As I was saying, this is an issue that is of great concern to me, to the Reform Party and to all Canadians.
This pension plan is indefensible even in good times when Ottawa vaults were overflowing and the public was feeling wonderfully generous toward its politicians. In bad times such as we experiencing now when many Canadians are suffering and the government is hard pressed to fund basic programs the MP pension plan amounts to little more than highway robbery.
When I say I know that Canadians truly do want the MP pension plan reformed, I am speaking from results of my constituency survey which I conducted in my riding of Edmonton-Strathcona in the spring of '94. The responses were overwhelmingly in favour of pension reform. When the constituents were asked the question at what age should an outgoing MP be able to collect a pension, 97 per cent of all respondents said that an outgoing or retiring MP should not be able to collect their pension until age 55.
Even more convincing is the fact that 75 per cent of my constituents think that an outgoing MP should not be able to collect his or her pension until after his or her 60th birthday.
A second question that was asked regarding MP pensions was after how many years should an MP serve before being eligible for a pension. The results again were staggering in favour of pension reform. A hundred per cent of respondents said that a minimum number of years should be no less than eight. Eighty-one per cent felt that the minimum number of years of service should be no less than 16. The answers to these questions are a far cry from the present situation which is in place today.
It is important to illustrate a few facts about MP pension plans, as it will clearly illustrate why pension reform is needed. First, pensions are payable immediately upon retirement after only six years of service no matter at what age an MP retires or is not re-elected.
Second, payments continue even if the ex-MP holds another government job which we refer to as double dipping. Third, pensions begin at $23,390 per year and increase 5 per cent per year of service to a maximum of 75 per cent of average salary. Fourth, inflation indexing kicks in after age 60 and finally, MPs pay 11 per cent of their base salary into the pension fund, the government matches this amount and covers shortfalls, an unfunded liability which cost the Canadian taxpayer nearly $160 million in 1992.
By no means is this list inclusive. These are, however, the few items that are of grave concern to me. I have stated in this House repeatedly that Reformers have come to Ottawa to make a difference and I think we have.
We also feel that one way to do this is to ensure constructive criticism and offer an alternative to the status quo of the government. I can honestly say that I am offering the Liberals an alternative to the status quo simply because they are doing absolutely nothing in terms of legislation reform regarding the issue of MP pensions or for that matter any issue.
This Liberal government seems stuck in the perennial rut of talk, talk, talk and discussion paper after discussion paper. The Liberals state in their red ink book: "A Liberal government will reform the pension plans of members of Parliament and put an end to double dipping". After 392 days in government I can see that this was truly an important commitment of the Liberals as we have seen absolutely no legislation and little or no talk about MP pension reform.
Obviously the current Prime Minister has forgotten about his challenge to the former Prime Minister in which he challenged her to recall Parliament if she were truly serious about pension reform: "reforms would pass in one day". The only time the Liberals speak on pension reforms is when they are responding to our questions. Even then all they do is respond with rhetoric and Liberal double talk.
I was right in saying the other day that Liberals are no different than their Conservative predecessors. They may even end up like them after the next election. In the meantime they are all talk and no action.
We on this side of the House know that this government is stalling on the issue of pension reform. Perhaps it is because the Liberals are concerned about having to take another Reform policy such as they have done in the past on issues such as the Young Offenders Act, parole reform, criminal justice reform, debt and deficit reform and let us not forget immigration. All this stalling is doing nothing but costing the taxpayer more and more every day.
We all know yesterday was, as the National Citizen's Coalition called it, national trough day as another group of 52 MPs of all political stripes became eligible for this outlandish and extravagant pension plan which could collectively amount to approximately $53 million if all of these MPs quit today and lived to the age of 75.
While the average citizen in Canada must work 35 years to accumulate a pension, the average MP must work six years. The gold plated MP pension plan should be renamed from pension plan to cash for life rip off of the Canadian taxpayer. This plan is perhaps one of the federal government's most offensive examples of government waste.
What strikes to the core of the issue is the fact that we as parliamentarians have to set an example for all Canadians and stalling on issues such as pension reform is no way to lead by example.
Because of time constraints I realize I cannot mention everyone who is presently sitting as an MP who is eligible for a pension. I believe that I have not only a duty but an obligation to point out a few of the more offensive potential payouts of certain members of this House.
The member for Winnipeg South Centre, initial benefit of over $59,000 annually, will have a total potential payout of over $2 million. The member for Glengarry-Prescott-Russell, initial benefit of $33,000 annually, will have a total potential payout of $2.1 million. The member for Hamilton East, initial benefit of almost $35,000 annually, will have a total potential payout of over $2.5 million. The member for Lac-Saint-Jean, initial benefit of over $26,000 annually, will have a total potential payout of almost $1 million.
Perhaps I have left the greatest sanctimonious display to that of the NDP, a party that claims to speak for the common man and social equality, while the total payout for the member for Saskatoon-Clark's Crossing will be approximately $1.2 million. The member for Winnipeg Transcona will have $3.4 million.
We could go on and on. Just when voters think that they have the final word it turns out that politicians had the last laugh.
Highlights of the 1993 election will illustrate the point. One hundred and thirty-four of the two hundred MPs who were defeated or resigned before the election had complied with the minimum six years of service necessary to qualify for a pension. We must stop this insanity today. We must reform the MP pension plan now.