Bill to Create New Teachers' Pension Act

Finance Minister Don Downe introduced a bill today to create a new Teachers' Pension Act.

"This bill represents a partnership between the government and the Nova Scotia Teachers Union," said Mr. Downe. "The new act gives the teachers a much larger say in setting policy for their future pensions."

The minister said he was also pleased the bill writes into law an obligation to ensure benefit improvements are properly funded.

"In the past, improvements were made without proper funding. As a result, the pension plan incurred significant unfunded liabilities," said Mr. Downe. " In 1993, the teachers and the taxpayers incurred significant costs in putting the plan on a path to financial recovery. We want to make sure the need for that does not arise again."

The proposed act has the full support of the Nova Scotia Teachers Union. It updates the current administrative and legal practices as well as allows the teachers' union a more significant policy-setting role. The government retains the guarantee to fund teachers' pensions and the responsibility to administer the fund.