Drummond on public pensions
Last week economists at the TD Bank called for uniform entrance requirements for the Employment Insurance program (although not asÂ low asÂ we’d like).Â Â This week in an article in the Globe and Mail,Â TD Bank’s chief economist Don Drummond has called into question the effectiveness of the RRSP system and suggested that we needÂ stronger public pensions, such as higherÂ benefits through the Canada Pension Plan.
“After 50 years of promoting RRSPs, we have to conclude they haven’t turned out as envisaged.Â I don’t know why we don’t just recognize this and make the needed adjustments to the retirement income system.”
This strikes me as pretty significant, given that his employerÂ derives a lot of its revenue from shilling RRSPs.
This makes it two weeks in a row that bank economists have expressed support for major issues that the labour movement and progressive economists have been pushing for.Â
What’s next?Â — and will political leadersÂ take heed?