Canada PoliticsMP pensions could be on the chopping block
Canadians rejoice: gold-plated MP pensions may be reduced!
Senior government sources have told the National Post that the Harper government is considering cuts to MP and senator pensions as part of their deficit reduction budget this spring.
"The government is considering moves that could phase out lucrative defined benefit pension schemes for new hires in the public service and raise the age at which Canadians qualify for (old age security) from 65 to 67," notes the article.
"However, the Prime Minister knows that he cannot ask public servants and Canadian seniors to suffer austerity measures while MPs benefit from one of the most lavish pension plans in the country."
Much to the dismay of Canadians of all political stripes, Canada has an abundantly generous retirement package for its Members of Parliament and senators.
The latest numbers show that taxpayers pay $5.50 for every $1 that MPs and senators contributed to their pension plan.
Most private schemes, on the other hand, call on the employer to contribute $1 for every $1 added by the member.
The average annual pension for senators is $56,512 and for MPs $53,586. The benefits given to long-time MPs, however, are even more staggering.
As reported by the Toronto Star, former Bloc leader Gilles Duceppe, 63, who advocated for the destruction of Canada, is earning $140,765 per year, while former Toronto Liberal MP Joe Volpe, also 63, pulls in $120, 392 for his 23 years of service.
The 113 MPs who were defeated or did not run again in the May 2 election will collect $4.9 million in pension payments this year alone.
Ian Lee, a professor at Sprott Business School, put it best when describing pensions in Canada: "Presently there are three classes of Canadians concerning pensions," he told the National Post.
"First-class Canadians who receive MPs pensions; government-class Canadians, who get public service pensions, with retirement at 50 or 55; and cattle-class Canadians, who collect OAS at 65. Or, as Orwell said: 'All animals are equal, but some animals are more equal than others'."
