Businesses concerned about Ontario pension plan, Report

The proposed Ontario Pension Plan will hurt jobs and economic competitiveness, say local businesses.

But Ontario’s associate minister of finance says the plan is an investment that will help people achieve a secure retirement future and has the support of most Ontarians.

Chamber officials say the Ontario Retirement Pension Plan (ORPP) will require employers to match employee pension contributions, thus increasing the cost of doing business.

A recent Ontario Chamber of Commerce survey shows 72 per cent of businesses believe pension reform should be a priority for government, but those companies are worried about the impact on their competitiveness.

Hamilton Chamber of Commerce President Keanin Loomis says “the new pension plan will burden businesses that are already struggling to meet the costs of doing business in Ontario.”

Ontario’s Chamber Network sent a letter to the provincial government last month, seeking answers to six questions, including how will the government treat businesses who cannot afford to match mandatory contributions under the ORPP?

Agencies/Canadajournal