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New small business data on CPP: expansion without consultation “irresponsible” MB

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69 per cent of Manitoba small firms reject CPP deal; 87 per cent call for delay

Winnipeg, July 6, 2016 – With a July 15th deadline looming for provincial leaders to commit Canadians to a lifetime of increased CPP, eight in 10 small business owners are calling on governments to delay a final agreement in favour of consulting with Canadians and conducting a full economic impact analysis according to a new Canadian Federation of Independent Business (CFIB) survey.

Having received details on the agreement in principle, business owners oppose the proposed deal by a ratio of five to one in Manitoba (three to one across Canada). In Ontario, where the provincial government’s alternative was even worse than a CPP hike, opposition to the proposed deal was two to one.

“The government skipped the consultation phase so CFIB took it upon itself to consult with small business owners who will be deeply affected,” said Dan Kelly, CFIB president. “The agreement in principle was made behind closed doors, and far away from Canada’s economic reality. We’re calling on governments to bring the deal to Canadians and to give them time to decide if this is the best deal for them. If it’s as good a deal as some governments are claiming, then they should have nothing to be afraid of by discussing its economic impact with the public.”

Small business owners call for evidence before a decision is made

Eighty-seven per cent of Manitoba small business owners (83% nationally) said that it is irresponsible for governments to proceed with CPP expansion without conducting public consultations and providing an economic impact analysis. Another 81 per cent (75% nationally) agreed that there are better ways to help Canadians save for their retirement than to expand the CPP.

“Small business owners, like most Canadians, believe in evidence-based decision making. All they are asking for is that the evidence actually be collected before any decision is made,” added Marilyn Braun-Pollon, vice-president prairie and agri-business. “It is also critical that time be permitted to review important amendments being proposed by Manitoba and Quebec, which did not sign off on the deal. Small businesses support Quebec’s proposal to exempt lower income Canadians from the premium increase.”

How the proposed plan will impact Manitoba small businesses

  • 75 per cent report the proposed CPP expansion plan would increase pressure to freeze or cut salaries
  • 50 per cent say they would have to reduce investments in their business
  • 35 per cent would be forced to cut positions

The survey was conducted between June 29 and July 4, 2016 with 3,460 respondents across Canada excluding Quebec (131 Manitoba responses).

To arrange an interview with Dan Kelly, please contact Ryan Mallough at 416-222-8022, 647-464-2814 or [email protected].

To arrange an interview with Marilyn Braun-Pollon, Vice-President Prairie and Agri-business, please call 1 888-234-2232, 204-982-0817 or email [email protected]. You can also follow CFIB Manitoba on Twitter @cfibMB.

CFIB is Canada’s largest association of small- and medium-sized businesses with 109,000 members (4,800 in Manitoba) across every sector and region.