Should Private Pensions Be Privatized?

9. How did the pension plan changes affect Harnischfeger’s financial statements in 1984? Are these changes likely to affect future profits?

One of the most important things in our lives today is Canada’s welfare state, as it transformed Canada’s economy after the economy’s downturn from the Great Depression. The democratic system was formed to maintain prosperity, solidity and security in our everyday lives. One of the key pillars of the nation’s welfare state is employment insurance (EI). Through this analysis of Canada’s employment insurance, I will elucidate why I believe that this program should continue, but with refinements, as it has benefited a large portion of unemployed Canadians over the years and should continue doing so to fulfill the countries goals of the welfare state.

Welfare, enacted by one of the greatest presidents of the United States’s existence, Mr. Franklin D. Roosevelt, is an effective and useful means to assist American families in need. Throughout history, welfare has proven to help people get back on their feet and into society. Despite the system’s many useful benefits, like most attributes in this world, welfare has kinks in the system. In fact, welfare has yet to be perfected, even though it was established in the year of 1935 and is still in use today. The system may never be perfected, but it can be improved. There are many different thoughts and ideas pertaining to how welfare should change. Some believe it should be eliminated entirely. In doing so, many people all across the nation would be harmed in financial and mental manners. How can welfare be reformed? Is it even possible? The answer is absolutely. It must be reformed, and many would agree on the matter. It is, however, a sensitive and controversial topic to most. Political parties tend to take interest in the discussion of welfare reform, as well. The typical, left-wing Democrat wishes to give more to welfare users, while the standard right-wing Republican would like to decrease what is given to Americans. If everything has its imperfections, why should welfare be reformed? Why not leave it the way it is and let the government figure out the fine print? There are those that take this sort of stance on welfare reform, and there are some that believe differently.

However, after the CPP came into effect, Pearson had changed their low status into a higher one. This pension plan compelled workers to save for the future and thus allowed the senior population of workers to live a prosperous life with guaranteed income. With more money, seniors could maintain the possessions and assets that they had prior to retirement and not have to give them up due to their impoverished situation and need for more money. Likewise, they would not have to sacrifice as much of their daily habits and pleasures because they could not afford to partake in them. However, seniors were not the only individuals who experienced positive change because of this plan, so did the workers themselves. Employees felt a sense of safety and satisfaction when going about their lives since they knew that their financial future was more promising than bleak. With this plan, Pearson subdued most of the anxiety that workers would experience when contemplating their future by forcing them to constantly secure their own future. Thus, based on Lester B. Pearson’s contribution to the making of universal healthcare in Canada as well as the Canadian Pension Plan, it can be concluded that Pearson positively changed the health, mental and economic well-being of all

In Canada, there appears to be a publicly funded health care system whose main role is to help create healthier communities. However, how healthcare is being funded is very crucial to the Canadian system because they have been controversies over how health policy is dispersed between the levels of government. The Canadian health care system gives an advantage to those who have equitable access to necessary physician and hospital, without the ability for an individual to pay for services. This ideal is tremendously great because access and services are ensured to patients who have the same opportunity and medical conditions. This essay is going to explicate on how privatization will be detrimental to the health care system, and why publicly funded health care is the best criteria that should be associated with the Canadian system.

One of the most hotly debated topics in this year’s election is the municipal pension system. For years, it has gone without a cost of living adjustment, leaving former employees with less and less money each year.

These concerns were reinforced by the fact that many elderly Canadians were applying for public relief.” However, it was not until several provinces began complaining about the amounting cost of relief that lead to the federal old age pension scheme. “Guest (as sited in Chappell, 2006) the federal government made a commitment to assist the elderly and the old age pensions act was established in 1927.” All Canadians were entitled once they reach the age of seventy or older in contrast to today, one can retire at the age of 60-65. The Canadian government eventually shared the cost of relief with the provincial government. The old age pension act has been criticized because of the inadequate in benefit pay outs. According to Guest (as sited in Chappell, 2006) in 1951, the old age pension was replaced by two pension plans, Old Age Security and Old Age Assistance.” The Old Age Security provides universal benefits and was funded by the federal government while the Old Age Assistance was funded by the federal and provincial government and managed by the province. As Guest (1997) pointed out, The Canadian Pension plan and Quebec Pension Plan was introduced in 1965 which individuals could collect once they retired, however they had to have made contribution between the ages of eighteen to seventy years of their working life.

On 21 June 2008 your newspaper published an article about the notable Liberal MP Keith Martin. In this article, from Ottawa's Bureau Chief, Bruce Campion-Smith portrays question of whether or not Medicare should be opened to private services. I want to bring it to your kind attention that Medicare being opened to private services would not be the wisest decision for the citizens of Canada.

Canadians have been involved in a great controversy between the Americans over their ways of dealing with healthcare for many generations. The Canadians believe universal healthcare is best whereas the Americans believe that Private healthcare is what’s best. The easiest way to decipher who is most reasonable between these two faces of healthcare is to look at the Universal health care in Canada on its own, the Private healthcare in America, then an assessment to bring the two to opposed sides to a reasonable conclusion. Thus hopefully making a well-balanced decision.

Canada’s acceptance of the welfare state was brief however, and the economic downturn of the 1970’s, as well as right-wing campaigns calling for an end to social programs saw massive cuts to the social safety net so many Canadians depended on (p.46). It was believed that to combat economic stagnation and see a return to profits, many social programs must be eliminated. During the 1980’s and 1990’s government spending on social programs was drastically reduced, effectively dismantling much of the welfare state (another book).

Canada’s birth rates are below replacement levels and its population is aging, causing a significant drop in labour force growth over the long term. By 2030, nearly one out of every four Canadians will be 65 years or older. Moreover,

For pensions and post-retirement accounting methods to recognize the benefit costs, estimates and assumptions on future events ascertaining the timing and amount of benefits payments must be sought first. This paper seeks to compare and contrast the early historical accounting for pensions and post-retirement healthcare and life insurance benefits with the rules and guidance applied today in addition to the changes to such guidance and rules that would improve the accounting and reporting of such benefits depending on the business and political changes and as such, predict the effect of such changes on financial reporting and accounting practices.

Over the last two decades, opening the door to the private healthcare system in Canada has been subjected to a lot of arguments, both for and against, as election polls constantly rank the reform in health care system as the vast majority of voter’s number one concern [1]. Opponents of private system claim that in a market-based system, health care providers avoid accepting lower-income patients, and give the priority to well-insured patients who are in good overall health [2]. Moreover, they believe that private delivery of care would harm the public system, due to the diversion of financial and human resources from the public sector [3].Despite all arguments against private sector, and in support of public health system, the recent Commonwealth

Mandatory retirement has a long history in the Canadian labour market system. Retirement is a social institution which emerged in the industrialized revolution during the beginning of the 20th century (McDonald 2). The social policy was developed along with the introduction of private and public pension plans (McDaniel and Um 75). Until recently, mandatory retirement was allowed in all of Canada jurisdictions except for Manitoba and Quebec (Gomez and Gunderson 2). Mandatory retirement was most prominent for males and persons with higher education, better health, full-time work, lived in urban locations and has higher income (Gomez and Gunderson 4). Maximum age limits are used by employers to institute mandatory retirement policies and the maximum age limits are used by employers to govern mandatory retirement policies. These limits have been challenged under the Charter of Rights and Freedoms, which applies to all

9. How did the pension plan changes affect Harnischfeger’s financial statements in 1984? Are these changes likely to affect future profits?