There was no debate about the increases or media discussion. It is a fait accompli, taxpayers must ante up for the Protected Class! OMERS Pension funding shortfall
Finance Minister Dwight Duncan has killed a scheme to give Nortel retirees the right to have their $2.5 billion pension plan run by a private firm.
Ontario Finance Minister Dwight Duncan has officially put the kibosh on a controversial scheme to allow Nortel retirees to have their $2.5 billion pension plan run by a private company.
The provincial government, which has faced noisy protests at Queen’s Park by former workers at Nortel Networks Corp., had been concerned the move would be too risky.
“It is difficult for us to endorse an unproven financial sponsorship model which could put at risk the most vulnerable of the Nortel plan members, retirees, and other beneficiaries,” Duncan wrote in a letter to Nortel Retirees and Former Employees Protection Canada (NRPC).
Duncan also pointed out that the Ontario government added $500 million to the province's Pension Benefits Guarantee Fund last year, knowing about half of it would be needed to help Nortel workers. The fund guarantees pensions of up to $1,000 a month when companies close.