May 17, 2021
Message from NLTA President Dean Ingram
Dear Colleagues,
The NLTA continues to consider its full response to the Report of the Premier's Economic Recovery Team (PERT), however we have significant concerns about many of the assertions and assumptions contained therein. One of the glaring inaccuracies has to do with the funded status of the Teachers' Pension Plan.
In 2015, under the sole administration of government, the funding ratio of the Teachers’ Pension Plan was 62.7%, and the plan was projected to be exhausted within 30 years, placing retirement income for all teachers at risk. Not a glowing example of good management. As a result of pension reform and the 2016 Joint Sponsorship Agreement between government and the NLTA, along with the strategic investment plan that has been implemented by the Teachers’ Pension Plan Corporation, the funded status of the TPP fund has grown to 114%, with an 86% probability of remaining fully funded in 20 years.
Eliminating defined benefit pension plans, as recommended by the PERT, would serve only to weaken our competitiveness and drive more young professionals towards opportunities elsewhere.
I would encourage you to read the attached letter from Don Ash outlining the TPP inaccuracies contained in the PERT report with respect to the TPP. Don, a former NLTA Executive Director, is a retiree and pensioner with the TPP, and has written this piece to submit to the public consultations process on the PERT report once it begins. Don has permitted the Association to share his submission with members in advance.
The NLTA continues to await government's announcement of the details of the EngageNL process for consultations on the PERT report and we will keep members informed on how they can participate. However, you can see the NLTA's most up-to-date responses to the PERT report HERE.
Yours in solidarity,
Dean
