Union wants higher CPP premiums

Firms without pensions should pay more: NUPGE
By Sarah Dobson
|Canadian HR Reporter|Last Updated: 11/29/2007

If employers are reluctant to offer a workplace pension plan, they should be forced to pay higher Canada Pension Plan (CPP) premiums. The extra money could then be used to pay higher CPP benefits at retirement to workers who do not have a private pension plan.

That’s according to the National Union of Public and General Employees (NUPGE) in Ottawa, which is launching a campaign to change the rules and spur employers to provide pensions.

“I don’t think anybody could argue that having a huge number of retirees existing on $15,000 a year is a good social objective and yet we have no organized incentive for employers to create new pension plans or expand the ones they’ve got,” said Larry Brown, national secretary-treasurer of NUPGE, representing 340,000 public- and private-sector workers.