News in brief: A look at news, facts and figures shaping the world of payroll professionals

Less administrative burden attractive feature of pooled pension • Miramichi federal payroll centre hiring • Increasing minimum wage decreases employment: CFIB • A Parti Quebecois government would seek control of EI • New CPP/QPP online retirement tool • Employment insurance fraud
|Canadian Payroll Reporter|Last Updated: 04/01/2011

Less administrative burden attractive feature of pooled pension

TORONTO —

Plan sponsors applaud the decreased administrative burden from the pooled registered pension plans (PRPPs), according to a survey by Morneau Shepell. Seventy-four per cent of the 79 organizations that participated in the survey were considering adopted the PRPP because it would allow them to place the administrative burden as well as the fiduciary liability onto a third party. Ninety per cent of respondents already sponsor a retirement plan. Lower operating costs were another attractive feature, with 23 per cent of respondents saying this was the PRPP’s main appeal. Considering drawbacks of the PRPP, 25 per cent of respondents said they were concerned with transition difficulties while others cited loss of employer control, branding difficulties and employees bearing too much risk.