Thank you for your question, Madam. I will be quick.
For the past 10 years, Quebec has had regulations on simplified pension plans, which are a mechanism for the pooling of funds, similar to registered pension plans. But, in this case, employers pay for half of the contribution. So it is legitimate for them to do so.
The PRPP paradox is that the employer, who does not put a cent into it, can choose the financial institution. So we can assume that the bank that already provides the line of credit has an unfair advantage. So we have to find a way for employees to make their voices heard.
Of course, every employee can opt out, but that goes against the initial objective of the legislation, which is to increase the actual savings rate for people. People have to be convinced that the financial institution was selected based on efficiency and cost, and that it is the best choice in terms of savings. This aspect of the bill is weak, especially since the regulations allow for incentives even though they seem not to. So there might be a conflict of interest. That is what should be defined.