Giant in pension field short $31.9 billion

High interest rates and more retirees to blame for Ontario teachers' pension shortfall
||Last Updated: 04/20/2006

Despite a $14.1-billion return on investments, the Ontario Teachers' Pension Plan is facing a shortfall of $31.9 billion, up from $19.4 billion last year.

The plan administers the pensions of the province's 163,000 elementary and secondary school teachers and 101,000 retired teachers.

The CEO of the plan, Claude Lamoureux, is calling for benefit cuts and a hike in member contributions to prevent the shortfall from getting even worse.