In the 2011 budget, Ontario announced it is continuing the reform process s to modernize its pension policy framework and the province is playing a leading role in national discussions on improving the retirement income system.
Until these changes, Ontario’s pension legislation had not seen significant reform in decades, and there had been little discussion of the retirement income system as a whole at the national level. The government has responded to this lack of reform, and the impact of the recession on pension plans and plan members, with short- and long-term initiatives designed to improve retirement income security for Ontarians.
This comprehensive approach includes:
- reforming Ontario’s employment pension system in a manner that balances the interests of pensioners, pension plan members and plan sponsors;
- responding creatively to private-sector pension challenges in light of the economic downturn;
- supporting a modest, phased-in, fully funded enhancement to the Canada Pension Plan (CPP); and
- exploring innovative types of pension plans to improve workforce coverage cost effectively.