The Pension Plan Crisis Continues . . . And Its Grip Is Stronger

Canada’s pension plan crisis remains a topic of vigorous debate. Media talk about earlier declines in pension fund returns—combined with the effect of low bond yields on actuarial liabilities—has now been joined by discussions about the implications of recent court decisions on pension plan surpluses and mergers. But what do Canadian CFOs have to say? The results of a new survey, reported in The Pension Plan Crisis Continues… And Its Grip Is Stronger, suggest some worrying trends. For instance, the proportion of CFOs who believe there is a pension plan crisis in Canada has more than doubled in the past year. The survey, carried out by Signal49 Research in collaboration with Watson Wyatt, follows up on a 2004 survey investigating CFOs’ perspectives on, and their organizations’ responses to, the pension plan crisis.