TORONTO,
April 24, 2014 /CNW/ - Morneau Shepell (TSX: MSI), the largest company
in Canada offering human resources
consulting and outsourcing services, welcomed today's announcement
that the Government of Canada will
be launching a national discussion of proposed new target benefit
pension plans that share the risks between employers and employees.
The announcement was made earlier today by the Honourable Minister
of State for Finance Kevin Sorenson
during a keynote speech to the Economic Club of Canada in Toronto.
Mel Bartlett, Managing Partner
for Morneau Shepell's Atlantic
office, commented, 'This announcement by the Government of
Canada is a progressive move, and
a necessary step in the right direction towards federal pension
reform. It will have positive implications for pension plans in
this country."
"Traditional defined benefit pension plans have been under
considerable pressure as a result of improved life expectancy and
capital markets volatility," Bartlett said. "Across Canada, there is agreement that pension issues
must be reviewed and addressed. Today's announcement provides a
great framework for discussion in shifting the focus to sustainable
solutions such as shared risk plans that provide plan members with
adequate, predictable pensions."
Fred Vettese, Morneau Shepell's Chief Actuary said, "The
review conducted in New Brunswick
focused on financial sustainability, intergenerational equity and
benefit transparency. Alberta and Nova
Scotia have also introduced legislation allowing target
benefit plans. We are pleased to see the Government of Canada consider a similar path, and would
encourage other jurisdictions to follow suit as well."
Morneau Shepell and shared
risk and target benefit pension plan design
Morneau Shepell assisted in the
development of New Brunswick's
Shared Risk Pension Plan design in 2012. The company is now working
with a number of other pension plans in New Brunswick that have adopted the Shared
Risk Pension Plan model, plus several others that are considering
the change.
About Morneau Shepell Inc.
Morneau Shepell is the largest
company in Canada offering human
resources consulting and outsourcing services. The Company is the
leading provider of Employee and Family Assistance Programs, as
well as the largest administrator of retirement and benefits plans
and the largest provider of integrated absence management solutions
in Canada. Through health and
productivity, administrative, and retirement solutions,
Morneau Shepell helps clients reduce
costs, increase employee productivity, and improve their
competitive position. Established in 1966, Morneau Shepell serves more than 21,000 clients,
ranging from small businesses to some of the largest corporations
and associations in North America.
With approximately 3,300 employees in offices across North America, Morneau
Shepell provides services to organizations across
Canada, in the United States, and around the globe.
Morneau Shepell is a publicly-traded
company on the Toronto Stock
Exchange (TSX: MSI). For more information, visit
morneaushepell.com.
SOURCE Morneau Shepell Inc.