Andi Balla|Dec 21, 2010
The subject of pension reform rarely makes its way to the top story on the national evening news. But it did happen this week, as the federal and provincial finance ministers met in a picturesque Rockies resort to figure out how to make sure Canadians save enough for retirement.
This is a big story for all Canadians because there is general agreement that something needs to be done, or many of today’s workers will have to give up a comfortable lifestyle once they retire. But it is also a big story for lawyers who will need to have a hands-on approach to the reform.
Yesterday, the ministers hammered out an agreement that will allow small companies and individuals to contribute to privately-run pools of money, in essence opening the defined-benefit pension options to a whole new group of people who were either self-employed or worked for companies that couldn’t afford to run a plan on their own. It’s important to note this is a voluntary option — which is favoured by the federal conservatives, Alberta, Quebec, and businesses that are small or medium in size.