The Alward Government is being sued by the Toronto law firm representing 13 thousand provincial government retirees over the shared risk pension plan.
The main bone of contention is that under the shared risk model, their pensions will no longer be automatically indexed. Indexing will depend on the cost of living.
The retirees say, because of their age, they are not able to replace the lost income if the pension plan doesn’t do well in the stock market. The average provincial government retiree is 70 years of age and has an annual pension of $21,500.
The Pension Coalition also argues indexing has not kept up with the actual cost of living in any event.
