PSAC Pension Fightback Campaign

Don't steal my pension!

July 18, 2000

A judge in the Ontario Superior Court has dismissed the federal government’s motion to stop the PSAC from proceeding with its case against the government for passing Bill C-78 - the Public Sector Pension Investment Act.

The federal government argued that only the Federal Court (Trial Division) could deal with the case. Justice Lalonde did not agree. He directed that the case proceed in the Ontario Superior Court and awarded costs to the unions pursuing the case.

In November of 1999, the PSAC, together with other federal public service unions, filed a Statement of Claim against the federal government for grabbing the $30-billion surplus in the Public Service Superannuation Plans. The PSAC maintains that the government acted illegally when it passed the legislation and took the surplus and that it’s actions are contrary to the rule of law and discriminatory against federal public sector workers. The unions have asked the Court to declare that the government has acted illegally and to direct that the surplus be returned.

However, on July 7, the federal government filed an appeal of Justice Lalonde’s decision. Given that there is $30-billion at stake, it is not surprising that the government will try to use every possible avenue to fight the case.

The time limit for the federal government to file their Statement of Defence had been suspended pending their motion. As of the date of Justice Lalonde’s decision (June 26, 2000), the government has thirty days in which to file their Statement and PSAC will insist that they do so, regardless of their appeal.