Defeated or retiring MPs will collect $1.4 million in annual pension payments, says the Canadian Taxpayers Federation.
On Monday, the watchdog group released its calculations of estimated pension or severance payments paid to the 51 members of Parliament who were either defeated in the federal election or did not seek re-election.
“Taxpayers shouldn’t feel too bad for the politicians who lost the election because they’ll be cashing big severance or pension cheques,” said CTF federal director Franco Terrazzano in a statement.
“Thanks to past pension reforms, taxpayers will not have to shoulder as much of the burden as they used to. But there’s more work to do to make politician pay affordable for taxpayers.”
Defeated or retiring MPs will collect $1.4 million in annual pension payments, reaching a cumulative total of $42 million by age 90, says the CTF. In addition, $3.3 million in severance cheques will be issued to former MPs.
Four former MPs will gather more than $100,000-plus a year in pension income. These pension payments will cost more than $13.6 million if these MPs continue to collect the pension to age 90. The four former MPs include:
Steven Blaney (Quebec): annual pension = $101,000; pension to age 90 = $4,404,300
Wayne Easter (P.E.I.), annual pension = $138,400; pension to age 90 = $2,805,800
Peter Kent (Ontario), annual pension = $100,500; pension to age 90 = $1,282,300
Geoff Regan (Nova Scotia), annual pension = $147,400; pension to age 90 = $5,159,000
Members of parliament received two pay raises during the pandemic, ranging from an extra $6,900 for a backbench MP to $13,800 for the prime minister.
The CTF is calling for politician pay and pension reform, in light of the $1-trillion federal debt. Reforms should include transitioning the MP pension plan to a matching RRSP-style pension, ending severance payments and reversing the pandemic pay hikes.
“There’s one trillion reasons why politician pay and benefits need to be more affordable,” said Terrazzano. “Taxpayers need to see leadership at the top and that means reforming pensions and reversing the pandemic pay raises that MPs pocketed.”