PSHCP versus Ontario Drug Benefit Plan
FSNA’s National President wrote to the Premier of Ontario to protest against the proposal that would make the Ontario Drug Benefit Plan the second payer for Ontario pensioners’ members of the PSHCP. If this proposal is implemented, the pensioners’ expenses for prescription drugs will increase. As can be seen from the letter below to the Premier of Ontario, FSNA opposes this proposal vigorously.
November 3, 2006
Our Ref: 10446
The Honourable Dalton McGuinty
Premier of Ontario
Room 281, Legislative Building
Queen’s Park
Toronto, ON M7A 1A1
Dear Premier:
We have obtained a copy of the letter that was sent by the federal President of the Treasury Board to your Minister of Health and Long-Term Care and have read the newspaper articles relating to your government’s proposed changes to the Ontario Drug Benefit Plan affecting federal public service pensioners aged 65 and over. I am writing to express our profound dismay that the Government of Ontario intends to effectively cease coverage under the Ontario Drug Benefit Plan for federal pensioners who have drug coverage under the Public Service Health Care Plan (PSHCP).
The Federal Superannuates National Association, of which I am National President, defends the interests of federal pensioners in matters of pensions and benefits. Twenty-three of the Association’s eighty-five branches are in Ontario and each one of these branches will vehemently oppose and lobby against the proposed changes. The Association also represents all of the pensioner members in the governance of the Public Service Health Care Plan. These pensioners are wondering why the Ontario government intends to exclude them from the Ontario Drug Benefit Plan while pensioners in all other sectors of the Ontario economy will continue to be entitled to financial assistance under the Ontario Drug Benefit Plan. In effect, this would result in federal pensioners residing in Ontario having to shoulder a greater financial burden for coverage of prescription drugs as the costs of the PSHCP are shared between plan members and
their former employer. Pensioners feel this measure is discriminatory and, quite frankly, unacceptable.
Federal pensioners have contributed and continue to contribute to the Ontario economy and to the healthy financial situation of the Province of Ontario by paying their share of the Ontario income and other taxes, including the health surtaxes. While no one enjoys taxes, federal pensioners recognize that they are necessary. What they cannot accept is unfair treatment from the taxing government or inequality with their fellow citizens before the taxman.
In effect, the intended change of coverage for federal pensioners under the Ontario Drug Benefit Plan would constitute a special tax – for being federal pensioners – a tax not imposed on any other group of pensioners residing in Ontario. Further, as the average pension paid to federal pensioners is approximately $21,000 a year, this action by the Government of Ontario would not only constitute a tax without representation but a special tax imposed on a group that includes many economically vulnerable pensioners.
Mr. Premier, I hope that you and the Ontario Government will reconsider this proposal and restore the confidence that pensioners want to have in their governments and in equal and fair treatment under the law. As indicated above, the federal pensioners living in Ontario will not accept becoming “second-class citizens”.
I look forward to a favourable reply to these grave concerns of federal pensioners in Ontario. The members of our National Board of Directors from Ontario and I will be pleased to meet with you and/or your officials on this matter. There appears to be absolutely no rationale for this proposed action except to punish, for whatever reason, Ontarians who are receiving a pension from the federal public service.
Yours truly,
G. Dennis Jackson
National President
cc: The Honourable George Smitherman, M.P.P., Ontario Minister of Health and Long-Term Care
The Honourable John Baird, P.C., M.P., President of the Treasury Board of Canada
