This article was provided by the Ontario Mining Association (OMA), an organization that was established in 1920 to represent the mining industry of the province.
(June 2, 2015) The Ontario Mining Association, and a coalition of major Ontario employers under the leadership of the Ontario Chamber of Commerce (OCC), are calling on the provincial government to broaden its definition of a comparable pension plan under the Ontario Retirement Pension Plan (ORPP).
In a letter addressed to Premier Kathleen Wynne, the coalition of more than 150 organizations is urging the government to expand its definition of pension plan comparability to include capital accumulation plans, including (but not limited to) Defined Contribution plans. This move would ensure that companies in the province that have an existing pension plan for their employees would not be forced to incur this new cost of doing business, thus undermining the province’s economic competitiveness.
Set for introduction in 2017, the ORPP will require employees and employers to contribute 1.9% each (3.8% combined) on an employee’s annual earnings up to $90,000. Employers who offer ‘comparable’ workplace savings plans will be exempt from contributing to the ORPP.