Saint John seeks permanent pension fix
Council votes to request the repeal of the Saint John Pension Act
CBC News
Posted: May 31, 2012 9:56 AM AT
Last Updated: May 31, 2012 11:34 AM AT
Related
Saint John Mayor Mel Norton has already had meetings with the New Brunswick government to discuss ways to solve the pension crisis. (CBC)Saint John council has voted to ask the legislative assembly to repeal its pension act, a move that would give the city greater flexibility in dealing with its pension crisis.
The city’s new council voted on Wednesday night to seek the legislature’s approval to scrap the Saint John Pension Act.
The council’s request will be sent directly to the provincial government.
If the legislative assembly approves the request, it would mean the city would no longer need the provincial legislature's approval to make some changes to the pension plan.
Saint John Mayor Mel Norton said Fredericton and Moncton both run their own pensions through bylaws and the proposal is to have Saint John's plan work the same way.
The city would still have to follow regulations put in place by the province’s superintendent of pensions.
Norton said there would be a second set of eyes reviewing all changes.
The newly-elected mayor has already met with Premier David Alward to discuss the city’s pension problems. Earlier this week, Norton said he wanted to "express to the premier and to his office the importance of this issue, how critical it is to deal with it and to deal with it once and for all."
Saint John is saddled with a $193-million pension deficit.
The city is proposing reforms to the pension plan that would include temporarily de-indexing pensions from inflation and increasing employee contributions.
The reforms should put the city on pace to eliminate its $193-million pension deficit in 14 years.
Saint John had hoped to have the reforms in front of the legislative assembly last winter but it missed a series of deadlines.
Those deadlines were finally met earlier in May but the changes prompted another controversy.
Stephen Chase, the former deputy mayor, said the proposal included a provision that would have included a benefit that would have benefited only the city’s top earners.
The contentious clause was to be removed from the reform package, according to city staff.
Share Tools
Latest New Brunswick News Headlines
- Fredericton mom told to stop breastfeeding at public pool
- A Fredericton mother is speaking out after a lifeguard asked her to stop breastfeeding her daughter at the indoor public pool. more »
- MS liberation therapy fund should end, Parrott says
- Independent MLA and retired surgeon Jim Parrott is calling on the provincial government to stop spending taxpayers' money on a controversial treatment for multiple sclerosis. more »
- Dog taken amid allegations of abuse reunited with family
- A dog that went missing in Saint John earlier this week amidst online allegations of abuse and neglect has been reunited with its owners. more »
- Heavy rainfall forecast prompts flood warnings
- Environment Canada has issued a heavy rainfall warning for New Brunswick with as much as 120 millimetres of rain expected to fall in central, southeastern and southwestern regions by late Saturday. more »
Must Watch
Top News Headlines
- Royal Bank pledges not to outsource jobs for cash savings
- Royal Bank has promised it will never outsource a Canadian job to a foreign worker solely to save money. more »
- Washington police blame bridge collapse on Alberta trucker

- Washington State police say an Alberta trucker was responsible for hitting a steel beam precipitating a bridge collapse on one of the busiest routes in the American northwest. more »
- Man accused of killing child in patio crash granted bail
- Emotions ran high in a packed Edmonton courthouse Friday as Richard Suter, accused of causing a crash into a restaurant patio that killed a young boy, was granted bail. more »
- Senators' unlikely playoff run ends in Game 5 disappointment
- The Ottawa Senators can't hang their heads after a 6-2 loss in Game 5 ended their improbable run to the second round of the NHL playoffs, but questions abound whether their 40-year-old captain will hang up his skates. more »
- Fredericton mom told to stop breastfeeding at public pool
- Dog taken amid allegations of abuse reunited with family
- Rothesay man charged with 2nd-degree murder
- Heavy rainfall forecast prompts flood warnings
- Joe Oliver challenges Trudeau's west-east pipeline 'tone'
- Saint John carpenters lowest paid in country
- MS liberation therapy fund should end, Parrott says
- Teen dies after falling from moving vehicle
- Vandals spray-paint profanity on CFB Gagetown tank

