Editor: Finance Minister Wes Sheridan attempted to divert attention away from his provincial pension quagmire by informing the people of P.E.I. that he is pushing to have the CPP contributions in Canada raised. Experts forecast total assets of CPP were expected to grow from $127 billion at the end of 2009 to $275 billion by 2020, or 4.7 times annual expenditures. In 2050, only 29 per cent of investment income will be required to pay for benefits.
Only Conservatives and Liberals have run P.E.I. Both of these parties are responsible for P.E.I.’s pension mess. Instead of tackling the problem, both attempted to buy votes by hiring friends, paying high salaries and benefits and even awarding two years’ pension for each year worked to government appointed employees.
Both parties have pumped millions of taxpayers’ dollars into bolstering pension shortfalls. In 2012 Wes announced the Liberals were putting $230 million over 10 years into the plan and he assured us he was confident the markets would make up for the rest of the shortfall, even though markets were flat and economies were in decline.
Wes has changed his mind again, and now is going to put $500 million over the next 20 years into the government’s gold-plated pension plan, all taxpayers’ dollars. Liberals have raised government fees over 100 per cent, brought in the HST, indexes his union’s and MLA’s pensions, wants government fees and taxes indexed to the cost of living, but refuses to index personal income tax.
Wes invited unions to assist him in solving his pension woes, a conflict of interest. Most of us save for our own retirement, while those who work for the government will likely enjoy rich benefits at taxpayers’ expense.
Wes, Canada’s CPP is thriving so concentrate on your own mess. Your members have to pay for their own pensions, not P.E.I. taxpayers.
Gary A. O. MacKay,