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Federal Retirees Hit Hardest by 2014 Federal Budget

OTTAWA, ONTARIO -- (Marketwired) -- 02/13/14 -- Federal retirees are feeling betrayed by the decision in the 2014 federal budget which will see the government arbitrarily double the Public Service Health Care Plan (PSHCP) premiums for veterans of the Forces and RCMP and retired public servants. The government also signalled its intention to increase the eligibility period required for health insurance coverage in retirement, from two years to six.

"Federal retirees and in particular our veterans, are disappointed that the government chose to announce this unilateral move in the budget," says National President Gary Oberg. "We believe this is unprecedented and flies in the face of the principles of negotiation."

Retiree costs and eligibility for the PSHCP have been the subject of ongoing negotiations within the National Joint Council, comprised of federal employee unions, the National Association of Federal Retirees and the Treasury Board. In summer 2013, media reports alerted federal retirees to the possibility of the Treasury Board imposing non-negotiable changes to retiree health insurance coverage. The National Association of Federal Retirees launched the advocacy campaign Honour Your Promise, writing tens of thousands of letters to their Members of Parliament and to Treasury Board President Tony Clement, as well as signing petitions with more than 24,000 signatures. The letters and petitions ask Treasury Board President Tony Clement to honour the promises made to federal retirees and to immediately stop plans that are detrimental to the retirement and health care security of any Canadian.

"We have trusted that this government would honour the negotiation process, as well as its promises," says Oberg. "Yesterday's budget demonstrated that this government does not respect the negotiation process and that they seem to believe that they have the right to legislate what should be negotiated."

FSNA is the largest national advocacy organization representing over 186,000 active and retired members of the federal public sector. Our members include federal public servants, veterans of the Canadian Forces and the RCMP and federally-appointed judges, as well as their partners and survivors. FSNA is a not-for-profit association with 83 branches across Canada that is focused on elevating retirement income and health care security for all Canadians. Even in retirement, Canada's public servants and veterans are proud to continue to serve Canadians.

Contacts:
Rosemary Pitfield
Director of Communications
Office: 613-745-2559 ext 225
Mobile: 613-323-0872

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