Alberta Pension Panel Faces Calls for Concrete Figures Before Referendum
The panel tasked with gathering feedback on whether Alberta should withdraw from the Canada Pension Plan (CPP) is facing renewed demands for clear and negotiated numbers before any potential referendum. During a recent town hall, several callers urged the panel chairman, Jim Dinning, to provide concrete figures agreed upon by both Alberta and the federal government.
One caller, Scott from Medicine Hat, challenged Alberta’s claim that it is entitled to half of the CPP’s assets, stating that there is no scenario where such an allocation would be possible. He argued that without an official figure from the CPP administrators, any referendum would be based on misleading information. Other callers echoed these concerns, questioning the accuracy of the proposed numbers and expressing skepticism about Alberta’s entitlement to such a significant portion of the CPP.
Dinning acknowledged the implausibility of Alberta receiving half of the CPP but pointed to the Alberta government-commissioned LifeWorks report, which estimated the province’s entitlement to be $334 billion. The report justified this figure by citing factors such as Alberta’s younger working population, higher incomes, and fewer seniors drawing CPP benefits.
However, the Canada Pension Plan Investment Board has estimated that Alberta is owed approximately 16% of the fund. The Alberta government has requested the board to provide its calculations to support this figure.
The panel’s town hall meetings aim to gather public input on the possibility of an Alberta pension plan and make a recommendation to Premier Danielle Smith in May. The United Conservative government argues that Albertans contribute disproportionately to the CPP and would receive better benefits with an independent pension plan.
Critics have raised concerns about government advertising and the panel’s focus on the $334 billion figure without adequately addressing the risks and drawbacks associated with leaving the CPP. The government’s online survey also emphasizes the structure of a potentially new Alberta plan rather than asking whether Albertans actually want to withdraw from the CPP.
The panel’s impartiality has also come into question, with some suggesting it is promoting the government’s agenda rather than gathering objective feedback. However, Dinning has stated that the panel’s role is to listen to Albertans’ opinions rather than advocate for a specific outcome.
The ongoing debate also raises questions about the fairness of Alberta seeking additional pension funds at the expense of other Canadians. While some argue that Alberta’s prosperity attracts workers from other provinces, leading to increased contributions, others assert that equalization payments demonstrate Alberta’s obligation to support the rest of the country.
The panel will continue to hold town halls to engage with residents and gather their perspectives on the Alberta pension plan. It remains to be seen whether the demands for concrete figures before a potential referendum will be addressed and how the province will proceed with its assessment of an independent pension plan.
This report by The Canadian Press was first published Oct. 24, 2023.
