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February 2nd, 2022

NDP introduces legislation to protect Canadian worker’s pensions

OTTAWA – Today, NDP Finance Critic Daniel Blaikie (Elmwood-Transcona) introduced a bill to protect the pensions and benefits of workers caught in corporate bankruptcy proceedings.
“More than ever, Canadians need to trust that their retirement income will be there for them when they need it,” said Blaikie. “When companies declare bankruptcy, big banks get paid out first while people who paid their whole life into a pension plan are left with scraps. Canadian workers deserve certainty when it comes to their retirement income.”
Currently, Canada’s inadequate bankruptcy laws fail to protect the retirement futures of Canadian workers who have spent decades paying into a pension. In the case of SEARS alone, about 17,000 workers had their pensions significantly reduced to protect the bottom line of banks. In addition to protecting pensions, this bill would also force companies to provide termination and severance pay before secured creditors get paid.
“When we look at what’s fair for workers, they’ve fulfilled their obligations by paying into their pension and benefit plans,” said NDP Labour Critic Alexandre Boulerice (Rosemont—La-Petite-Patrie). Now the employer needs to uphold their end of the bargain and pay out those plans before doing things like offering dividend and share buy backs to shareholders.”

Quote by validator:
“Asking pensioners to bail out banks is wrong, but that is what our current bankruptcy laws require. We are glad to see Daniel Blaikie pick up the torch from former NDP MP Scott Duvall and lead the charge to right this wrong. We encourage MPs on all side of the House to support this bill.”
- Canadian Labour Congress President Bea Bruske.