation is such a controversial matter. An unelected Senate that no longer fulfils its mandate, and a House of Commons strongly influenced by provinces in ratio to their population, the validity of Parliament has become a great political concern and is a primary contributor to Canada’s existing regional tensions (Stilborn, 8).
Canada Pension Plan (CPP) - CPP is a government sponsored pension plan available to all working Canadians. Everyone pays into it and receives retirement benefits based on how much and how long each person pays into it. The CPP provides pensions and benefits when contributors retire, become disabled, or die. The amount you contribute is based on your employment income.
As you may know there are two types of pension plans that are most commonly used: a defined contribution plan and a defined benefit plan. “A defined contribution plan sets forth a certain amount that the employer is to contribute to the plan each period (Schroeder, Clark, & Cathey, "Pensions and Other Postretirement Benefits," 2011). “A defined benefit plan specifies the amount of pension benefits to be paid out to plan recipients in the future. Companies that use this plan must make sufficient contributions to the funding agency in order to meet benefit requirements
The Northern Ontario Party feels that everyone that lives in Northern Ontario deserves the fair and equal rights as. Treaties will be respected and the NOP’s objective is to enhance the lives of ALL Northern Ontarians. All people of Northern Ontario will be part of the decision-making process in the creation of this new province. The Northern Ontario Party promises
The power struggle has always been a fight within Canada, due to the vast size of the country. Over the years the government has done a good job of satisfying/subsiding certain regions concerns, and/or issues. Obviously the government cannot please everyone, thus resulting in the constant debate of Centralist VS. Decentralist. Centralists believe that a majority of the power, strength, and control should remain in Ontario, and Quebec; where as, Decentralists believe that the power should strengthen all the provinces, and ripple down to the other periphery regions. The National Policy implemented in 1879 by the Conservative Federal Government was brought in to help the Canadian economy; however, there were a couple of downsides for many Canadians.
Intergovernmental relations play a vital role in the successful governing of our Canadian federation. Due to the various forms and levels of governments, the ability for all those in power to be able to communicate, collaborate, consult, negotiate and support the needs and beliefs of Canadians is invaluable. Each province is made up by many sub-divided regions and people, each with their own problems and needs which may act to contradict the needs and problems of others within a neighboring region. This leaves each province under pressure, forced to decide which position will provide the greatest benefit to their constituents. Alliances and coalitions are created amongst provinces and interest groups to help sway the federal government to
In the Constitution Act 1982, section 38 that the constitution of Canada can be amend when resolution of the Senate, the House of Commons and legislative assemblies, which has support of majority its members, of at least two- thirds of provinces that have at least fifty per cent of the population of the provinces. According to section 43 (1), an amendment to the Constitution of Canada, in relation to any alteration to boundaries between provinces, and any amendment to any provisions that relate to the use of the English or the French
2. Implemented a Hybrid Defined Benefit (DB) and Defined Contribution (DC) Plan: The hybrid DB/DC plan aims to reduce DB liabilities with a DC fund while also maintaining support from union groups who desire the security of a DB system.
GAASB is proposing some major improvements to the reporting of pension plans. (GASB Proposes Major Improvements for Pension Reporting, 2011). Immediate recognition of more components of pension expense will be required, including the effect on the pension liability of changes in benefit terms, rather than deferred and amortization over as many as 30 years. Use of a discount rate will be required that applies the expected long term rate of return on pension plan investments where pension assets are expected to be available to make projected benefit payments and the interest rate on a tax exempt 30 year AA or higher rated municipal bond index to projected benefit payments where plan assets are not expected to be available for long term investment in a qualified trust. A single actuarial cost allocation method, the entry age normal, will be required. Governments participating in cost sharing multiple employer plans will be required to record a liability equal to their proportionate share of any net pension liability for the cost sharing plan as a whole. Governments in all types of covered pension plans will be required to present more extensive note disclosures and required supplementary information.
At this point in time a new proposition has been offered by those within Upper Canada, a new idea meant to divide Canada even further. Upper Canada has gone on to show their intentions to divide the government according to the areas of Upper and Lower Canada. A government should be a unifying presence, yet many wouldn’t be too opposed to this as a government meant to focus on the affairs of the different conditions would sound rather beneficial, yet, this is where the problem lies.
One can easily see here that the provisions for the Canadian distribution of powers will be critical to the execution and further legislation concerning the Framework. Left almost as untouched since 1867, “section 91 of the Constitution Act, 1867 grants broad powers to the federal government to legislate for "Peace, Order and good Government of Canada, in relation to all Matters not coming within the classes of subjects by this Act assigned exclusively to the Legislatures of the Provinces."” (Beaudoin, 2006) Provincial governments, on the other hand, have jurisdiction over their internal constitutions, direct taxation for provincial purposes, municipalities, school boards, hospitals, property and civil rights, and so on. Moreover, provinces were given more powers regarding natural resources post-1982, precisely, were now able to indirectly tax for natural
“Old Habits Die Hard: “New” Ontario and the “Old” Laurentian Consensus”, tells a similar story from a different perspective. Starting off, Alberta, rather than Ontario, is listed as the country’s agenda setter (Old Habits 2013). There are a few factors contributing to this switch; first off, free trade agreements made Canadian provinces much less reliant on each other, which negatively affected the power Ontario previously held. This power then shifted with the near simultaneous shrinking of the manufacturing industry in Ontario and growth of the economy in the west. However, this change is not altogether negative; other provinces have now had a chance to find their strengths. Similarly, it is now Ontario’s opportunity to find its place in this new structure. Unfortunately, Ontario’s has been fairly quiet in previous conversations about federal policy has a negative effect, both on a provincial and national level; provincially, the Ontarian voice is now considered with less validity than other provinces. At the same time, there is a national effect in that the outcome of the conversation has potentially been altered by the lack of
AARP is a program where elderly can have a sense of empowerment. AARP stands for “American Associations of Retired Persons”, it is also a not for profit organization. There is over 37 million people that have memberships with AARP. This program helps the elderly get to where they need to be in life. AARP is a program where they can help you get everything you want out of life.
The federal insurance program, Medicare (also referred to as Title 18 of the Social Security Act1) was passed into law in 1965 to provide healthcare for people aged 65 and over irrespective of their income, health status or medical history. Individuals under 65 years but with permanent disability were not included until the Medicare program was expanded in 19722. Individuals of any age that have been diagnosed with end-stage kidney disease (chronic renal failure) and requiring continuous dialysis or renal transplant are also covered. The Centers for Medicare and Medicaid (CMS), a division of the Department of Health and Human Services (DHHS) has administrative oversight over the operation of the Medicare program. Since it is a
Our company has been providing their employees with a pension plan for many years. However, these benefits plans have to be reviewed and possibly revised after the recent acquisition of XYZ Company. Through the use of a funding agency, payments are invested so that periodic payments can be made to the employee during retirement. Defined contribution and defined benefit are the two most common types of pension plans.