2008: Worst year ever for pensions; Record OHS penalties in Alberta; Recession could end sooner, not later; layoffs, hiring freezes; Possible credit checks, fingerprinting
2008: Worst year ever for pensions
Toronto — Canadian pension plans suffered the worst year ever in 2008, as the value of assets plunged 15.9 per cent, according to RBC Dexia. The last two quarters of 2008 were particularly brutal, but the decline actually started in mid-2007. The previous low mark for pension performance came in 1974, when pension portfolios shrank 12.7 per cent. The firm said reliable pension data is only available back to the early 1960s. It’s tough to compare current figures to the Great Depression because back then pensions were uncommon and equity exposure would have been limited, said the firm.
Record OHS penalties in Alberta Edmonton — Alberta courts imposed a record $5 million in occupational health and safety fines against 22 companies in 2008. The penalties surpassed the $1.72 million levied against 12 companies in 2007. In 2007, 74 per cent of penalties were paid to safety organizations to provide training or to organizations that assist injured workers. In 2008, that proportion rose to 88 per cent, or nearly $4.5 million.
Recession could end sooner, not later Ottawa — Canada’s economy could start to turn around as early as 2010, according to the Bank of Canada. The country’s economic output will contract 4.8 per cent this quarter but rally to expand 3.8 per cent in 2010, predicted Bank of Canada Governor Mark Carney. This forecast is based mostly on a belief the hundreds of billions of dollars global governments are pumping into their countries will jump-start sputtering economies. While 2009 will probably be marked with bankruptcies and job losses, the recession that began in 2008 won’t last as long as the recessions of the early 1980s and early 1990s, said Carney.
Layoffs, hiring freezes Toronto — Nearly one-third of employers are planning layoffs in the face of the recession, according to a survey by HR consulting firm Hewitt Associates. The survey of 192 companies found 31 per cent are expecting layoffs, while 53 per cent are scaling back recruitment efforts and 47 per cent have put a stop to new hiring. Employee benefits are mostly safe, with 80 per cent of employers planning to leave medical, dental and disability benefits untouched, while some are even planning to expand benefits offerings.
Possible credit checks, fingerprinting
