Cyber Monday Deal: Up to 60% off InvestingProCLAIM SALE

Canadian province Alberta to study forming own pension plan, police force

Published 2020-06-17, 04:06 p/m
© Reuters. United Conservative Leader Jason Kenney speaks in front of the Trans Mountain Edmonton Terminal in Edmonton

By Rod Nickel

WINNIPEG, Manitoba (Reuters) - The Canadian province of Alberta will study replacing the Canada Pension Plan (CPP) with a provincial plan and establishing a provincial police force, Premier Jason Kenney said on Wednesday after a panel recommended the ideas.

The provincial government received 25 recommendations from the "Fair Deal Panel," commissioned by Kenney's United Conservative Party government to increase provincial control and strengthen the economy.

Alberta has been hit hard by a crash in oil prices. The national government led by Prime Minister Justin Trudeau is unpopular there and criticized for not protecting its interests.

"The panel's recommendations summarize what can and must be done to end these threats, ease these tensions and obtain a fair deal for Alberta," said Kenney, a former federal Conservative minister.

A separatist movement, called Wexit, gained momentum after last year’s federal election, but Kenney prefers keeping Alberta in Canada.

The premier said his government will study the recommendations to replace the CPP with a provincial plan, as well as forming a police force to replace the Royal Canadian Mounted Police.

Replacing the CPP could mean Alberta, which has a young population, may contribute a lower percentage while maintaining similar benefits, the panel wrote.

An Alberta police force would enable local control over law enforcement, the panel wrote, although the province and municipalities would absorb extra cost.

Several provinces have provincial police forces and Quebec has its own pension plan.

Canadians expect federal and provincial governments to work together, said Katherine Cuplinskas, spokeswoman for Deputy Prime Minister Chrystia Freeland.

"We agree with Premier Kenney that a strong Alberta is essential for a strong Canada."

© Reuters. United Conservative Leader Jason Kenney speaks in front of the Trans Mountain Edmonton Terminal in Edmonton

Other recommendations include holding a referendum on whether to continue the national equalization program, in which Ottawa transfers money to poorer provinces. Kenney said Alberta would do so next year, although changes would require support from federal legislators and two-thirds of the provinces.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.