Op-Ed: Liberal CPP Tax Hike Will Shrink Your Paycheque
FOR IMMEDIATE RELEASE
The last thing Canadians need is another tax hike that shrinks their paycheques and makes it harder to save. But on June 20, the federal Liberal government and eight provinces, including Alberta, signed an agreement in principle to change the Canada Pension Plan (CPP). If this plan goes ahead, the CPP premium rate will start rising in 2019.
For folks in Peace River – Westlock, a CPP tax hike will make it harder for new grads to pay off their student loans or buy their first home. It will also be harder for families to save for vacations or their kids’ post-secondary education.
Most critically, the CPP tax hike will put hundreds of thousands of jobs at risk. A 2015 study by the Canadian Federation of Independent Business (CFIB) found that a CPP hike scenario would eliminate 110,000 jobs and permanently lower wages by nearly 1%. In fact, Dan Kelly, President of CFIB warned, “Two-thirds of small firms say they will have to freeze or cut salaries and over a third say they will have to reduce hours or jobs in their business in response to a CPP/QPP hike.”
The Liberal government claims that we need to “invest” in retirement and seniors. However, as the National Post headline pointed out recently, a “CPP deal punishes those who need it; May set back most vulnerable retirees.” As a Conservative, I believe in reasonable, common sense policies to help Canadians retire with dignity.
That is why I am proud that the previous Conservative government’s policies significantly reduced poverty among seniors in recent years and resulted in more Canadians saving for retirement than ever before, making our retirement system the envy of the world.
As your Member of Parliament, I will stand up for Canadians and oppose any Liberal CPP changes that would put jobs in jeopardy, reduce your paycheque or reduce wages. Our Conservative Party will continue to support lower taxes, increased investment in Canada’s resource sector and rural economies, and projects that get our resources to market quickly.
Arnold Viersen, MP
Peace River – Westlock