Thank you.
I'm the president and chair of the CCRetirees organization for the non-represented salaried retirees of the former Chrysler Canada. As well, I'm the vice-president of the Canadian Federation of Pensioners.
The 23 member groups of the Canadian Federation of Pensioners total over 300,000 individuals, and with our alliances with CARP, CanAge and the National Pensioners Federation, we represent the voice of millions of Canadian pensioners.
The two decades of this century have been notable, with the carnage inflicted on pensioners and the ongoing lack of meaningful measures taken to protect the income security of those who have retired with a defined benefit pension.
In the press these pensions are often referred to as “guaranteed”. That would be news to those from Nortel, Sears and others, who have seen their retirement security eroded as they were left unprotected because of the legislative scheme.
Pensions are deferred wages, earned while working and payable upon retirement. The scope and the terms of the pensions are within the realm of the employer. No one forced the employer to make such arrangements.
Pensioners deserve the pension promised by their employer. Unlike others involved in bankruptcy, pensioners' loss is forever, as opposed to a note or a supplier credit from a contractor or plumber.
The responsibility to ensure pension protection falls upon the government. Pensioners have no control, input or approval over changes to their pensions. Several countries do a better job of protecting pensions than Canada—the United States, the United Kingdom and Germany come to mind—and somehow their economic activity continues.
There have been numerous consultations and submissions, including a request from the Canadian Federation of Pensioners, to study the best solution to ensuring full protection of pensioners in insolvency. To the best of my knowledge, there has been no response from government.
The current government touts its whole-of-government approach, issued after the latest consultations. This is the equivalent of rearranging deck chairs on the Titanic.
Bill C-253 represents the only credible solution on the table. This is a solution with zero cost to the taxpayer. There will be, and always has been, those who claim such measures would lead to more liquidations instead of restructuring. That Indalex was the law of the land and the business world continued indicates that this is just spin at best. Many of these opponents issued recent profit statements which belie the need to protect their interests at the expense of pensioners. Their assumption seems to imply that management would not alter its behaviour and treat seriously pension obligations and deficits.
Corporations make decisions and act within the law. The law enacted by government has generated ongoing hardship on pensioners and their families. It's your role to address the problems which have arisen from your legislative scheme. Please, no more studies, consultations or promises. A transition period is inevitable, but make sure it's not undue.
This is Seniors Month. Do something real, and do it now. Failure to act in a timely manner is the equivalent of senior financial abuse.
Please support and enact Bill C-253. Thank you.