Dan Kelly, President of the Canadian Federation of Independent Business (CFIB) speaks in Toronto on Thursday, September 11 2014. he Canadian Federation of Independent Business has asked the federal government to hold Canada Pension Plan premiums at current levels next year when they’re scheduled to rise. THE CANADIAN PRESS/Chris Young

Dan Kelly, President of the Canadian Federation of Independent Business (CFIB) speaks in Toronto on Thursday, September 11 2014. he Canadian Federation of Independent Business has asked the federal government to hold Canada Pension Plan premiums at current levels next year when they’re scheduled to rise. THE CANADIAN PRESS/Chris Young

CFIB calls for freeze on Canada Pension Plan premiums set to rise on Jan. 1

CFIB says employees could see their take-home pay fall when their CPP premiums go up

The Canadian Federation of Independent Business has asked the federal government to hold Canada Pension Plan premiums at current levels next year when they’re scheduled to rise.

The national lobby group for small and mid-sized businesses says that higher CPP rates will be a financial burden to both employers and employees as they struggle with the pandemic.

The CFIB estimates that one-third of small businesses are currently losing money during the pandemic and higher payroll taxes will limit their ability to hire and pay employees.

CFIB says employees could see their take-home pay fall when their CPP premiums go up.

The CFIB has long opposed a federal and provincial agreement to gradually raise CPP premiums over several years to improve retirement benefits for employees over the long term.

CFIB President Dan Kelly says higher mandatory expenses like pension premiums are hard for small businesses any year and will be even harder in 2021 because of COVID-19.

“Let’s not forget that the premium hike hits employees too, ensuring that every working Canadian will see a drop in their take-home income unless their employer is able to give them a larger raise on Jan. 1,” Kelly said in a statement.

The Canadian Press


Like us on Facebook and follow us on Twitter.

Want to support local journalism during the pandemic? Make a donation here.

Coronaviruseconomy

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

COVID-19. (Image courtesy CDC)
COVID-19 exposure at The Key, weather shelter announced in Fort St. James

Northern Health made the public service announcement Dec. 1

An aerial shot of Cedar Valley Lodge this past August, LNG Canada’s newest accommodation for workers. This is where several employees are isolating after a COVID-19 outbreak was declared on Nov. 19. (Photo courtesy of LNG Canada)
52 positive COVID-19 cases now associated with LNG Canada site outbreak

Eight cases still active, 44 considered recovered

COVID-19. (Image courtesy CDC)
Second COVID-19 exposure incident confirmed at Fort St. James Secondary

First exposure incident at the high school was announced Nov.26

MLA John Rustad with Kate Ryan-Lloyd, Clerk of the Legislative Assembly during his swearing-in ceremony. (Submitted photo)
John Rustad officially sworn-in as MLA in virtual ceremony

Official swearing-in took place Friday, Nov.27

Fort St. James Secondary School announced a confirmed incident of COVID-19 exposure at the school. (Black Press file photo)
COVID-19 exposure confirmed at Fort St. James Secondary School

Northern Health will be following up directly with anyone who is identified as a close contact

A tongue-in-cheek message about wearing a face mask to curb the spread of COVID-19 on a sign outside a church near Royal Columbia Hospital, in New Westminster, B.C., on Sunday, Nov. 29, 2020. THE CANADIAN PRESS/Darryl Dyck
B.C.’s COVID-19 infection count climbs back up to 656

20 more people in hospital, active cases still rising

The Walking Curriculum gets students outside and connecting with nature. (Amanda Peterson/Special to S.F. Examiner)
‘Walking Curriculum’ crafted by SFU professor surges in popularity

The outdoor curriculum encourages students to connect with the natural world

THE CANADIAN PRESS/Nathan Denette
B.C. researchers launch study to test kids, young adults for COVID-19 antibodies

Kids and youth can often be asymptomatic carriers of the novel coronavirus

Cannabis bought in British Columbia (Ashley Wadhwani/Black Press Media)
Is it time to start thinking about greener ways to package cannabis?

Packaging suppliers are still figuring eco-friendly and affordable packaging options that fit the mandates of Cannabis Regulations

A sign is seen this past summer outside the Yunesit’in Government office west of Williams Lake reminding visitors and members to stay safe amid the COVID-19 pandemic. (Rebecca Dyok photo)
B.C. First Nation leaders await privacy commissioner decision on COVID-19 information

Release of life-saving data cannot wait, says coalition of First Nations

MLA Jennifer Whiteside is B.C.’s new minister of education. She is speaking out against Chilliwack school trustee Barry Neufeld and asking him to resign. (Black Press)
New education minister calls on Chilliwack trustee to resign

Whiteside echoes former minister’s promise to look at options to remove Barry Neufeld

Peter Beckett. ~ File photo
Supreme Court of Canada to decide if it will hear appeal in 2010 wife murder trial

Peter Beckett has stood trial twice for murder in connection with the death of his wife, Laura Letts-Beckett

Tabor Home in Abbotsford. (Ben Lypka/Abbotsford News)
B.C.’s largest COVID-19 care-home outbreak records 19 deaths, 147 cases

Tabor Home in Abbotsford has been battling outbreak since Nov. 4

Most Read