Feb 19: BEST FROM THE BLOGOSPHERE 

February 19, 2024

Childcare workers in Nova Scotia get pensions, wage hikes

Licensed childcare workers in Nova Scotia are about to receive not only pay raises, but pensions and benefits, reports Global News.

The Nova Scotia Minister of Early Childhood Development called the move “a milestone in the professionalization” of the sector, Global reports.

“We understand that having a strong, stable early-learning … system means implementing programs and benefits that support the recruitment, retention and recognition of staff,” Minister Becky Druhan tells Global.

In Nova Scotia, the total cost of the wage/pension/benefits package is estimated to be $111 million, with the province providing $75.7 million and Ottawa providing the rest, the article notes.

Wage increases of “$3.14 to $4.24 per hour” will begin in April, and follow wage increases rolled out in 2022. The goal, reports Global, is “making working in childcare a more attractive option for those considering a career.”

The wage increases, reports the CBC, will help employees with their share of contributions to their new pension plan, operated by the Colleges of Applied Arts and Technology Pension Plan (CAAT).  The benefits plan is operated by “the non-profit Health Association of Nova Scotia,” the CBC article notes.

“Once they’re enrolled, (early childhood educators) will contribute five per cent of their pay to each plan. Full-time child-care workers will see between $66 and $124 deducted for the new health benefits each paycheque, and another $80 to $100 for the pension plan,” the CBC reports.

CAAT’s DBplus pension plan is open to any Canadian employer. Save with SPP spoke with CAAT’s Derek Dobson on the progress of the new plan a couple of years ago.

Offering pensions and benefits to employees has long been viewed as a great way to attract and retain employees.

Did you know that the Saskatchewan Pension Plan’s voluntary defined contribution pension plan is not just for individuals, but can be offered as a company pension plan by Canadian employers?

With SPP, there are multiple options for employers who want to offer a pension plan for their team.

Employers can set up a “start up” pension plan, where a one-time employer contribution is made to individual employee SPP plans. Alternatively, you can set up a “employer match plan” where any contributions made by employees receive a matching employer contribution. There’s the “basic pension plan” option, where the employer offers the plan, and the employees contribute (no employer match), and the “performance pension plan,” an incentive-based retirement program.

Full details can be found here. Find out how SPP can help your employees save for retirement, with a flexible array of plan designs! Check out SPP today.

Join the Wealthcare Revolution – follow SPP on Facebook!

CAAT, CBC, Derek Dobson

---

---