Ontario is calling on the federal government to rethink its plan to not facilitate the implementation of the proposed new Ontario Retirement Pension Plan (ORPP), the provincial government said Thursday.
“The refusal by the federal government to work with Ontario on helping people achieve a secure retirement future is disappointing and, frankly, unacceptable,” Charles Sousa, Ontario’s minister of finance, said in a statement.
“I demand that the federal government put politics aside, reverse its position and do what is best for Ontarians,” Sousa continued. “The people of Ontario do not deserve having the federal government turn its back on them. Ontarians expect and deserve fair and equitable treatment from the federal government.”
Federal Finance Minister Joe Oliver wrote earlier this month that Ottawa will not enact legislative changes or allow federal agencies, such as the Canada Revenue Agency (CRA), to help facilitate the introduction of the ORPP. The federal Conservatives favour voluntary savings options and do not support the creation of new mandatory public plans.
Using the CRA infrastructure to help implement the ORPP would save administration costs, and is in line with existing practice, Ontario noted.
The province reported that it has identified at least 28 CRA-administered programs and 88 data-exchange agreements that exist between the federal government and various provincial governments.
As well, the federal government has worked with other provinces with their pension arrangements, the Ontario government added. A co-operative agreement exists with the Quebec Pension Plan and legislative changes were made to federal income tax legislation in 2010 to increase the annual contribution limit to the Saskatchewan Pension Plan.
“Given this precedent, Ontario is demanding that the federal government reverse its position on the implementation of the ORPP,” the province said.
“We call on the federal government to stop burying its head in the sand on generational issues,” said Mitzie Hunter, associate minister of finance, with responsibility for the introduction of the ORPP, “and help Ontario build a secure retirement system for the people of Ontario. Through co-operation, we can help working Ontarians strengthen their retirement savings while creating a brighter economic future for Ontario and Canada.”