EDMONTON – Historic reform of public sector pension plans was introduced in the Legislature this week and is expected to be law by early December.
After months of discussion with unions and other stakeholders, Alberta Finance Minister Joe Ceci introduced Bill 27, making the Local Authorities Pension Plan (and two other plans) fully ‘joint trusteeship’ plans.
“Joint Trusteeship means changes to our pension plan have to be negotiated between our employers and us,” explained CUPE Alberta President Marle Roberts. “In the past, when the government wanted to change our plan, usually for the worst, they could do it with the stroke of a pen. No more.”
The Notley government actions are based on best practices for pension plans. Other provinces in Canada have accepted joint trusteeship of their plans because they know that when employees have more control over their plans, everyone benefits.
“We know that CUPE and other unions have a lot of knowledge about how to run pension plans and keep them healthy,” said Roberts. “Jointly trusteed pension plans are almost always better off financially.”
Roberts said Conservative governments have been promising this change since as far back as 1992, but have only delivered broken promises. “Bill 27 is a recognition of best practices adopted by other Provinces and an end to years of broken promises.”