My 2 Sense My 2 Sense

My 2 Sense

Harper tells the world he's gonna hose the boomers on Old Age Pensions

DAVOS, Switzerland - Addressing the World Economic Forum, Prime Minister Stephen Harper signalled his government will bring forward "major transformations" to the country in the coming months.

Of those reforms, Harper said, getting a grip on slowing the rising costs of the country's pension system is particularly critical.

In the wake of Harper's speech, it now appears the Conservative government could be poised to gradually change the Old Age Security system so that the age of eligibility is raised to 67 from 65.

Old Age Pensions
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The Old Age Security only consumes about 2.41 per cent of GDP, much lower than in most countries. In 2031 at the top of the baby boom retirement demographic, the OAS will consume only 3.14 per cent of GDP. That's a lot of money, but it is not a catastrophe.

Generations of Canadians have been promised pensions under certain conditions and now the ground is being taken out from under them by Harper. Pension reform is just unnecessary yet Harper is not proceeding on logic, but ideology. First Harper caps federal health payments, now he wants to reform promised pensions. The large senior boomer demographic is unlikely to approve. In fact, Stevie not only gets the front page here, but also qualifies as Bonehead of the Week.

So here's what I don't get. All the economists, politicians and bureaucrats have known for 50 years about the baby boom phenomena. It's not rocket science to observe that this generation created the housing boom, car boom, entertainment and audo/video boom, university boom and technology boom. And its not rocket science to know that what follows a boom is a bust. So why is the pension thing such a big surprise to the government. Is there some reason our masters couldn't have planned ahead? Every new government of every party claims to know what's right for the country and the people. And year after year after year they're wrong. The sane conclusion MUST be that none of those who choose to run for office and succeed have any business doing so because they are incompetent.

And before you go messing with our Old Age Pensions, Mr. Harper, consider your own gold plated pension plan and that of all the members of Parliament and the Senate. Try starting there first.

The baby boom may be old, but we can still VOTE. Think about that Mr. Conservative.

Good luck in the next election.