Pension Increase for 2010
The Treasury Board has announced that the increase in indexing to be applied, on January 1, 2010, to public service, Canadian Forces, RCMP, and federally appointed judges’ pensions will be 0.5% (half of one per cent).
For more information on how these pension benefits are protected from inflation, click here.
November 12th, 2009 at 4:08 pm
The calculation of inflation needs a review. Is the government saying to us that our cost of living has only increased by one half of one percent? I would like to live where they live.
November 12th, 2009 at 5:36 pm
This has to be the lowest and most insulting pension increase we have ever received.
November 12th, 2009 at 7:34 pm
0.5% is absolutely absurd and totally unrealistic.
November 12th, 2009 at 9:19 pm
Telling us the cost of living has just gone up o.5 %, who are they kidding.
November 12th, 2009 at 9:20 pm
rediculas
November 13th, 2009 at 12:59 am
.5% is an absolute joke. I do not understand how the government always comes up with an absurdly low number. Yes, yes, I know it is great we have indexation but that doesn’t mean it serves it purpose if it is always below actual cost increase. Show me one thing that increased a mere half a percent. Food, hydro, property taxes, etc etc are things that we must pay. I can go without a car but I have to pay my property taxes which went up 10% in 2009 and are going up an additional 9% in 2010.
These increases are absolute Bull S**t!!!!
November 13th, 2009 at 1:02 am
I would like to know why FSNA is not setting up to the plate and representing us over the issue of unrealistic indexation values. These numbers are simply not true.
November 13th, 2009 at 2:38 am
There seems to be alot of discontent with pensions as a whole and the way they are handled. Also there is general negative consent in the way the goverment has directed the supluses out of these plans.
Complaining never accomplishes anything, positive action does. Perhaps it is time for the privitization of these plans to remove goverment control, access and influence. As well the UI program should also be reviewed since the same type of complaints focus around this plan and how the premiums paid seem to fade away into general revenues.
Where large amounts of funds are accumulated there will always exist the temtation to abuse these funds politically financialy or otherwise. These large amounts of money can influence and change policy at home and abroad and in financial markets.
If Canadians and pensioners feel strongly about this, then they need to take some responsibility for their Pension Plans (CPP included). Perhaps it is time to introduce legislation and lobby for policy change; after all it is our money and our future and in essence we are the goverment.
November 13th, 2009 at 7:34 am
Is this negotiated or directed?
Obviosly those involved don’t buy gas!
November 13th, 2009 at 9:12 am
0.5% is an insult. Were do they come up with the formula they use. Obviously it is not for our benifit but theirs. How can they tell us the cost of living went up 0.5% . They must think that all we do is drive around in big cars and buy only gas. My property taxes , food hydro, just to name a few went up a great deal more than o.5% . When will they use a formula that reflects a true picture of inflation based on regular everyday items that are reguired to live. I can choice not to own a car and buy gas but the other items are needed to live. In my opinon 0.5% is an insult
November 13th, 2009 at 9:32 am
Half a percent sounds ridiculous, but keep in mind that the formula used to calculate this remains the same as it has been for decades and is not affected by government policies, or politics. Those calling for privatization of the pension fund should pause and think about the fate of Nortel pensioners, or those at GM, and others…. Any takers?
November 13th, 2009 at 9:55 am
Unbelievable! Have any been to a grocery store lately, or seen the average property tax notice. Oh yes, I forgot, we have to pay for their excessive spending, don’t we. Words fail me.
November 13th, 2009 at 10:51 am
The following is taken directly from Stats Can’s info on the CPI (the basis for pension increase) for Sept ’09 ….
“Consumer prices were 0.9% lower in September than they were in September 2008, following a 12-month decline of 0.8% in August. The major contributor to the year-over-year decline in the Consumer Price Index (CPI) in September was energy products, as it has been for a number of months. Overall, in the 12 months to September, energy prices fell 18.7%.
Excluding energy, the CPI rose 1.3% between September 2008 and September 2009.”
So – we got .5% – gas went way down, other things went up. The previous posters seem to indicate that gas price should not be considered. When gas prices jack up the CPI by 3 or 4 percent, will they make the same argument ?
November 13th, 2009 at 11:04 am
I am an still employed member of FSNA and nearing retirement from my job with a crown corporation.
My former industry had a defined benefit plan which was changed to a defined contribution plan where the members have now seen a 20 to 30% drop in the value of their contributions.
I have followed the superannuation plan carefully since my employment with the cc 22 years ago; and believe me we are far better off than any other plans I have seen.
The 0.5% increase well not great is a genuine reflection of the way it is calculated.
This was explained in a previous edition of the FSNA newsletter.
Our group FSNA appears to pay very close attention to the calculation method.
Although the level is low, and I am sure disappointing to pensioners, it is accurate mathmatically.
What needs to be adjusted is the calculation method used to determine the CPI which would reflect more accurately the costs incurred by the citizens of Canada.
November 13th, 2009 at 3:33 pm
So! The correctly calculated 0.5% isn’t enough. I suggest those whiners who lament our superannuation plan take a deep breath and look around. I laud the fellow who reminded readers of the travails of the defined contribution plans of private industry; ie: Nortel and it’s destroyed pension plan. Perhaps the whiners, hand-wringers and sob sisters should seek the comfort of joining the “Peter Stoffer MP club which specializes in pension complaints against the government on behalf of who else but ……… Peter Stoffer MP, of course.
November 13th, 2009 at 3:51 pm
And to think that in our city of Ottawa, City Hall pencil pushers are toying with an municipal tax increase of around 7% (+) while a green box will add another $109 on my sewage collection tax.
Getting more and more to survive without having to have to beg a meal at the mission.
November 13th, 2009 at 6:45 pm
The calculation is correct and frankly, given the economy I am happy to get any increase at all. There are a lot of folks out there that get nothing and many more who are unemployed. This pension plan is probably the best in the country, and a lot of it is funded by the taxpayers of Canada, so I would hold your squawking! Read WD Terry’s comment who has hit the nail on the head. Over the past two years pensioners have benefitted from higher gas prices – as we will in the future as well.
November 13th, 2009 at 11:26 pm
Most everything we need goes up. Things we do not absolutely need go down. .5% is insulting.
November 13th, 2009 at 11:32 pm
In addition to the difficulty of confirming the calculation of the adjustment, this announcement is tough, especially when the economic downturn has affected personal net worths and income sources for those relying on investments set aside to supplement pension income.
For Veterans in Ontario, It will be tough again next year as, even if the adjustment climbs back to the 2.5% adjustment of last year, the new HST will more than eat up the benefit. And we still have to face the possibility of new taxes to pay off the increased government deficit.
For what it is worth, here are some websites if you want to confirm the method used to calculate the announced increase.
WEBSITES:
Monthly CPI Charts going back to 1995
http://www.bankofcanada.ca/en/cpi.html
Treasury Board Q & A re Inflation Protection of Pension
http://www.tbs-sct.gc.ca/hr-rh/bp-rasp/pensions/faq-eng.asp#q3
November 13th, 2009 at 11:43 pm
Maybe I am stupid
Just how can anyone figure out the we can live comfortably on an pension increase of .5% when every thing appears to increase double or even triple the cost of living.I was under the impression that we have a lot of money in the pension fund to be able to cover our pensions for years and not deplete any amount now stored in our fund(pension fund) .The past interest alone would keep us going
Am I right or wrong
November 14th, 2009 at 12:42 pm
Flip ya; double or nuthin’!!! What a “load”. Thank you Ottawa for your support for my 44 years as a government employee (military and civilian). Back-stabbing is in vogue.
November 14th, 2009 at 2:27 pm
If pensioners would make the effort to understood their pension plan the increase would have come as no surprise given the CPI numbers. It is frustrating to read the emotional negative comments. We have an excellent plan with a solid and known formula for calculating the annual increase.
November 14th, 2009 at 11:09 pm
They are all a bunch of incompetent jack*****! You just wait and see what these so called politicians receive as a raise when the time comes. Total injustice is what I call it and to think that we elect those bums.
November 15th, 2009 at 7:11 am
I’ll go against the grain here, take the .5% and say Thank-you. Why, because no matter how much the increase is every year, there are always piles of people complaining that its not enough. Just read the archives. The more people get, the more they want, just like a bunch of spoiled kids.
Maybe when we were making the really good salaries (and we were paid well compared to so many other Canadians) the whinners should have planned a little better for their retirement years. Instead of having that motor home parked in the back yard that got used once a year, that money should have gone in to paying off their homes. Or maybe at least some of that money could have been tucked away for their retirement instead of having been blown on all the toys and the good life that so many enjoyed instead of thinking about their futures.
This me, me I want, I want, I deserve, I deserve attitude is laughable. I could go on forever here from here on my soapbox but the whinners will never stop and simply be glad that they are still on this side of the grass and that they are getting a cheque every month. One that unless this country totally collapses will keep coming till the day we all croak. And even after that there are still cheques that are gonna be going to our survivors….and that is a heck of a lot more than so many other Canadians have and who would gladly take what we get and be happy.
But that of course is just me.
November 15th, 2009 at 12:09 pm
This would be easier to swallow if politicians used the same formula (CPI) for their pay hikes. Ambulance drivers in BC are on work to rule…I’ll wager they get more than a .5% increase.
November 16th, 2009 at 9:31 am
As a retired member of the armed forces and a Gulf War Vet I live in Kitchener and last election Redman and Telegdy where complaining about what where they going to do on such a little pention (Redman $52,000 Telegdy 72,000) per year I have a pention after 20 years of 1200 per month
THANK YOU VERY MUCH
As per normal it will put us in a taxe braket one above and they will take the .5% back plus
November 16th, 2009 at 12:55 pm
I was surprised at the tiny 0.5% increase. However, I have learned much more about the indexing rules and accept the fact that rules are rules. The ‘On Guard’ issue (Spring/09) states that ” According to the Supplementary Retirement Benefits Act (SRBA) the pension increase has to be based on a comparison of the 12 month average of the monthly CPI for the year just ended, to the 12 month average of the monthly CPI for the previous year. The SRBA specifies that this 12 month period is to be from Oct.1 to Sept.30.” The monthly average CPI index was 113.6 for 2008( Oct/07-Sept./08). I calculated from supplied data the monthly average CPI index to be 114.2 for 2009 (Oct/08-Sept/09). Doing the math does indeed give the 0.5% increase.
November 16th, 2009 at 5:07 pm
OAS included, I suspect. Now we make adjustments via the new and improved Harper Sales Tax (HST) and that would mean cat food time again for seniors. Oh well all those new appointed Senators with Duffy leading the parade will come to our rescue. oops forgot about new interest rates en route via that Flaherty fellow. OMG we are doomed.
November 16th, 2009 at 5:25 pm
Dear Me,
You must be an elected or ex member of parliament (100,000+after 8 years). Sure fits your attitude. The money I was paid in the forces, went to feed and clothe my family, not for motor homes, Green fees or fancy vacations.I find your arrogance very disturbing, and I challenge you to go to any Legion and express your insulting views. Many of us did not have enough left at the end of the year to bump up our RRSP’s. Instead, we spent it to put our kids through University or maybe even hockey school. I agree, .5% is an insult. But then again, they won’t b e able to claw back as much when I turn 65.
Signed
Hosed Again
November 17th, 2009 at 10:14 am
Dear Hosed Again
Respectfully, as a matter of fact I am not a politician or a retired one. Nor have I ever been asked not to return to any of the Legions that I been to on a regular basis of because of my attitude. But I have had many respectful and stimulating conversations with Legion members and others about the many benefits that we did and still enjoy that our fellow Canadians do not.
November 17th, 2009 at 11:19 am
Would everyone please remember that the 0.5% is not something that is “decided” by politicians and nobody is insulting us. It is a predetermined calculation that has been used for longer than I can remember and will be used for many years to come. The calculation is designed to increase our pensions to offset the effects of inflation, not to provide us with an arbitrary increase that we think we should have. I would love to get a 10% increase but that would be based on nothing substantive.
When I retired I knew how the increases would be calculated and I was ready for it. If you look at the projected rate of inflation for the coming year, get ready for another tiny increase next November.
November 17th, 2009 at 4:15 pm
Just for comparison I would submit the following.
I am fortunate enough to have two pensions; one Gov’t of Canada Superannuation and the other from a private company where I worked for 20 years following my retirement from government service.
My private industry pension is very similar to Superannuation in calculating benefits etc but has the big difference of not being indexed.
I have been totally retired for 10 years now. My government Superannuation has just about doubled since I retired due to indexing. My private industry pension has increased not one red cent.
Do the folks who have been posting their dissatisfaction with the 0.5% indexation seriously think I’m going to join them in their whining? I am totally content with my Superannuation, the way it is calculated and the way it is increased through indexation. Please count your blessings, folks!
November 17th, 2009 at 4:33 pm
Willthe balance of this indexing increase go to the Pension surplus Fund…. If it is ever resolved….
November 17th, 2009 at 6:42 pm
Hopefully FSNA staff have gone through the calculations to confirm that the 0.5% is indeed what is due.
Perhaps what needs to be questionned is how the sampling of price increases across Canada are conducted. Is an audit conducted of those who conduct the price surveys? Can FSNA staff shed light on this?
Surely, some of our FSNA members must have worked in the Superannuation Branch. Lets hear from them if there is an issue with the calculation or sampling of costs and prices that go into our pension increases.
If the calculations and the sampling are correct, then we are getting what we are due. And there is thus no grounds for complaint.
November 18th, 2009 at 8:50 am
Here is FSNA’s National Office reply to Rick L’s questions:
1. “hope that FSNA staff go through the calculations to confirm that the 0.5% is indeed what is due”
FSNA staff is fully aware of the method prescribed in the superannuation acts and regulations for the determination of the annual pension increase. As soon as the CPI for September 2009 was released by Statistics Canada, we were able to estimate that the indexation increase would be 0.5% for 2010. The announcement by Treasury Board confirmed our estimate.
2. How the sampling of price increases across Canada are conducted?
Pension increases for pensioners and their survivors are calculated each year using the full Consumer Price Index (CPI) data published by Statistics Canada, and not the “core rate”, which excludes fruit, vegetables, gasoline, fuel oil, natural gas, mortgage interest, intercity transportation, and tobacco products.
The CPI measures the retail prices of a “shopping basket” of about 300 goods and services including food, housing, transportation, clothing, energy, and recreation. The index is “weighted,” meaning that it gives greater importance to price changes for some products than others – more to housing, for example, than to entertainment – in an effort to reflect typical spending patterns. Increases in the CPI are also referred to as increases in the cost of living.
November 18th, 2009 at 10:33 pm
Once again I see a number of people complaining about this year’s pension increase and once again I feel compelled to counter their complaints by pointing out that not only do the majority of Canadians not have a Defined Benefit pension plan like ours, many don’t have a pension plan at all!
So “crd” thinks the plan should be privatized? Well, he or she should take a good look at what private pension plans are offering before they make that assertion. At least ours is guaranteed for life, while many private plans have gone belly-up and benefits have ceased to flow altogether. Even if they don’t, their benefits are often not indexed (see “Jayhawk”‘s comments if you don’t believe me).
The CPI method of calculating pension increases is completely transparent. As for me, I’ll just cut the cloth to fit if things get a little tight as the year progresses.
One final thing: “Me”, in my opinion has got it right. “Hosed Again” is the insulting one, both in pseudonym and attitude. My Dad was a tough old front-line veteran, a Legion member and a PSSA recipient. He sure wouldn’t have tolerated commentary like that from “Hosed Again”, at the Legion or anywhere else.
November 19th, 2009 at 11:16 am
At first I was disappointed to hear of the 0.5 percent increase. But lately, in Nova Scotia where I live, many NS workers have been settling for 1% increases. Many of us will get nothing by way of increase this year.
I now have a job that pays minimum wage, and here in NS, planned increases for these type jobs have been implemented over the last couple years. So I am getting regular increases.
My military pension is what I depend on for security. And when it is indexed next year, it will increase by about 30%.
Natural gas heats most of Ontaio’s population and plenty of Quebec too. Natural gas home heating bills are pretty low this year and last. So I think folks up there are doing ok on that front. Airfares are very reasonable too. But plenty of other stuff is very, very expensive now; compared to when I left the Canadian Army 15 years ago.
When I consider where I would be financially today, without the Superannuation, and the fact that it will be increasing for me at age 60, next year, I have to smile. Because nearly no other person I know around here can get by and do so little in the way of work, to live as well as I do.
The annual increases must have been designed in the beginning to augment the annual pensiion of us all, but not designed to totally protect us in a lifestyle that we adopted at the time of retirement.
I guess it would be nice if I got more, but I’m getting more than nothing. And if the folks who decide on how much we get are following the rules, why would I complain?
November 19th, 2009 at 5:04 pm
Surely it is beneath anyone reasonable thinking person to complain about our pension indexing formula. Thankfully the method of calculating pension indexing has been in effect for as long as it has existed. We are so fortunate to have “indexed pensions” considering that most other Canadians in the private sector do not. Let’s face it, no matter how long we served in the military, public sector etc. we were well compensated and enjoyed relative job security our entire careers. Suck it up and learn to live within your means!!
November 20th, 2009 at 12:27 am
Will bet when they vote on their raise they wont settle for no 0.5% you can bet your bottom dollar on that
November 20th, 2009 at 10:34 am
Lets be thankful that we are still receiving our pensions. There are pensioners out that do not get indexing or have self funded pensions. I think we should be thankful we received .5% it could have been a roll back. It’s not much but it is better than nothing.
November 20th, 2009 at 12:08 pm
One could see this coming as there hasn’t been an increase in OAS since October 2008…..the next step will be an increase in taxes….love these “Golden Years”…lol
November 22nd, 2009 at 3:01 am
When a person retires from the Public Servoce it is in their best interests to ascertain what will be coming to them by studying all the information available through the Dept. Human Resources branch you worked for and from the FSNA who has done a commendable job in protecting and fighting for benefits for the membership. If you did not know what the CPI means to you, then it is because you were not paying attention or were too bashful to ask questions. In the words of a very progressive First Nations Chief “If your life sucks … you suck!”
And … keep private enterprise the away from our pensions and the Canada Pension Plan … there are far too many crooked people living in the tropics who got their hooks into funds that were not properly protected.
November 22nd, 2009 at 1:16 pm
With the economy the way it is, I suppose we should be thankful that we pensioners are going to get any increase at all.
The only thing that bothers me is the obscene pay raises that some union members are getting, even public service unions. And, here in Ottawa, the raise given to the OCTranspo bus drivers plus the taxpayers are topping up the shortfall in the driver’s pension fund.
Maybe we need a union. Oh right, it’s the unions that are largely responsible for the mess the economy is in. I guess we don’t need another one to make thigs worse.
November 23rd, 2009 at 10:47 am
Relative to the pension increase and/or the lack thereof, and relative to comments made on this blog, and thinking about the emerging Wild Rose Party in Alberta, perhaps retirees should be thinking about establishing a “60+ political party and developing policies and processes for strategic voting clout. It’s unlikely that complaining about a pension increase is going to get much attention or action, but strategic planning by a “60+ Party” might get both proactive and reactive attention needed by the ever-increasing numbers in this country who are over 60.
November 23rd, 2009 at 11:58 pm
Well, I was a little disappointed and shocked that 0.5% is
all the Pensioners will be getting. But start being grateful,
and stop complaining because it is better than nothing.
And for those thinking our Pension Plan is not good,
smarten up because it is far far better than being
Private and losing money over 30%. I have family who
is going through just this thing, and believe me is pretty
worried.
So start counting your blessings for having this good
Pension Plan. And stop all this grumbling and complaining!
November 24th, 2009 at 2:31 pm
0.5% Rubbish! Maybe on Mars. The people who make these decisions do not live in the real world, they earn inflated salaries at taxpayer expense and could care less about the rest of us. Unfortunately it would make little difference to privatize, just look at the obscene amounts executives get in private companies.
November 24th, 2009 at 9:57 pm
0.5% just means a lot less consumers shopping. That should help the economy?
What really bugs me is the 36 years I was forced to pay EI knowing I would never be able to use it. Kind of like the Mafia dropping by your neighborhood business and insisting that you need insurance. You say no I don’t, but they say yes you do. They break your legs but the government breaks your back.
Then there is the clawback on Military and RCMP pensions when you draw CPP at age 65. And every Federal employee can have joy knowing our pension surplus money was used to pay down the national debt for every citizen in Canada.
The sad part is we have many young soldiers on the other side of the world risking their lives only to have this same treatment when they reach their golden years.
November 25th, 2009 at 1:25 am
Privatization would definately not be in our best interest.
I think the problem here is the calculation method needs re-evaluated. I believe the items used in calculating the increase should be items necessary to live. Housing, gas, fuel for heat, hydro, clothing, property taxes, and food; including fruits and vegetables. These are a few things that we all “must” have/pay. In addition it should be things that we must pay for each month. There is not point putting a car in the equation because most people don’t buy a car each month, and IMO a car is not a necessity.
I know FSNA can calculate the increase. What I would like to know is why they are not questioning the method. They appear to spend a lot of time and effort on court cases. Too you folks who are just happy to receive any increase I pitty you. This increase is suppose to keep our pensions consistant in terms of buying power and it is clear the current method is failing to do that.
If I don’t see FSNA get on this I’ll keep my membership fees; because I’m obviously going to need them.
November 25th, 2009 at 10:59 am
I liked what Carol Downie had to say in this Blog about the value of our pensions being protected.
Mine hasn’t been indexed yet. I can see how much less I can buy today, with what I have been getting for the last 15 years; my Superannuation began in 1993. My monthly cheque would buy quite a lot more back then, compared with now.
Lucky for me that the indexing will kick in for me in 2011.
Reading what Carol Downie got me thinking how much less my monthly cheque might pay for in 15 more years from now – if it wasn’t indexed at all.
November 25th, 2009 at 5:59 pm
This was to be expected since the inflation rate hardly budged all year.
November 25th, 2009 at 6:20 pm
This is utter BS for crying out loud. Will someone out there tell me just what can l buy for .5% increase in a pension. What did l spend over 24 years in the military for? Peanuts? l dont think so, l enjoyed my military life and if possible l would do it all again, but, alas l am too friggen old now. Thank you all you politital #@*holes in Ottawa, just for a change why dont you try living on what the poor people get to live on, its pathetic. l do believe that you couldn’t do it, at least not on our incomes, l sure would like to be able to give myself a substancial raise as you people do. Thanx for dick all.
November 25th, 2009 at 10:22 pm
Thank you for my Super Pension—-the roof over my head kept the rain out—-my stove cooked three fine meals for my family—-the clothes on my back were warm and clean—-had gas in my truck so I took a drive—-found a couple of dollars in my pocket when asked to help a childern foundation—-watched the Tronto Maple Leafs win their game on my nice colored TV—-my great big king size bed is warm and comfrotable—-thank you for a wonderful pension….yes, thank you!!!!
November 26th, 2009 at 1:30 pm
if prime minister trudeau was alive he would have completed my feelings on such a stupid inflation raise. fuddle duddle to the conservitives annual inflation raise.what country do they think they rule in.
November 26th, 2009 at 3:17 pm
How dumb and stupid do they think we are. These people on the treasury board should get their head out of the sand and take a reality check. .5% YUK.
November 26th, 2009 at 6:40 pm
What BS is this? Where do they get their figurs from? I guess these people don’t do any shopping or buy gas, etc..
Its time that FSNA step up to the plate and get something done to rectify this ridiculus action. >5% what a joke!!!
November 26th, 2009 at 10:52 pm
Quit using the GDP to calulate our increase and start using the actual cost of living increase
November 27th, 2009 at 1:32 pm
are they kidding! .05% what has gone up that much .it would be nice if things went up only .05% but very untrue. furnace oil,car insurance,house taxes,electricity is outrageous for 2 people living in a home,phone and cable and groceries two or three bags with no meat will cost you an easy $100.00 .but government officials sure help themselves to big raises and ever increasing pensions that are even greater than our working pays used to be.and most of then in these positions do absolutely nothing but sit and sit and eat big meals and have great tour even putting a package of gum on their expense accounts ..05% is nothing but a slap in the face .one year when i was working i received a raise in a beautiful engraved envelope just like a wedding invitation.after 7 years they offered us 1% .i guess it is still the same old saying the rich gets rich and the poor stay down. someone has to get in there and fight for US.
November 27th, 2009 at 4:12 pm
Rent increases in Ontario for 2010 are 2.1% and now we get a one half of one percent increase in our pension! This is definitely rubbish. I have just written to our local MP and the Prime Minister to let them know that we understand the formula, but that does not make the terrible increase justifiable. I also told them both that we will, as pensioners, vote with this slap in the face in mind when the next election occurs. They may be riding high in the voting poles right now; but we Conservative voters may just stay home next time we are asked for support.
November 27th, 2009 at 11:21 pm
First thanks to Bernard Dussault of FSNA for replying to my question of Nov 18th re FSNA’s monitoring of the indexation. We are indeed getting the indexation we are due and the CPI calculation is correct.
For those FSNA members who have friends in the private sector – and most Canadians work in that sector – the attitude towards public servants pensions is that we have the best of the best – our pensions are the “gold-standard”, provincially and federally -for military, RCMP etc. And this is indeed true.
So many in the private sector have no pension or a non-indexed pension. Ask the self-employed how good their pension looks and you’ll get an ear-full. Ask someone who has worked for a major corporation – you’ll soon hear about the good life in the non-governmental sector. If it came to a public “vote”, public servants could lose their “gold-plated” pensions.
But THANKFULLY OUR PENSIONS HAVE NOTHING TO DO with any political parties in power or not (whether conservative, liberal, NDP or Block), nor by public sentiment, nor by public referendums. Although some FSNA members seem to think more is due to them, our pensions are indexed nationally, not locally. Combined with our medical and dental plans, and for those who worked the full number of years, there is an excellent retirement package.
Those who worked fewer years than the full 35 can only expect a relative portion of a full pension. Those who chose to live in high cost areas also made a choice. Those whose income was not high during their working years cannot expect to have a better income in retirement.
For those FSNA members who have not, chose not to, or were not able to prepare for retirement – it is unfortunate. Don’t blame the pension plan or the government.
November 28th, 2009 at 11:05 am
There are 2 sides to every story and anyone can drum up statistics to back up their point of view. The reality is that it now costs more to live. One example is insurance companies are re-evaluating how they bill consumers and the increase is surely higher than 0.5% & I understand this will be phased in over the next couple of years. In Ontario the HST will increase the cost of home heating along with other consumer services way above 0.5%; it will cost everyone more to heat our homes or apartments, then add in the 2.1% allowed rent increase in Ontario and it spells trouble.
It’s obvious there is a need for FSNA to fight for retirees for a more accurate method of calculation of our annual pension indexation based on the CPI.
Giving pensioners an accurate increase will not help those without jobs, but it will allow us to continue to made affordable donations to help those in our communities in need such as the food banks, clothing for kids, the Salvation Army annual kettle, our local financial institution who collects donations for member familes in financial distress. The list of those in need is significant and it’s important people can afford to continue to share with others and not end up in financial distress outselves.
November 28th, 2009 at 2:15 pm
I am living on a widow’s pension, which was already greatly reduced from day one. My equalized power bill alone takes up 25% of my pension, and I am trying to keep both a house and a car going, as I live in a rural area which has been home to me my whole live. This increase will give me an extra $5.00 per month. You be the judge.
November 30th, 2009 at 1:17 am
I told my children that I am glad I am going to die soon .. the world seems to be getting over populated with stupidity .. bitch bitch bitch .. positive thinking and doing something about your concerns instead of just crabbing about them would be a good start .. get on the board of directors of your local FSNA and work towards improving things under the current environment we live in would be anothe eye-opener for you people who have nothing better to do than bitch bitch bitch … jeez .. trouble is my genes show I will likely live for another 30 or so years and have to put up with the ever increasing stupidity of people who live to complain and will not get off their butts to do something about it … If life is so tough .. try the alternative!!! Please ..
November 30th, 2009 at 12:34 pm
Ridiculous.And the FSNA, instead of wasting money on the appeal of the clawback, which we will lose, and that is a certainty, we should be going after the Government for a larger increase.
Does anyone in the Directorship really think the government would give back 30 billion dollars, if so I have two bridges for sale.
November 30th, 2009 at 1:57 pm
I am simply frabergasted that the FSNA does not step up to the plate and demand a review of the system which doles out the pidley amount. It would be great if they could give us the amount that was charged when we had to pay extra during working years to ensure that indexing would be applied. 0.5% is absolutely disgraceful and insulting to those of us who have had to support the greedy government officials. This is a great way to repay us. The politicians should be made to live on the amounts that they force us to live on and on which we have not recourse. FSNA, go after a better deal.
November 30th, 2009 at 2:42 pm
I would like to take my increase, split it 5 ways(including the Greens) and then maybe these”leaders” will realize what an insult to all Canadians this increase is. It makes no difference if the FSNA or any other similiar association decides to fight this insult, the “key players” hold all the cards and they make the calls
November 30th, 2009 at 9:19 pm
I just received my copy of “ON GUARD” which did not have info on the pension increase for 2010. It did refer me to the website to find out the increase. I was somewhat surprised by the 0.5% increase but only because I was use to figures around 2 – 3%.
Like most of the positive commentators I read here I cannot complain about my pension plan. since retiring 15 years ago I have received approx. 28% in pension increases to date. I have friends who retired from the prov govt around the same time and they have received “ZIP”. absolutely nothing. We are very lucky to have such a good pension plan and one year low increase should not cause such negative comments. At least we have indexing and we have FSNA to thank for ensuring that it will continue in the future. My only concern with my pension relates to the fact that it will be reduced by 50% when I pass on and then my wife will have much less to live on while costs will go up. I agree with “ME’S” comment on 15 Nov. Well said , you and me share the same views only you said it better.
November 30th, 2009 at 9:35 pm
Given the turmoil in the economies of most countries, including our own, over the past two years I am surprised that the calculation resulted in any increase for this year. While .5% is modest it is a better than many Canadians will receive. As the economy improves, and prices of some of the index items recover, the CPI will increase and so will the pension adjustment in future years.
If there is a problem with the system it is, in my opinion, with the formula for calculating the CPI. Is it still relevant? Does it really reflect the average consumer’s basket of goods and services? Maybe this is worth looking at by FSNA and other groups who advocate foro seniors/penshioners
December 1st, 2009 at 10:58 am
Considering all the a/m comments; while I think 0.5% is rather low – it IS better than nothing or a reduction. Those of us who are fortunate enough to have a military pension; and old enough to get CPP and OAS are not really in the poorhouse.
Mybe I can’t do all the things I would like to do; or once wanted to do; but so far I can afford the house, the food, the car, and a few extras – I just don’t have the stamina for all the rest that I had 50 years ago.
At least our pensions are not subject to private manipulations.
Take it and be thankful.
December 1st, 2009 at 11:31 am
This is the same Government who advised us last year that the rampant inflation of the September ’08 to end of December ’08 quarter would be accurately reflected in our indexing calculation for the fiscal Pension period ending the end of August ’09. It looks like they are counting on we Pensioners having a short termed memory ,,,
I do hope all Canadains, not just those of us fortunate enough to be federal retirees remember these folks when we get to the Federal polls again.
We’ve had a long enough period to tolerate a Conservative Government, and they have lived up to their billing, as they did with Mulroney and with Diefenbacker,,, time to vote them into another 10 to 15 years of the back benches in Parliament
December 1st, 2009 at 1:35 pm
Public Service Employees were required to pay a certain amount to the Supplementary Retirement Benefit Account (SRBA) to ensure that our Superannuation Pension would be indexed in the future. It is not a “gift”, it is an entitlement. This has proven to be beneficial to any retired person in the past and will do so in the future. The calculation is based on a formula that is being used in good or bad years according to the Consumer Price Index (CPI).
I recommend that all the negative respondents read the facts before complaining.
PS. Most would also benefit to learn proper English spelling.
December 1st, 2009 at 1:38 pm
I am not a party supporter I generally vote for the person I want to represent me in govt. I can’t say I’m unhappy with this Conservative Govt. since they came in power they have reduced personal income taxes, increased exemptions for seniors, reduced the GST by 2%, and in my case the pension income splitting has reduced my personal income taxes substantially primarily because we are a one pension income family . I don’t recall any of the other parties advocating this in the last election, I’m not sure if the Conservatives even used it as part of their election promises but they implemented it anyway. So I am willing to give them more time in office for that alone. For those who might say they are buying my vote, I say, I’m surely not the only one so bring more tax saving programs and you have me for life.
December 2nd, 2009 at 6:53 pm
i am grateful and thankful for my civil service pension, when i
consider my friends who have worked in corporation that do not
have a pension plan,when i turn 65 i know there will be a clawback due to my cpp and oas, but i have been planning for this since i left the public service. i will also receive a small pension from my present employer which will help to offset my
living expenses. i know i will have to travel less but thank god
i lived long enough to enjoy over 12 years of my government
pension so far, let us be thankful and stop the gripping.
December 3rd, 2009 at 12:42 pm
I also receive a pension from the Ontario government and their c-o-i is also .5%////however, my daughter’s increase from the Ontario Disability Support Program is 2%!….Go Figure….these increases to pensioners also will probably mean similar increases to CPP and OAS….we’ll see….however, all in all not too dissappointed since my Hydro was recently reduced from $250 a month to $203 and my gas bill from $250 to $214…and the Town of Markham has unanimously voted to once again hold municipal tax increase to 0% for the second year running..but its private enterprise that takes the cake….my snow removal service has increased its price 21% in the last two years….I am grateful I can still afford it.
December 3rd, 2009 at 1:47 pm
I know that I am fortunate to have a pension but I worked for 30 years to get it, but why do we have to settle for a measley 0.5% when all MMP’s,our Senate and all BIG Shots higher up can get the BIG BUCKS, BIG SEVERANCES and what ever, but all seniors, and, people who just receive only the mere basics receive SQUAT. Most retires feel that this indexing is just not quite fair.
December 3rd, 2009 at 3:24 pm
Is this a joke? I do not find it funny at all. How can we survive with this?
December 4th, 2009 at 7:39 am
When the MP’s etc. salaries go up by as much as the inflation rate. I WILL BECOME A BELIEVER IN THE PUBLISHED RATE OF INFLATION.
Not only is this risible, it is an insult to the intelligence of persons who have worked hard all their life expecting to retire and not have to worry whether they have to choose between a beer or a loaf of bread at the end of the month.
December 4th, 2009 at 10:46 am
.5% increase is absolutely ridiculous!!
The cost of living in Newfoundland is gone up at least 10%..
December 4th, 2009 at 4:48 pm
David Gourley Says:
November 30th, 2009 at 12:34 pm
Ridiculous.And the FSNA, instead of wasting money on the appeal of the clawback, which we will lose, and that is a certainty, we should be going after the Government for a larger increase.
Does anyone in the Directorship really think the government would give back 30 billion dollars, if so I have two bridges for sale.
Well said Mr. Gourley. I could not agree more with you. Come on FSNA get with those you represent and stop going through these foolish court cases.
December 4th, 2009 at 9:04 pm
Unless the MPs, Senators, Cabinets and the PM restrict their annual increase in 2010 to .5%, I believe it is time to collectively demonstrate and soon! I would be more than willing to stand in minus zero degrees in full view of the media to show that public servants who have served their country through times of wage freeze and small increases will NOT accept an insult to our intelligence, a denial of the realistic cost of living and an affront to our loyal service with this insufficient increase.
December 4th, 2009 at 9:07 pm
It’s clearly time to demonstrate in full view of the media to show that retired loyal public servants who have worked through times of wage freeze and small salary increases will NOT NOW accept .5% which denies the realistic cost of living increase.
I am more than willing to stand in minus zero temperatures with fellow dissatisfied retirees, and soon!
December 4th, 2009 at 10:18 pm
What the hell? My water rate is increasing 7%, sewer 8% and they are talking about a prperty tax increase of 5.5%. McGuinty is going to bring in the HST which is going to kick my butt. Oh well that extra 0.5% will save me (not). I am insulted and angry.
December 4th, 2009 at 10:36 pm
I still have friends working for the government. they recently got an increase of just over 2% and thought they were being hard done by. Finally after many years most of them have a liveable wage. However when they hear of the crummy increases the govenment gives to retirees – they may elect not to retire. There are lots of plans to allow public servants to work part time while still earning a decent salary and full pensionable time.
December 5th, 2009 at 10:30 pm
While 0.5% looks (and is) small, we are all fortunate to have a pension which ensures a guaranteed cash flow. This is especially true in an era of low intrest rates for all execpt the high risk bonds and an equity market that can substantially lower the value of your investments without notice. One has only to try to buy our guaranteed monthly income through an insurance company to see how much it would take to buy our pensions. This of course is without inflation increases which would cost much more. So I suggest we try to live with this for a while. It is almost certain that inflation will eventually return and with it higher annual increases.
December 6th, 2009 at 4:56 pm
Depending on what you buy, the 0.5% index increase may be sufficient. But not if it includes food. We are hostage to marketing boards for dairy and meat – they don’t limit their price rises to 0.5% annually. And here in Ottawa the city feels we will be grateful if our municipal taxes (already among the highest in Canada) rise by “only” 5%.
Let’s not forget too that we have for many years paid for our pension indexing by an extra levy of 1.5% on our salaries. A lot of that pension “surplus” was our money to begin with; I hope we win our court case.
December 6th, 2009 at 6:58 pm
If you take the time to do a little research you will find that 0.5% is better than some countries and some corporations are providing. Britain is not increasing government pensions in 2010 for example. Be thankful you have a government pension which provides a modest increase in good times and no reduction when times are tough. Most defined benefit plans are being phased out , so if you have a defined benefit plan you should be grateful for every day that you draw breath.
December 7th, 2009 at 8:22 am
Why any of us bitch and complain is human nature, but we forget to take a look at who is to blame for the mess one finds themself in when it comes to paying bills. (look in the mirror)
Fancy cars, big houses and eating or partying like there is no end to money has to come to and end.
It has become time in Ontario anyway for one to step back and decide where you want to be down the road.
So we get no increase or very little, cut back and buy what you need not what your mind thinks you need. Become like your Gov. and be cheap, food banks just let your elected out of a responsbility. We have to quit spending period. We are fighting a war that to me is unwinable when that money could be spent here to help our own. My saying is CHARITY STARTS AT HOME.
I follow that rule.
December 7th, 2009 at 10:39 pm
I know we’re lucky to have a COL increase, BUT we paid for it up front.FSNA seems to do a lot of talking about advocacy and numerous other subjects, to fill the paper,now how about doing some real work , like twisting the tail of the Federal “FAR OUT” number crunchers and drag them back to the real world. Thats what we’re paying dues for, REPRESENTATION.
December 8th, 2009 at 12:50 pm
If the government thinks this is a just increase then no wonder our justice system is in such bad shape. why work for 35 years? welfare would be better. no need to worry about increases in power or rent government takes care of it. GORDON I WORKED FOR 35 YEARS IF I CANT GET A NEW CAR EVERY 3 YEARS OR STAY IN MY HOUSE THEN THE PREVIOUS STATEMENT IS VALID’hey u dont mind paying thes politicans the big handouts because for the work SOME of them do thats what is amounts to
December 8th, 2009 at 3:37 pm
Doug, as long as you can afford the car and house, fine but the ones that cannot afford it and have all the perks then bitch they do not have enough money are the ones I was talking about.
SORRY I did not vote for any party that has been in power the last few years. This Country is in bad shape but no one really wants to admit it or take the blame.
So some time some place the bottom will fall out of many things and maybe we will all end up on welfare, sounding pretty good in Ontario if one believes what is printed in the news.
December 10th, 2009 at 11:41 am
FSNA has to work to get those of us who do not have $250K pensions a fairer deal – a flat amount – i.e. $75 a month (900 a year which is what the increase in utilities, transportation and food costs usually amount to). Percentage increases only favour the wealthy. I now look forward to my $25 a month increase – CPP, OAS. Pension and Survivor. At least it will cover a couple of meals so I will still be able to eat. The Auditor General is right – our pension schemes are a disgrace. It will be interesting to find out how many more people die because of malnutrition. Oh well, the current government won’t worry – one less non-conservative voter!
December 10th, 2009 at 2:59 pm
I have to agree with those who have commented that we should simply take the 0.5% and quit griping. Most eople in the private sector would envy our pensions. Let us not reinforce their jealousy, which recent articles in MacLean’s will likely stoke – and posibly encourage some politiicans to advocate taking a hard line with avtive and retired civil servants. In a recession, we too should expect to tighten our belts. Sure, we aare not to blame for it, but neither are the vast majority of those who have lost their jobs.
December 10th, 2009 at 6:17 pm
I just checked the Bank of Canada website and their Inflation Calculator http://www.bankofcanada.ca/en/rates/inflation_calc.html
and it says the rate of inflation from October 2008 to October 2009 was 0.09%
Similarly, on another page http://www.bankofcanada.ca/en/cpi.html
it would appear it depends on what CPI or CPI variant is used. Excluding volatile elements such as energy yield CPI index changes of over 1 % per month.
Is the TOtal CPI Index being used to index our pensins?
December 15th, 2009 at 8:08 pm
I wish the powers that be (Treasury Board) would select a realistic method of caculating our annual percentage increases. Obviously whoever sets the percentage does not have to worry about every day living expenses and is not near retirement.
0.5 is a ludicrous amount! Look at the rest of society…those still working. If they were offered an amount like this, they would balk until a reasonable offer was made. We have no such choice. To those who agree with this increase as I read in previous comments, why should retirees set an example of frugality?
December 16th, 2009 at 4:01 pm
Today I thought about checking what the Pension increace will be for 2010.
When I saw 0.5%, I was sure I had the wrong web-site. I wanted to look somewhere else. The CPI where I live doesn’t justify this insult.
December 18th, 2009 at 6:21 pm
(Correction) The indexing formula is quite simple and is not negotiated each year. The average Canada CPI (rounded to one decimal) is divided by the average (rounded to one decimal) for the previous year, and the result is rounded to the nearest 1/10 of 1 percent. The 12-month periods used in the average are October to September. It looks like next year’s will be even smaller.
December 20th, 2009 at 2:29 pm
How do they expect us to be happy with this – how are we suppose to survive on this when everything is else is going up. In Ontario our provincial government has increased our cost of living by 8% with the HST staring in July.
When I firdt read the notice I had to reread it and even cleaned my glasses to ensure I read right.
It’s ashame that Treaury Board does not treat it’s pensioners with respect. This increase is an insult.
December 23rd, 2009 at 4:07 pm
If you check the Old Age Security page, you will also find that there is no increase to OAS. As of January 2010 it will be exactly the same as it has been since Oct. 2008 when it was increased from $505.83 to $516.96. That’s over a year with no increase for seniors who are struggling to survive.
December 24th, 2009 at 4:32 pm
Here’s the story about the OAS indexing. I found it at
http://www.rhdcc-hrsdc.gc.ca/eng/corporate/facts/seniors.shtml
Old Age Security benefits, consisting of the the basic pension, the Guaranteed Income Supplement (GIS) and the Allowances, are revised quarterly, in January, April, July and October, using the CPI for the previous quarter. OAS benefits will remain unchanged for the quarter beginning January 1, 2010, because there has been no increase in the CPI over the last quarter. As of January 1, 2010, the maximum basic OAS pension, paid to people 65 years of age and over, will remain unchanged at $516.96 per month. OAS benefit rates have remained unchanged since October 2008 as there have been no increases to the CPI.
December 26th, 2009 at 11:41 am
And these people continue to be elected into office. When are we going to wake up?
December 26th, 2009 at 6:01 pm
Due to unprecidented increase to my cost of living in BC this year I will have to cancel my FNSA membershuip in an effort to try and make ends meet in light of the insignificant raise (0.5%) to my PSSA penson for 2010.
In 2010 BC pensioners are faced with an increase of 6.0% to BC Medical premiums, a 7.0% increase to many purchases due to conversion to the dreaded HST, continued increases to the BC Carbon Tax, the imposition of Tolls to many of our bridges and roads and a general increase to the cost of Transit Fares. In addition I am facing a reduction in my PSSA as I turn 65 this year and my pension will be reduced by an amount greater than the amount I will receive from OAS. As you can see I am in a very precarious position and will have to cut back in any way I can find to help.
December 28th, 2009 at 3:01 pm
Why is it that a lot of pensioners are crying about the .5% rise in their pensions. It is not the fault of the Feds that BC or Sask or some other province has put up your taxes etc. As mentioned above those pensioners who are not a part of the Federal pension plan are, like my brother in law pensioned off from Abitibi PRICE IS FACING A 25% CUT IN HIS PENSION AND IF HE DIES HIS WIFE RECEIVES NOTHING. NOW THOSE FOLKS HAVE A GRIPE, WE DON’T, SO QUIT CRYING.
December 31st, 2009 at 3:49 pm
I am a snowbird and live in Florida for the winter. Word here is that Americans are getting a ZERO percent increase for 2010 and 2011. There! Now doesn’t a .5% increase seem a bit better.
December 31st, 2009 at 8:58 pm
Check out the Royal Canadian Legion Dominion Command website…this should be the link…cut and paste it into your browser. See what the 2010 rates are that are shown there that have not been spoken about by the Feds but will be effective as of tomorrow morning.
http://www.legion.ca/ServiceBureau/RateCharts_e.cfm
I doubt though that there is anyone here who is going to argue that those individuals don’t deserve the increase they are getting, cause I say if anyone derserves it, they sure do.
ME.
January 1st, 2010 at 1:08 pm
Found this at the bottom @ http://legion.ca/_PDF/SBureau/Rates2010_DisabilityPension.pdf
Quote: All rates shown above include a 3.2595% supplement effective January 1, 2010, based on the consumer price index, in accordance with section 75 of the Pension Act. Unquote
Consumer price index is different for those on a disability pension? What’s wrong with this picture…
January 2nd, 2010 at 8:14 am
I guess this is the reason why pensioners end up having to go back to work after they retire. Our property taxes alone increased by more than 10% in 2009.
January 3rd, 2010 at 2:55 am
There is nothing wrong with that 3.2595% increase, nothing at all. It was and had always been done according to the rules that are in place.
That increase for those individuals is not only based on the consumer price index. There is more to it and how that increase is calculated. It is based on a combination of things, including what is shown in part (b). Here is Section 75, copied and pasted from the Pension Act as it is shown on the Dept Of Justice site.
Annual adjustment of basic pension
75. (1) The basic pension shall be adjusted annually in the manner prescribed by regulation of the Governor in Council, so that the basic pension payable for a month in the following calendar year is the greater of
(a) an amount equal to the product obtained by multiplying
(i) the basic pension that would have been payable for that month if no adjustment had been made under this Part with respect to that following year,
by
(ii) the ratio that the Consumer Price Index for the first adjustment year that relates to that following year bears to the Consumer Price Index for the second adjustment year that relates to that following year, and
(b) an amount equal to one twelfth of the average annual gross composite wage, as of the thirty-first day of October of the year in which the adjustment is made, of categories of unskilled members of the federal public administration designated by the Minister, minus income tax for a single person calculated in the province with the lowest combined provincial and federal income tax rate.
ME.
January 4th, 2010 at 6:59 pm
I’m happy with any increase above zero, which is exactly what most of my retired friends receive annually. So the whiners should put a cork in it. If you’re really insulted, then ‘refuse’ it and give that amount to charity–there are lots of people worse off who could use it.
January 5th, 2010 at 4:00 pm
My husband has an OMERS defined benefit plan and the COL is .37%. So our federal superannuation increase is not out of line with other major defined benefit plans. I agree with those who suggest we are very fortunate (though indeed we did pay for it) to have a solid source of income in our retirement.
January 8th, 2010 at 10:39 am
While there are many good comments regarding the .5% increase for 2010 I’m not sure everyone knows the calculation’s used only goes to the end of September of each year.
October, November and December aren’t used until next years calculation’s for the following years increases.
As I wrote to public works regarding this method of calculating our pension increase’s, it leaves off the most expensive part of the year due to the usual rise in energy cost’s at this time of year.
By using this method our pensions will never catch up to the actual cost of living, we will be perpetually over a year behind in what’s actually owed to us.
If the Government wanted to be fair why not calculate the increase up to the end of December better still use the Government’s own “fiscal year” that way we would be totally up to date with the cost of living, I wouldn’t even mind waiting until April or May for the increase to kick in.
But as we all know being fair isn’t always in the Government’s best interest , is it?
January 11th, 2010 at 3:42 pm
Congratulations, to those who decide the pension increase amount. With all things economically considered in this great country, you have proven how moronic your way of thinking TRULY is. RSVP if you like, but the comment still stands. THANKS!!!
January 11th, 2010 at 10:26 pm
It’s nice that so many think 0.5% is fair and we should all be so grateful to receive anything and should never complain.
Meanwhile the fat cats are just laughing and know that they can keep on ripping us off every year with the current system,while we fall further and further behind the True cost of living.We did pay to have our pensions indexed fairly and if the sustem is not working then it should damn well be changed so that it does.
January 13th, 2010 at 9:41 am
Just viewed the pension increase of 0.5% for 2010. This is
absolutely ridiculous, unfair, stupid, unrealistic, and much more
to throw in Pensioners’ face such a “minimal figure of 0.5%”.
So outrageous, that the big fat Cats can allow to Close the
session of Parliament till early March and LAUGH IN PEOPLE’S
FACE. MIGHT AS WELL NOT HAVE “A GOVERNMENT AT ALL” AS
THEY ARE IRRESPONSIBLE FOR THEIR ACTIONS AND ONLY THINK
ABOUT THEIR “FAT WALLETS”. THIS IS CALLED “POLITICS” AS
ALWAYS…. GUESS THE REST!! LIVING IN POVERTY AS SENIORS
SEEMS TO BE OUR “FATE”.
January 25th, 2010 at 3:42 am
If you think things are bad now, just wait and see what the feds are getting ready to do with PS pensions. They claim that public service pensions are in fear of running short in the long run and therefore need to reform our pensions somewhat in order to make them more equitable with those of the private sector. Now that they’ve spent $30 billion of our pension money to pay down the federal deficit back in the 1990′s, they say that they’ll run short,…dah!? And that’s politics for you guys. What next,…we’ll they decide to take away the OAS for anyone making $40,000? That’s what Martin wanted to do, according to Sheila Copps. No doubt, the premiums that public servants currently pay will continue to increase in order to pay for this “shortfall” and more than likely will not be able to retire in their mid 50′s without a penalty no matter if they’ve put in their 35 years. Well here we ago again!
R.
January 26th, 2010 at 6:17 pm
Show the PC what we think of their half percent increase when they are forced to call an election this year. Goodby Mr Harper and all of the rest of your self-serving cronies.
January 31st, 2010 at 2:19 am
I wish someone complaining about the ‘fat cats’ would explain who they are and just how they are benefiting from putting the raise at this level. And the negative comments about the Harper government–do these comments come from people who actually receive a pension? Let’s face it. The government will either be Conservative or Liberal and the others will ALWAYS BE wannabees. So anybody who wants to vote out the Conservatives thinking that the Liberals will suddenly be our friends had better give their heads a shake. Who stole the $30 billion from our pension fund? Not the Conservatives for those who can’t remember.
February 5th, 2010 at 2:47 pm
It stuns me to realize so many public servants do not know how the law sets the pension idexing amount, and has since about 1975. If folks don’t know more about their biggest investments (house, investments, RRSPs, tax laws and pension) than this, it is pretty sad. You had a book which describes it fully. We need to deal with the CPI,not the pension indexng formula which produces swings and roundabouts. The increases are not set by any party or government. The law says it is Stats Can data, as of a certain date, period.
The 0.5% will not pay my Ottawa tax increase this year, much less the green bin fee and water rate increase.
February 21st, 2010 at 1:48 pm
I think these increases may be deternined by a formula and may be in fact consistent but it is my opinion that federal public service pensioners will likely continue to experience a reduced standard of living using this formula. One cause of this is the inconsistent increases in wages both in private and public service sectors. For example I have seen many public service contracts being settled at 2.5 to 4.0 % reported in the media as cost of livng increases. We as tax payers obviously have to pay for these increases so it is my opinion that government (municipal, provincial and federal) should take responsibilty in providing consistency with regard to these wage increases by using a standard formula similar to our pensions. Unions should be ignored with regard to wage increases particularly in periods of economic recession.
I have seen many comments that we should be happy with any increase. This may be true but as pensioners we need consistency from all levels of government to protect our standard of living.
March 18th, 2010 at 2:50 am
Having read all the comments I have to agree with Mike V. on this one. I too have researched the calculation and believe that under the current formula, the .05% is the correct increase due. I believe that once the figure is arrived at the increase is fairly applied. My problem like Mikes is that I believe the calculation method is unfair. Some of the very items that contribute most to the increases in cost of living are not considered in this formula for obvious reasons. At a time when the word “deficit” is on the lips of every politician, you can expect our leaders in the months to come to talk more of “claw backs” from pensions and in the case of public servants, pension “freeze”. Scary words to folks who have worked and contributed all their lives only to have to worry in their retirement if these costs of living will overtake their financial ability to sustain a comfortable life.
April 19th, 2010 at 4:54 pm
I read or at least tried to read all the comments made,but found my head
spinning -
First those who are blaming the present Govt. for all the problems, did you forget that in the early 90s the Liberals after giving themselves an 11% salary increase froze our salaries for many years – then in the same 90s
these same Liberals stole $30 Billion from our Pension Fund, which is still in court –
Second – those who think we should be “grateful” for our pensions – I think we deserve it, I know I do, I paid into it for over 40 years – some of my friends worked for companies who paid the full amount, and get full employer pension, full CPP and OAS –
Last – If the current formula for our pension increase is correct, then maybe it should be the formula that should be re-considered