MONTRÉAL, Jan. 15, 2015 /CNW Telbec/ - Standard Life and the Canadian Federation of Independent Business (CFIB) are pleased to offer as of today PrimaPension – a new retirement savings solution designed specifically to meet the requirements of small and mid-sized enterprises (SMEs) and their employees.
The PrimaPension solution will be distributed through Nexim Canada, a CFIB and Standard Life partner, and will help SMEs implement easily and promptly a Registered Retirement Savings Plan (RRSP) or a Voluntary Retirement Savings Plan (VRSP). Employees enrolling in PrimaPension will also benefit from life insurance policy coverage based on age and assets held in their accounts.
"In Quebec, under the new VRSP Act, SMEs with five or more employees are required to offer a retirement savings solution to their employees," stated Martine Hébert, Senior Vice President and National French Spokesperson at CFIB. "Although employers' obligations will become effective as of 2016 and on different dates based on their business size, we are pleased to be able to make immediately available to CFIB business members a product specifically designed for them. PrimaPension is a unique, 'turnkey,' simple and affordable solution that meets SMEs' specific requirements."
"More than half of SMEs in Canada do not provide their employees with a retirement savings solution, as they are often put off by the complex administration of such a program," explained Philippe Toupin, Vice-President, Group Solutions, Standard Life. "The solution we have developed can be easily set up by employers and will help more workers access an attractive retirement savings program."
"CFIB and Standard Life are well aware of the reality of SME leaders and have built a solution they will need very little time to implement. Nexim can provide the help and advice they need to make a knowledgeable decision," said Patrick Desormeau, President, Nexim Canada.
CFIB and Standard Life want to reiterate that saving for retirement is a significant issue for all Canadians. Therefore, the PrimaPension solution, which also includes the Pooled Registered Pension Plans (PRPPs), will be available in other Canadian provinces where retirement plan regulations will permit.
Notes to editors
1. PrimaPension is available to Quebec employers who will be required to provide their employees with a VRSP and to federally regulated employers who wish to provide the Pooled Registered Pension Plan (PRPP).
2. Nexim Canada is a firm entirely dedicated to innovative management and distribution of insurance plans and retirements savings plans intended for business members of the Canadian Federation of Independent Business (CFIB).
3. Standard Life and CFIB are working together to provide one of the very first association-based VRSP.
CFIB is the largest federation of small and medium-sized enterprises in Canada, with 109,000 members in all business areas and regions, including 24,000 members in Quebec.
About Standard Life
Standard Life provides long-term savings, investment and insurance solutions to more than 1.4 million Canadians, including group retirement and insurance plan members. It has 2,000 employees, and its main operating companies are The Standard Life Assurance Company of Canada and Standard Life Mutual Funds Ltd.
Its parent company, Standard Life plc, is headquartered in Scotland and operates in the UK, North America, Europe, Asia and the Middle East. It had $581 billion in assets under administration, including $52.1 billion in Canada, as at September 30, 2014.
SOURCE Canadian Federation of Independent Business
For further information: CFIB: Amélie Desrosiers, Media Relations Officer, Phone: 514 861-3234, ext. 224 | Cellular: 514 817-0228, [email protected]; Standard Life: Anne-Julie Gratton, External Communications and Public Affairs, 514 499-7999 or 1 877 499-9555, ext. 8150, [email protected]