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
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.
Miramichi federal payroll centre hiring
MIRAMICHI, N.B. — The federal government is hiring public servants for the new payroll centre opening in Miramichi, N.B. In February, almost 150 jobs opened up with many more to come over the next three years. “The establishment of a state of the art centre of excellence will commence immediately with a recruitment of 146 jobs in 2011, a further 190 jobs in 2012 and the balance of 207 positions in 2014,” said Miramichi Mayor Gerry Cormier. New hires will undergo a training program that will last about a year, said Cormier. The centre will process payroll for 300,000 public servants in 110 government departments.
Increasing minimum wage decreases employment: CFIB
TORONTO — The Canadian Federation of Independent Business (CFIB) has released a research report challenging the overall effectiveness of the minimum wage policy in Canada. Minimum Wage: Reframing the Debate concludes minimum wage increases tend to hurt the very people they are supposed to help. The report estimates a 10 per cent increase in the minimum wage across all provinces could cost up to 321,300 jobs. These jobs losses would take the form of hiring freezes, slower employment growth or direct job cuts during economic downturns. “At a time when the economy is in slow recovery, the last thing governments should be considering are policies that further hinder job creation,” said Marilyn Braun-Pollon, CFIB’s vice-president for Saskatchewan and co-author of the report. The report states minimum wage increases can significantly add to the payroll costs small firms are already forced to pay, leaving employers with no choice but to scale back. The report calls for governments to provide additional income tax relief and training opportunities to help low income earners, as opposed to increasing the minimum wage.
A Parti Quebecois government would seek control of EI
MONTREAL — The Parti Quebecois said it would seek control of employment insurance (EI) if it forms a government after the next provincial election. PQ Leader Pauline Marois said control of EI would be a valuable tool to develop Quebec’s regions. If the PQ is the next Quebec government, it would ask to have control of EI funds and reserve the right to opt out of the federal program once the money had been obtained, said Marois. The federal government has already given Quebec control over parental leave which set the precedent, she said. In an effort to help develop Quebec’s outlying regions, Marois said the plan would be flexible and tailored to individual areas across the province. The next provincial election can be held as late as December 2013.
New CPP/QPP online retirement tool
TORONTO — Sun Life Financial has launched a Canadian Pension Plan (CPP)/Quebec Pension Plan (QPP) calculator to help Canadians determine the ideal age to take their government pensions. Users answer questions related to demographic, salary and longevity and the answers are analyzed to generate the age response. Many employees don’t fully understand the retirement benefits they are eligible for in retirement and this tool can help them understand when they would be financial ready to retire. The calculator is available at www.myretirementcafe.ca
Employment insurance fraud
TORONTO — The RCMP has charged a Toronto man in a multi-million dollar employment insurance fraud case. In September 2010, Service Canada referred a case to the RCMP relating to falsified record of employment forms. The RCMP investigation determined about 700 people in the Greater Toronto Area received employment insurance benefits which could have resulted in a multi-million dollar fraud against the Government of Canada. Karunathirajah Wilson Singarayar, 38, was charged with fraud, forgery, uttering forged documents and falsifying employment records. The fraud is alleged to have been conducted at two Toronto businesses, Saranka Tex and Liansons, both owned by the accused. Investigators are working with Service Canada which is actively reassessing the fraudulent claims and focusing on loss recovery.
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.
Miramichi federal payroll centre hiring
MIRAMICHI, N.B. — The federal government is hiring public servants for the new payroll centre opening in Miramichi, N.B. In February, almost 150 jobs opened up with many more to come over the next three years. “The establishment of a state of the art centre of excellence will commence immediately with a recruitment of 146 jobs in 2011, a further 190 jobs in 2012 and the balance of 207 positions in 2014,” said Miramichi Mayor Gerry Cormier. New hires will undergo a training program that will last about a year, said Cormier. The centre will process payroll for 300,000 public servants in 110 government departments.
Increasing minimum wage decreases employment: CFIB
TORONTO — The Canadian Federation of Independent Business (CFIB) has released a research report challenging the overall effectiveness of the minimum wage policy in Canada. Minimum Wage: Reframing the Debate concludes minimum wage increases tend to hurt the very people they are supposed to help. The report estimates a 10 per cent increase in the minimum wage across all provinces could cost up to 321,300 jobs. These jobs losses would take the form of hiring freezes, slower employment growth or direct job cuts during economic downturns. “At a time when the economy is in slow recovery, the last thing governments should be considering are policies that further hinder job creation,” said Marilyn Braun-Pollon, CFIB’s vice-president for Saskatchewan and co-author of the report. The report states minimum wage increases can significantly add to the payroll costs small firms are already forced to pay, leaving employers with no choice but to scale back. The report calls for governments to provide additional income tax relief and training opportunities to help low income earners, as opposed to increasing the minimum wage.
A Parti Quebecois government would seek control of EI
MONTREAL — The Parti Quebecois said it would seek control of employment insurance (EI) if it forms a government after the next provincial election. PQ Leader Pauline Marois said control of EI would be a valuable tool to develop Quebec’s regions. If the PQ is the next Quebec government, it would ask to have control of EI funds and reserve the right to opt out of the federal program once the money had been obtained, said Marois. The federal government has already given Quebec control over parental leave which set the precedent, she said. In an effort to help develop Quebec’s outlying regions, Marois said the plan would be flexible and tailored to individual areas across the province. The next provincial election can be held as late as December 2013.
New CPP/QPP online retirement tool
TORONTO — Sun Life Financial has launched a Canadian Pension Plan (CPP)/Quebec Pension Plan (QPP) calculator to help Canadians determine the ideal age to take their government pensions. Users answer questions related to demographic, salary and longevity and the answers are analyzed to generate the age response. Many employees don’t fully understand the retirement benefits they are eligible for in retirement and this tool can help them understand when they would be financial ready to retire. The calculator is available at www.myretirementcafe.ca
Employment insurance fraud
TORONTO — The RCMP has charged a Toronto man in a multi-million dollar employment insurance fraud case. In September 2010, Service Canada referred a case to the RCMP relating to falsified record of employment forms. The RCMP investigation determined about 700 people in the Greater Toronto Area received employment insurance benefits which could have resulted in a multi-million dollar fraud against the Government of Canada. Karunathirajah Wilson Singarayar, 38, was charged with fraud, forgery, uttering forged documents and falsifying employment records. The fraud is alleged to have been conducted at two Toronto businesses, Saranka Tex and Liansons, both owned by the accused. Investigators are working with Service Canada which is actively reassessing the fraudulent claims and focusing on loss recovery.
