Hawranik renews calls for an economic update

January 30, 2009�

Progressive Conservative Deputy Finance Critic Gerald Hawranik says pensions in Manitoba are hurting – and the NDP government has a duty to inform Manitobans about the extent of the losses.

Recently, the City of Winnipeg announced a 10 per cent decline in its pension fund. This week, the media reported that in 2008, contributors saw the Teachers’ Retirement Allowances Fund (TRAF) drop by 15 per cent – a loss of more than $345 million and the Civil Service Superannuation Fund (CSSF) – the largest public pension fund in Manitoba – plunged between 13 and 17 per cent, totaling almost a half billion dollars.

“These losses affect thousands of Manitobans,” Hawranik said. “TRAF saw its largest single year drop in history, but the government did not feel the need to report the losses to the public. The government has a duty to confirm these losses, update Manitobans so they know where their pensions stand and inform them if their contributions will be going up as a means to recoup the losses.”

Hawranik raised concerns about the $1.5 billion investment into TRAF the province made in 2007.

“How much of the $1.5 billion that was borrowed to invest in TRAF has gone straight down the drain?” Hawranik asked. “These are questions the government has a duty to answer. Rather than bury this information, the government should be upfront so Manitobans know how to manage their financial future.”

Hawranik said it’s even more reason an important reason for the government to provide an economic update to the public.

“We know the government can’t control these losses, but Manitobans shouldn’t have to wait until the next budget for the government to keep them informed of where they stand.”

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