TORONTO (CP) — Salaries, pensions and bonuses at Ontario Power Generation are “significantly more generous” than for comparable positions in the civil service, and have a financial impact on the cost of electricity, Auditor General Bonnie Lysyk reported Tuesday.
OPG has cut staff by 8.5 per cent, but increased the size of “its highly paid executive and senior management group” by almost 60 per cent since 2005, creating `”a top heavy organization,” Lysyk said in her annual report.
“Earnings and benefits were significantly more generous at OPG than for comparable positions in the Ontario Public Service, and many of OPG's senior executives earned more than most deputy ministers,” she reported.
Incentive awards for OPG's non-unionized staff can be up to $1.3 million, and their top five executives will be eligible for pensions ranging from $180,000 to $760,000 a year.
OPG has contributed “disproportionately more” to its pension plan that its employees have, said Lysyk.
“The employer-employee contributions ratio at OPG has been around 4:1 or 5:1, significantly higher than that 1:1 ratio” in the public service, she said. “OPG is also solely responsible for financing its pension deficit, about $555 million in its latest actuarial valuation.”