I am sure they do. I am hearing from the opposite side that they do. What do they discuss? Surely Canadians in the Maritimes, Quebec, Ontario and the rest of Canada are not happy with the MP pension plan. I find it very hard to believe that only Reform constituents are concerned about this terrible injustice. How did this pension plan get so far out of control?
Bill C-85 suggests some changes to the existing MP pension plan, but are they really constructive changes? The purpose of Bill C-85 regarding contribution and benefit rates decreases the accrual rate from 5 per cent to 4 per cent. I understand the recommendation was 2 per cent. This is still double the rate of most private pension plans. It also lowers the rate at which individual members contribute to the plan from 11 per cent to 9 per cent. If Reform MPs opt out, as they plan to do, how will this plan be supported?
Bill C-85 proposes a very generous age for retirement, 55 years of age. I started a new career at 55. I am sure that with the hardships in today's society many other Canadians are having to look for new routes to follow as well. I believe 60 or 65 would be more appropriate to discuss as a future MP retirement age with a pension.
Bill C-85 eliminates double dipping, although we see benefits will continue to grow under generous inflation indexing provisions. I am concerned about the opting in clause, which requires that MPs who wish to be included in the plan indicate this within 60 days of the bill receiving royal assent, but further that those MPs can never get back into the plan.
Reformers are committed to reform, and reform means to change things that need to be changed. If Reformers stick with determination and commitment to work to change the way government legislation reads at this time and if they should be successful in finally bringing about a decent pension plan that is comparable to the private sector plans, then why would Reformers or anyone else disgusted with the present government abuse of taxpayers' dollars who had previously opted out of this plan not be entitled to receive a more decent pension plan?
I am not against pension plans. It is my firm belief that everyone who works is entitled to a decent pension plan, one that in this case should reflect that government is living within its means. Members of Parliament should receive pensions that are comparable to those that ordinary Canadians receive in the private sector and that meet all requirements for registration under the Income Tax Act. This bill clearly does not accomplish this. Reform has called for the government to bring their pensions down to private sector levels. Clearly they have failed to do this.
Reformers are average people, with families and mortgages. They would love to belong to a reasonable pension plan. These so-called reductions to the Liberals' pension plan barely make a dent in the cost to taxpayers. According to Treasury Board officials, most of the savings we will see are actually due to actuarial factors, not the government's changes.
Taxpayers are still paying over three and a half times as much as the individual members are for their pensions, with $3.50 from the government for every $1 for the Liberal contributor. The taxpayer's contribution is still too much. The only thing I like about the Liberals' pension scheme is that all MPs have a chance to opt out; in other words, to make a statement. They can tell the government to leave this money where it belongs: in the taxpayers' pockets. That is what all of the Reform MPs are doing.
Members in the House are in a very privileged position. As I have said before, not only do we make laws and budgets that affect all Canadians, we also set our own remuneration, our own salaries, our own pensions and our own perks. This is a responsibility not many people have, and one that must be protected from abuse. Herein lies the problem.
Perhaps the most disturbing part of all this is the government's attempt to hide just how generous their plan really is. They tell us in the public accounts how much each member spends maintaining their office or travelling and how much their salary is, but they will not tell us the cost of their pension. This information must be made readily available now and in the future. How else can the public judge the fairness of this scheme?
In an effort to skirt the issue of MPs' pensions in the next election, new MPs elected to the 36th Parliament will not be allowed to opt out. The Liberals do not seem to realize that until substantive reforms are made to this plan, likely by a Reform government, it will continue to be an election issue. The government professes to have brought down a tough budget. I do not think it was tough enough, certainly not in this area.
We cannot keep spending money we do not have. The interest payments are killing our jobs and our economy. Watching the government cut the benefits other Canadians get and raise taxes on necessities like gasoline and utilities, so far it appears the only thing the budget has been tough on are taxpayers' wallets. It is time to admit we cannot afford to pay millions of dollars in retirement benefits to politicians
I remind all members how privileged a position we hold. It is a position of trust. Not only do we make decisions that affect all Canadians, we also establish our own remuneration. Not many people have this power and responsibility. We must guard against its abuse.
The best protection against abuse would be the introduction of citizen based powers like initiative, referendum and recall. In the absence of these measures it is a pretty clear indication this power is being misused when 52 members feel they must opt out of the government's pension plan on principle.