TORONTO, Nov. 4, 2013 /CNW/ - Enhancements to the Canada Pension Plan that will increase the cost of hiring workers are worrisome for labour-intensive restaurant employers, says the Canadian Restaurant and Foodservices Association (CRFA).
"The restaurant industry is one of the country's largest employers and the number one place where Canadians get their first-job experience," said CRFA President and CEO Garth Whyte. "Increasing CPP premiums puts these opportunities at risk. There are better options to address concerns about retirement income for middle and higher income earners."
As the provinces acknowledged in the principles they released on Friday, raising the premiums paid by lower-income earners and their employers will not increase future benefits for these workers, but will reduce their take-home pay and jeopardize their current jobs and job prospects.
CRFA will be carefully monitoring the CPP options put forward by provincial governments over the next several weeks to ensure they do not result in additional costs that penalize lower income earners and discourage job creation.
CRFA is one of Canada's largest business associations, with 30,000 members representing restaurants, bars, caterers, institutions and other foodservice providers. Canada's $65-billion restaurant industry employs more than one million people in communities across the country.
SOURCE: Canadian Restaurant and Foodservices Association
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Contact: Mary Gazze, Communications Specialist, 1-800-387-5649, ext. 4226 or [email protected].