The Ontario Real Estate Association (OREA) is joining the Ontario Chamber of Commerce (OCC) to speak out about the new Ontario Retirement Pension Plan (ORPP) and its impact on small and medium sized businesses in the province.
Earlier this month, a letter was sent by the OCC, signed by OREA and 170 other organizations, to the Premier expressing serious concerns over the proposed definition of the ORPP’s ‘comparability’.
In an April survey of OREA members, the majority of respondents supported the voluntary Pooled Retirement Pension Plan (PRPP) compared to the mandatory Ontario Retirement Pension Plan (ORPP) (52% versus 37%).OREA members expressed significant concern about the ORPP because of its mandatory participation (69%) and because it is a government-managed savings plan (53%).
When it comes to retirement savings for the self-employed, OREA supports the government’s initiative to introduce PRPPs. REALTORS® are thankful that the government recognizes the flexibility, voluntary participation and portability of PRPPs.
OREA hopes that the government’s willingness to introduce PRPPs will lead them to expand the definition of comparability to mitigate the impacts that the ORPP will have on employers who are already investing in the retirement savings of their employees.