/R E P E A T -- The hidden face of Indexation: $2 Billion loss for State Retirees/



    QUEBEC, June 3 /CNW Telbec/ - According to the information scattered
throughout the 184 pages of appendixes contained in the report produced by the
Comité de travail sur l'évaluation du coût de l'indexation des régimes de
retraite and assembled by the Association québécoise des retraité(e)s des
secteurs public et parapublic (AQRP), State retirees lost about 1.9 billion
dollars due to the de-indexation of their retirement plans, which affects some
187,000 people who opted for retirement between 1983 and 2006.
    This corresponds to an average $10,000 loss of purchasing power for each
retiree. The situation is worse for those who retired in 1988, their
purchasing power has eroded, on average, by $20,000. The nearly 50,000 people
who retired between 1996 and 1997 have accumulated an average loss of
purchasing power nearing $13,000.
    AQRP is strongly decrying the government's trivialization of the public
and paragovernmental sectors' de-indexation of their retirement plans. In a
context of full disclosure, all of the facts and figures illustrating
retirees' eroding purchasing power should have been presented clearly in the
committee's report. It is unacceptable that information critical to
understanding the whole picture be hidden amid 184 pages of administrative
verbiage.
    "All of the main associations representing retirees from the public and
paragovernmental sectors must be heard by the parliamentary commission, which
is scheduled to take place by next fall. It is unfortunate that the government
has already decided to reveal the results of a process that obviously lacked
neutrality, and it should not go as far as keeping retirees from public and
paragovernmental sectors from stating their views about their chief concern.
It is essential that we shed some light on the de-indexation of public and
paragovernmental retirement plans, which has been making us poorer year after
year for more than 25 years. Only a wide-ranging consultation can make this
happen," reiterated Mrs. Madelaine Michaud, President of AQRP.
    The file illustrating data consolidated by AQRP and the estimated loss of
retiree purchasing power is available at the following address:
http://www.aqrp.qc.ca/perte_tous.xls .
    The Comité de travail sur l'évaluation du coût de l'indexation des
régimes de retraite was created December 6, 2007. The working committee's
purpose was to factually determine the main parameters and pertinent facts
related to retirement plan indexation in the public and paragovernmental
sectors from 1982 to 1999. The committee was to submit a unanimous report by
February 29, 2008. Representatives for retirees expressed their
dissatisfaction several times and emphasized the lack of neutrality of the
project's report as prepared by the Conseil du trésor. Those representing
retirees refused to endorse the committee's final report, which was finally
rendered public without their agreement May 29, 2008.

    Founded in 1968 and consisting of more than 23,000 members, the
Association québécoise des retraité(e)s des secteurs public et parapublic
(AQRP) is the most important independent association representing public and
paragovernmental sector retirees in Quebec.




For further information:

For further information: Mathieu Santerre, (418) 928-2608,
communication@aqrp.qc.ca; Source: AQRP

Organization Profile

AQRP - Association québécoise des retraité(e)s des secteurs public et parapublic

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