Finance Minister Chrystia Freeland did not disclose a specific timeline for determining Alberta’s entitlement to the Canada Pension Plan, citing the complexities of pensions and the need for input from all provinces and territories before reaching a conclusion. Following a special meeting with her provincial and territorial counterparts, Freeland stated that officials presented the group with a report on the significant amount of work required to calculate the number she had requested from the chief actuary in November. The ministers agreed to reconvene in January to discuss progress further.
Alberta Premier Danielle Smith’s push to withdraw from the Canada Pension Plan in favor of an Alberta-only version prompted the ministers to convene last month. Smith initiated the move in September, stating that Alberta is entitled to 53% of the Canada Pension Plan, equivalent to $334 billion, as estimated in the Lifeworks report. However, other economists, including those from the Canada Pension Plan Investment Board, believe that Alberta’s share is closer to 15% based on its percentage of the CPP membership.
Minister Freeland clarified that Alberta’s path to exit the federal pension and establish its own plan is ultimately up to the people of Alberta, with no limit on which province or territory can exit the federal pension. Despite the push by Alberta, Finance Minister Nate Horner addressed the need for a careful and deliberate approach, emphasizing transparency and independent legal analysis of the chief actuary. Additionally, Freeland and the ministers also discussed housing, inflation, and the country’s economic outlook with Bank of Canada governor Tiff Macklem.