Alberta
Debate continues over an Alberta pension plan—but here’s a key fact
From the Fraser Institute
By Tegan Hill
According to documents recently obtained by Postmedia, bureaucrats in Ontario’s Ministry of Finance believe the Smith government’s report released last year on an Alberta pension plan overstates what Alberta could withdraw from the Canada Pension Plan (CPP) to start its own plan. The report estimates that the province’s share of CPP assets is worth $334 billion, which is equal to 53 per cent of the CPP.
It’s not surprising that Ontario civil servants are debating this issue. If Alberta leaves the CPP and creates a provincial pension plan, the savings for Albertans would essentially cost workers in the rest of Canada (excluding Quebec, which already has its own standalone provincial pension). Given that Ontario is the second-largest net contributor to the CPP (behind only Alberta), those costs would fall heavily on Ontarians.
Albertans, like all workers outside Quebec, pay a basic mandatory CPP contribution rate of 9.9 per cent, typically every payday. According to the Smith government’s report, that rate would fall to 5.91 per cent for a new CPP-like provincial program for Albertans, which means each Albertan would save up to $2,850 in 2027 (the first year of the hypothetical Alberta plan). Critically, this lower contribution rate (i.e. tax) delivers the same benefit levels as the CPP.
Meanwhile, the basic CPP contribution rate for the rest of Canada (excluding Quebec) would increase to 10.36 per cent. In other words, smaller take-home paycheques for workers in the rest of Canada.
Currently, Albertans contribute disproportionately to the CPP and other national programs because the province has more workers (and less retirees) as a share of its population, higher employment rates and higher average earnings compared to the rest of Canada. In 2020, the latest year of available data, Albertans contributed about 16 per cent of total CPP contributions but received only 12 per cent of total CPP benefits.
And the federal legislation (Section 113(2) of the CPP Act), which governs the withdrawal of any province from the CPP and the asset distribution calculation, focuses on the amount paid into the fund by Albertans and the benefits paid out (taking into account investment returns and administrative costs).
Bureaucrats in Ontario, however, argue there are issues with the report’s interpretation of the formula. They claim, for example, that the asset distribution calculation fails to account for individuals who worked in Alberta but retired elsewhere. And regardless, they feel the formula should be updated. The Smith government has asked the federal government and investment board to respond to the report with its own interpretation and calculations.
While the debate about Alberta’s share of the CPP assets is sure to continue, it should not distract from the key fact that any reasonable split of CPP assets would result in lower contribution rates for Albertans and likely higher rates for the rest of Canada (excluding Quebec). If Alberta’s share of assets were less than half of what the government report estimates ($150 billion) in 2025, the contribution rate in Alberta would drop to 7.8 per cent, equal to an estimated $1,086 in savings annually per Albertan. Even if Alberta’s share of assets were just $120 billion in 2025, Alberta’s contribution rate would drop to 8.2 per cent and save approximately $836 annually per Albertan.
Clearly, Alberta’s withdrawal from the CPP would come with big savings in the province and increased costs in the rest of Canada.
Author:
Alberta
MAiD In Alberta: Province surveying Albertans about assisted suicide policies
Alberta’s government is launching a public engagement to gather input about legislation and policies around assisted suicide, also referred to as medical assistance in dying (MAID).
Medical assistance in dying is a process that allows an eligible person to receive assistance from a medical practitioner in ending their life. To be found eligible, a person must be suffering from a serious and permanent medical condition.
Alberta’s government is reviewing how MAID is regulated to ensure there is a consistent process as well as oversight that protects vulnerable Albertans, specifically those living with disabilities or suffering from mental health challenges. An online survey is now open for Albertans to share their views and experiences with MAID until Dec. 20.
“We recognize that medical assistance in dying is a very complex and often personal issue and is an important, sensitive and emotional matter for patients and their families. It is important to ensure this process has the necessary supports to protect the most vulnerable. I encourage Albertans who have experience with and opinions on MAID to take this survey.”
In addition to the online survey, Alberta’s government will also be engaging directly with academics, medical associations, public bodies, religious organizations, regulatory bodies, advocacy groups and others that have an interest in and/or working relationship to the MAID process, health care, disabilities and mental health care.
Feedback gathered through this process will help inform the Alberta government’s planning and policy decision making, including potential legislative changes regarding MAID in Alberta.
“Our government has been clear that we do not support the provision of medically assisted suicide for vulnerable Albertans facing mental illness as their primary purpose for seeking their own death. Instead, our goal is to build a continuum of care where vulnerable Albertans can live in long-term health and fulfilment. We look forward to the feedback of Albertans as we proceed with this important issue.”
“As MAID is a federally legislated and regulated program that touches the lives of many Albertans, our priority is to ensure we have robust safeguards to protect vulnerable individuals. Albertans’ insights will be essential in developing thoughtful policies on this complex issue.”
The federal Criminal Code sets out the MAID eligibility criteria, procedural safeguards and reporting obligations. The federal government has paused MAID eligibility for individuals with a mental illness as their sole underlying medical condition until March 2027 to ensure the provincial health care systems have processes and supports in place. Alberta’s government does not support expanding MAID eligibility to include those facing depression or mental illness and continues to call on the federal government to end this policy altogether.
Related information
Alberta
On gender, Alberta is following the science
Despite falling into disrepute in recent years, “follow the science” remains our best shot at getting at the truth of the physical sciences.
But science, if we are to place our trust in it, must be properly defined and understood; it is at its essence an ever-changing process, a relentless pursuit of truth that is never “settled,” and one that is unafraid to discard old hypotheses in the face of new evidence.
And it is in this light—in the unforgiving glare of honest science—that Alberta Premier Danielle Smith’s three new legislative initiatives around gender policy are properly understood, notwithstanding the opprobrium they’ve attracted from critics.
Bill 26, the Health Statutes Amendment Act, proposes to prohibit the prescription of puberty blockers and cross-gender hormones for the treatment of gender dysphoria to youth aged 15 and under. It would allow minors aged 16 and 17 to begin puberty blockers and hormone therapies for gender “reassignment” and “affirmation” purposes only with parental, physician, and psychologist approval. The bill also prohibits health professionals from performing sex reassignment surgeries on minors.
Bill 27, the Education Amendment Act, seeks to enshrine parents’ rights to be notified if their kids change their names/pronouns at school, and it gives parents the right to “opt in” to what sort of gender and sex education their kids are exposed to in school.
And Bill 29, the Fairness and Safety in Sports Act, is designed to protect females in sports by ensuring that women and girls can compete in biological female-only divisions, while supporting the formation of co-ed opportunities to support transgender athletes.
Each of these initiatives is entirely reasonable, given what we know of the science underpinning “gender care,” and of the undeniable advantages that a male physique confers upon biological males competing in sports.
The notion that the trifecta of puberty blockers, cross-gender hormones, and revisionist surgery is a pathway to good health was a hypothesis initially devised by Dutch researchers, who were looking to ease the discomfort of transgender adults struggling with incongruence between their physical appearance and their gender identities. As a hypothesis, it was perhaps reasonable.
But as the UK’s Cass Review exposed in withering detail last spring, its premises were wholly unsupported by evidence, and its implementation has caused grievous harm for youth. As Finnish psychiatrist Riittakerttu Kaltiala, one of the architects of that country’s gender program, put it last year, “Gender affirming care is dangerous. I know, because I helped pioneer it.”
It’s no accident, then, that numerous European jurisdictions have pulled back from the “gender affirming care” pathway for youth, such as Sweden, Finland, Belgium, the Netherlands, and the United Kingdom.
It makes perfect sense that Canadians should be cautious as well, and that parents should be apprised if their children are being exposed to these theories at school and informed if their kids are caught up in their premises.
Yet the Canadian medical establishment has remained curiously intransigent on this issue, continuing to insist that the drug-and-surgery-based gender-affirming care model is rooted in evidence.
Premier Smith was asked by a reporter last month whether decisions on these matters aren’t best left to discussions between doctors and their patients; to which she replied:
“I would say doctors aren’t always right.”
Which is rather an understatement, as anyone familiar with the opioid drug crisis can attest, or as anyone acquainted with the darker corners of medical history knows: the frontal lobotomy saga, the thalidomide catastrophe, and the “recovered memories of sexual abuse” scandal are just a few examples of where doctors didn’t “get it right.”
As physicians, we advocate strongly for self-regulation and for the principle that medical decisions are private matters between physicians and patients. But self-regulation isn’t infallible, and when it fails it can be very much in the interests of the public—and especially of patients—for others to intervene, whether they be journalists, lawyers, or political leaders.
The trans discussion shouldn’t be a partisan issue, although it certainly has become one in Canada. It’s worth noting that Britain’s freshly elected Labour Party chose to carry on with the cautious approach adopted by the preceding administration in light of the Cass Review.
Premier Smith’s new polices are eminently sensible and in line with the stance taken by our European colleagues. None of her initiatives are “anti-trans.” Instead, they are pro-child, pro-women, and pro-athlete, and it’s difficult to see how anyone can quibble with that.
Dr. J. Edward Les, MD, is a pediatrician in Calgary, senior fellow at the Aristotle Foundation for Public Policy, and co-author of Teenagers, Children, and Gender Transition Policy: A Comparison of Transgender Medical Policy for Minors in Canada, the United States, and Europe.
-
Brownstone Institute13 hours ago
The Most Devastating Report So Far
-
Economy1 day ago
COP 29 leaders demand over a $1 trillion a year in climate reparations from ‘wealthy’ nations. They don’t deserve a nickel.
-
Censorship Industrial Complex17 hours ago
Another Mass Grave?
-
Alberta16 hours ago
MAiD In Alberta: Province surveying Albertans about assisted suicide policies
-
Alberta23 hours ago
On gender, Alberta is following the science
-
Energy1 day ago
Ottawa’s proposed emission cap lacks any solid scientific or economic rationale
-
International1 hour ago
Elon Musk praises families on X: ‘We should teach fear of childlessness,’ not pregnancy
-
Bruce Dowbiggin12 hours ago
CHL Vs NCAA: Finally Some Sanity For Hockey Families