Throne Speech Fails to Deal With CPP Reform: CLC's Georgetti Also Worried About Public Sector Job Cuts

OTTAWA, ONTARIO--(Marketwire - June 3, 2011) - The federal government missed an opportunity in its Speech from the Throne to keep earlier promises to improve the Canada and Quebec Pension Plans, says Ken Georgetti, president of the Canadian Labour Congress.

"Doing nothing now will cost future taxpayers a lot more down the road," Georgetti says. "Our kids will have to shell out for tax-financed programs such as the Guaranteed Income Supplement for poor seniors. That will represent a huge burden on on the public purse. Canadians would be far better off with an improved CPP/QPP."

Georgetti says there is a "looming pension crisis" that will result in hardship for Canadians in their retirement. The CLC proposes a gradual doubling of CPP/QPP benefits to be financed by modest increases in the premiums paid for equally by workers and their employers.

"Almost every province agrees with us about expanding the CPP/QPP," Georgetti says. He adds that even establishment newspapers support the CLC's pension proposals. "The Calgary Herald said in November 2010 that having workers and their employers contribute more to the CPP/QPP is consistent with conservative values because it ensures that people pay their own way."

Georgetti says he is also "very concerned" by the mention in the Speech from the Throne about the government's intention to slash public sector jobs and services to Canadians. "People who are laid off don't pay taxes or spend money at the corner store in their communities. And the public services those workers provide are essential to the quality of life for all Canadians."

The Canadian Labour Congress, the national voice of the labour movement, represents 3.2 million Canadian workers. The CLC brings together Canada's national and international unions along with the provincial and territorial federations of labour and 130 district labour councils. Web site: www.canadianlabour.ca .