Canadian Finance Minister Jim Flaherty and most of his provincial counterparts agreed to look at boosting contributions and benefits for the country's national public pension system and to increase the role of financial institutions in running pension plans.
“The substantive majority view was that we should proceed,” Mr. Flaherty told reporters after a two-day meeting with his provincial counterparts in Charlottetown, Prince Edward Island.
Mr. Flaherty said the ministers will consider whether to proceed with “a modest, phased-in and fully funded” increase to the C$116.6 billion ($113.10 billion) Canada Pension Plan, a mandatory system in which workers and employers contribute, when they meet again in the fall. They will also look at how to give banks and insurance companies more scope in providing pension plans for multiple employers or the self-employed, he said.
The agreement to strengthen the national system comes over the objection of Alberta, and follows a call by the Canadian Labour Congress for the provincial and federal governments to double CPP benefits. A study released last week by Toronto-Dominion Bank showed a significant share of Canadians aren't saving enough to maintain their standard of living after they retire.