On the 5th Anniversary after being sworn in, nine MLAs are set to become eligible for thousands in taxpayer funded pensions. The Canadian Taxpayers Federation (CTF) points out that each MLA has met the minimum qualifications for a pension after working just five years (all first elected in the 2006 Provincial election) and winning two elections.
“Most Nova Scotians will work 15, 25 years, or longer before they’ll be eligible for a pension, but after working for just five years our MLAs stand to collect hundreds of thousands of dollars of taxpayers’ money,” says Kevin Lacey, Atlantic Director for the CTF. “Many Nova Scotians have no pension at all -- there’s something wrong with a system where the average taxpayer pays for a plan for their MLA that they could never afford for themselves.”
The nine MLAs who are now pension eligible include:
As of June 1, 2011, each became eligible for the minimum $21,000 a year pension once they leave their position and are over 55 years of age. Pay-outs increase each year they work as an MLA, and interest payments are made from the treasury into their plan. MLAs receive extra pension for serving as members of cabinet or party leaders.
The Speaker of the Legislature announced a review of the MLA pension program back in the spring. The CTF plans on participating in the pension panel’s consultations happening this summer. The CTF will be recommending changes to the eligibility requirements for the MLA pension plans to make them more in line with those in the private sector. Taxpayers contribute $22 for every $1 put in by a MLA towards their own pension. The ratio is $6.79 to $1 if you don’t include the taxpayer funded interest on the pension.
“It’s time to end these rich taxpayer funded payouts for former politicians. It’s a matter of principle -- given the Province’s current budget deficit, our politicians should lead by example and cut this wasteful spending,” concluded Lacey.
Is Canada Off Track?
Canada has problems. You see them at gas station. You see them at the grocery store. You see them on your taxes.
Is anyone listening to you to find out where you think Canada’s off track and what you think we could do to make things better?
You can tell us what you think by filling out the survey