Alberta Premier Danielle Smith and Finance Minister Nate Horner unveiled plans to introduce legislation that would require a referendum on pulling out of the Canada Pension Plan (CPP) in place of a provincial one.
The announcement follows a government commissioned report by the independent consultant group, LifeWorks, which stated that Alberta could save a staggering $334 billion through the establishment of an Alberta Pension Plan.
“This is how much Albertans have contributed to the CPP minus how much they have received in benefits since the start of the CPP in 1966, plus investment earnings on that amount,” a UCP statement reads.
“An estimated $5 billion in savings in the first year alone could be used to boost the annual pension benefits for seniors. That could include a significant increase to each senior’s monthly pension payment, or even a $5,000 to $10,000 bonus payment at retirement.”
During her announcement, Smith said decisions this large should be left up to Albertans.
“It’s your money, your future, and your say matters,” she said.
Smith also said that any move towards an Alberta Pension Plan would guarantee the same or lower contributions compared to the CPP, along with the same or improved benefits for seniors.
Between this fall and spring in 2024, an engagement panel will consult with Albertans about their views on a possible provincial pension plan. Once they’ve gathered feedback, they’ll put it together in another report for the government.
CBC’s take
On Thursday, the CBC compared Smith to Dr. Evil from Austin Powers and pointed to polls that show most Albertans prefer the Canada Pension Plan over a provincial one.
