Nine out of 10 Quebec small business owners support the concept of the new Voluntary Retirement Savings Plan (VRSP) – Quebec’s version of the Pooled Registered Pension Plan (PRPP) that will come into effect July 1, 2014, according to a recent survey commissioned by Manulife Financial Corp.
The survey of 250 business owners, conducted by Ipsos Reid, reveals that most employers (61%) do not believe their employees are financially prepared for retirement, and two-thirds said they do not believe their employees have the financial knowledge to choose appropriate investments.
More than half of those surveyed (57%) said they feel a sense of duty to help their employees save for retirement.
“The survey results confirm to us that there is great support amongst Quebec small-business owners for the VRSP, and that they want to play a role in helping their employees save for the future,” said Robert Tellier, regional vice president, group benefits and retirement solutions, in Quebec.
Quebec is the first Canadian province to implement the PRPP. When the legislation takes effect, thousands of employers in the province will be required to begin taking steps to make a workplace savings plan available to employees.
A number of other provinces are taking steps to implement the PRPP as well. Alberta and Saskatchewan, for instance, are working toward finalizing their PRPP regulations and selecting their launch dates. Similar legislation has also passed the final reading stage in British Columbia.