NDP accuses Ont. government of abandoning pension guarantee fund

The New Democrats are accusing the Ontario government of abandoning the pension benefits guarantee fund at the very time when workers need it most.

The fund provides pensioners with up to $1,000 a month in the event a pension plan fails to provide its full benefit or any benefit at all.

Currently at $100 million, the government admits the fund is dramatically underfunded, especially when the General Motors pension shortfall alone could top $6 billion.

NDP Leader Andrea Horwath says the province should make a loan to the fund to ensure it can help workers whose pension plans fail.

She says the government is essentially telling workers they're on their own and the province has no responsibility to safeguard their pensions.

Finance Minister Dwight Duncan says no Ontario government has ever stood behind the pension guarantee fund, which he compares to an insurance policy that no one has paid the premiums on.