Challenges Facing Nortel Employees & Canadian Pension Plans
Thursday, November 5th, 2009
Nortel Pensioners
Saving money for one’s golden years, when working is no longer possible or desirable, is a goal rightfully pursued by many Canadians. One does not expect to be working their entire lives just to survive. Nobody wishes to become an imposed burden on their family or friends during their later years. Yet, a flawed system seems to point at this possibility. An eight hour work day, with one or two hours commuting time, and the recommended eight hours of sleep, plus an hour to cook and eat, leaves only five hours of downtime during a work week (excluding weekends). Continuing such a pattern until death does not reflect an ideal image for a first world country. Those preparing for the rewards of retirement, set aside funds in the hopes of realizing this dream but recent events have forced the reality of such hopes into question.
Many expect this will be accomplished through the use of pension plans in addition to the usual government savings programs, which are described to be insufficient independently, when calculating the cost of retirement. In principle, pension plans are a great way of insuring a comfortable future, however, when a plan is self insured by the company offering the plan, the invested funds are protected primarily by a promise rather than any guarantee of receiving the expected funds should the company go bankrupt. The recent discussions on Oct 26, 2009, available on CPAC, regarding National Pensions and Retirement Income Security, demonstrated the difficult situation many Nortel employees are finding themselves in where large portions of their investments were lost. The fact of the matter is that during bankruptcy, the banks receive preferred creditor status over employees contributing portions of their salaries and years of service to a company.
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Clearly, one of the main reasons the Liberals recruited Michael Ignatieff was for nostalgic and pragmatic purposes. They wanted another Pierre Trudeau. With polls suggesting the Liberals under Ignatieff are hemorrhaging support and the Conservatives are gaining support, this bold initiative seems to have withered into a false start.
With the Conservatives already planning their attack ads against Michael Ignatieff in preparation for the next election, one has to wonder just how swayed they can expect the public to be against their second straight Liberal opponent in under a year. Ignatieff has laughed off the threat, sarcastically quipping that he’s “shaking” at the thought. Defiant words, considering the negative impact the relentless bombardment of attack ads directed at Stéphane Dion had. Now it’s the same party with a different personality at the helm, but perhaps that projection of confidence, the cocky/defiant confidence which the more appeasing Dion lacked, is exactly what might bolster the new leader with voters and put the Grits back into office. It’s possible, for what makes a party worthy of governance, and what makes their leader resonate with voters doesn’t seem to be the same thing necessarily, and the Grits numbers have improved since Ignatieff became leader of the party. But is it enough? Will his personality triumph over the inevitable onslaught of smears? Or does anyone really care? Ignatieff, while seemingly more popular than Dion, still doesn’t inspire the same kind of political zeal in Canada that Barack Obama has in the US (or in Canada for that matter). In fact, just about the only safe bet in Canadian poltics these days would be if Barack Obama ran for, well… anything. You see, Canadians are Obama crazy. In fact, some polls during Obama’s presidential campaign run suggested a staggering 80% of Canadians would have voted for Obama given the chance. 80% in any democracy is beyond a landslide. It’s actually getting into ‘was that rigged?’ territory. When Obama visited Ottawa for a few hours a couple weeks ago, Canadians scrambled from all over to get to Ottawa, just to get a chance not to see him. So it’s fair to say that Canadians have Obama mania. It’s all somewhat understandable; by all accounts he is a bright, principled man, but what’s more than that, he’s clearly an exceptional orator, inspiring the basic fibers of inspiration wherever and whenever he speaks, so much so that he unfortunately seems to trigger a reflexive Canadian self-loathing anxiety. For as much as Canadians love Obama, they can’t seem to talk about him without lamenting about the state of their own politics; carrying on about how they ‘wish we could have an Obama’, ‘our politics are boring,’ etc. It’s envy as much as it is mania, and it’s an attitude that’s replete in Canada. Where and how Canadians get this attitude is somewhat of a mystery, because Canadian politics, like the politics of any country, can be very interesting, and there are plenty of good politicians in the fold. So why the self hate?