The teacher’s union is our only block to good puiblc education. All they do is protect bad teachers from ever being fired and fail our children by putting them in classrooms with many crappy teachers who don’t care whether our children get a good education or not because either way they get paid. I wish there was a way to get rid of all the teachers unions and force teachers to be educated and produce real results with our kids. We should raise teachers salaries that are good and fire the teachers that suck! We need to hold every school, teacher, parent and student accountable for learning.
I cant figure out while the politicians have their head in the sand on this issue. The funding gap for Pensions is further aggravated by the wishful thinking that Market returns will come to the rescue.
Public sector pensions are being run like Ponzi schemes that have put some in jail. There is a fine line between corrupt fund mangers who take the money of new investors to pay the returns for earlier investors versus a pension plan that does the exact same.
I think we have to look at Union Pensions period as it seems many make terrible investment choices for some reason. I believe public servants should not have pensions exceeding what is in the general population. The wages of public servants in a majority of cases exceed the per capita GDP by two three and sometimes four times. Considering not only the teachers but public service pension funds were topped up it is hard to believe fishermen or forestry workers in this province would have an sympathy for a 1.65 billion dollar short fall. WE are headed for Greece here folks. The Civil Service rode the population with Pensions, Wages and retirements at 55 years of age. The people outside the civil resented paying taxes and the underground economy because the rule of thumb. We have the same conditions here in Nova Scotia. Ask the younger generation why they would stick around after graduation in the 2020s. The exodus is not going to be about higher wages in Western Canada but rather how badly future generations will be taxed for the sins of the selfish in this province.
Few people appear to understand the effect of low interest rates on pension deficits. An assumption that low investment returns are the major cause of such deficits misses the role of interest rates in deficit test calculations. How much will the deficit decrease for each 1% increase in the interest rate used?
The no-penalty early retirement after age 55 benefit in the Teachers Plan seems a potential one to examine given its cost, and the trend to defer retirements and pensions due to increased life expectancy and later start to employment. The effect on the Plan’s deficit of making that benefit actuarially neutral to age 65 should be instructive for all concerned.
If the current plan was left unchanged that would be a better deal for new teachers who otherwise will be big losers down the road. But that will not solve the problem with the current plan. In fact it will make it worse. The right response is to amend the current plan to be secure and equitable for all participants.
It just doesn’t make sense that any version of a public service pension fund is not able to fund itself . Something is wrong . The “employees” are able to contribute and the employer can match .So if the fund is in the hole because of investments than that point to the trustees and that means they have to called to account. Everyone is smarter now with their investments and a teachers pension plan should be able to avoid any significant risk investments .
The Province keeps saying it needs revenues but there seems to be a lack of effort to make sure what they can collect that they really try . We have hundreds of non residents renting summer homes and walk away with all the income, don’t pay commercial taxes nor collect HST and what do we do ? Ziltch. No just tax the good guys even more by adding a 2 % room tax ,millions in revenue that basically all goes to advertising ? These departments need to to show why they exist . Per capita, NS receives more equalization than does Quebec , so it seems we are lagging in our per capita financial management transparency.
Bill,
Thanks for writing this and sending it out today. I receive a pension from the Provincial Government and I very strongly believe exactly what you have written about the Teachers’ Pension Plan. This matter has to be dealt with now and negotiation isn’t the answer. While I could have written your post before I read what you wrote, I wasn’t sure I knew all I should about the Teachers’ Pension Plan. Your timely post let me know my belief is sound. I always read what you take the time to write because I think of you as “knowing” and “wise”. Your posts come at the right time and they are very informative..
Please know I added a comment and posted a link to your page on my Facebook page.
How much more will it take before the last few people standing who are slaving under the most oppressive tax regime in the country finally revolt? I know plenty of hard wroking people who were retired Nortel workers. They lost their pension. No one stepped in to save them. And many of those started out their employment s government workers. These pension funds should NOT be topped up by gov’t at all. Why not ask Teachers (Ontario teachers pension fund) to bail them out. That makes more sense than asking the last few value creating tax payers in this province.
If they were overfunded they certainly wouldn’t be giving back to province, would they?
The teacher’s union is our only block to good puiblc education. All they do is protect bad teachers from ever being fired and fail our children by putting them in classrooms with many crappy teachers who don’t care whether our children get a good education or not because either way they get paid. I wish there was a way to get rid of all the teachers unions and force teachers to be educated and produce real results with our kids. We should raise teachers salaries that are good and fire the teachers that suck! We need to hold every school, teacher, parent and student accountable for learning.
Dallana | June 29, 2012 |
I cant figure out while the politicians have their head in the sand on this issue. The funding gap for Pensions is further aggravated by the wishful thinking that Market returns will come to the rescue.
Public sector pensions are being run like Ponzi schemes that have put some in jail. There is a fine line between corrupt fund mangers who take the money of new investors to pay the returns for earlier investors versus a pension plan that does the exact same.
Jonathan | May 2, 2012 |
I think we have to look at Union Pensions period as it seems many make terrible investment choices for some reason. I believe public servants should not have pensions exceeding what is in the general population. The wages of public servants in a majority of cases exceed the per capita GDP by two three and sometimes four times. Considering not only the teachers but public service pension funds were topped up it is hard to believe fishermen or forestry workers in this province would have an sympathy for a 1.65 billion dollar short fall. WE are headed for Greece here folks. The Civil Service rode the population with Pensions, Wages and retirements at 55 years of age. The people outside the civil resented paying taxes and the underground economy because the rule of thumb. We have the same conditions here in Nova Scotia. Ask the younger generation why they would stick around after graduation in the 2020s. The exodus is not going to be about higher wages in Western Canada but rather how badly future generations will be taxed for the sins of the selfish in this province.
peter | May 1, 2012 |
Few people appear to understand the effect of low interest rates on pension deficits. An assumption that low investment returns are the major cause of such deficits misses the role of interest rates in deficit test calculations. How much will the deficit decrease for each 1% increase in the interest rate used?
The no-penalty early retirement after age 55 benefit in the Teachers Plan seems a potential one to examine given its cost, and the trend to defer retirements and pensions due to increased life expectancy and later start to employment. The effect on the Plan’s deficit of making that benefit actuarially neutral to age 65 should be instructive for all concerned.
rb | May 1, 2012 |
And what about the option of having new teachers join a new defined contribution plan; is this necessary or not?
Bill R | May 1, 2012 |
If the current plan was left unchanged that would be a better deal for new teachers who otherwise will be big losers down the road. But that will not solve the problem with the current plan. In fact it will make it worse. The right response is to amend the current plan to be secure and equitable for all participants.
Bill | May 1, 2012 |
It just doesn’t make sense that any version of a public service pension fund is not able to fund itself . Something is wrong . The “employees” are able to contribute and the employer can match .So if the fund is in the hole because of investments than that point to the trustees and that means they have to called to account. Everyone is smarter now with their investments and a teachers pension plan should be able to avoid any significant risk investments .
The Province keeps saying it needs revenues but there seems to be a lack of effort to make sure what they can collect that they really try . We have hundreds of non residents renting summer homes and walk away with all the income, don’t pay commercial taxes nor collect HST and what do we do ? Ziltch. No just tax the good guys even more by adding a 2 % room tax ,millions in revenue that basically all goes to advertising ? These departments need to to show why they exist . Per capita, NS receives more equalization than does Quebec , so it seems we are lagging in our per capita financial management transparency.
PS | May 1, 2012 |
Right on !!!
What actual or real interest rate of growth are the actuaries using in calculating benefits?
Is it realistic and/or sustainable?
Bill | May 1, 2012 |
The answer is 6.4% . Given today’s very low returns ion fixed income investments it looks optimistic.
Bill Black
Bill | May 1, 2012 |
Bill,
Thanks for writing this and sending it out today. I receive a pension from the Provincial Government and I very strongly believe exactly what you have written about the Teachers’ Pension Plan. This matter has to be dealt with now and negotiation isn’t the answer. While I could have written your post before I read what you wrote, I wasn’t sure I knew all I should about the Teachers’ Pension Plan. Your timely post let me know my belief is sound. I always read what you take the time to write because I think of you as “knowing” and “wise”. Your posts come at the right time and they are very informative..
Please know I added a comment and posted a link to your page on my Facebook page.
Patricia Walsh Macne | May 1, 2012 |
How much more will it take before the last few people standing who are slaving under the most oppressive tax regime in the country finally revolt? I know plenty of hard wroking people who were retired Nortel workers. They lost their pension. No one stepped in to save them. And many of those started out their employment s government workers. These pension funds should NOT be topped up by gov’t at all. Why not ask Teachers (Ontario teachers pension fund) to bail them out. That makes more sense than asking the last few value creating tax payers in this province.
If they were overfunded they certainly wouldn’t be giving back to province, would they?
Paula | May 1, 2012 |