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ARTICLE · 23 FEBRUARY 2016

An Update On The ORPP For Employers

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On February 16, 2016, the Ontario Finance Minister announced a one-year delay in the launch of the Ontario Retirement Pension Plan (ORPP), in order to allow time for the federal government...

CanadaEmployment and HR
Susan Seller
Susan Seller
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On February 16, 2016, the Ontario Finance Minister announced a one-year delay in the launch of the Ontario Retirement Pension Plan (ORPP), in order to allow time for the federal government and the provinces to discuss enhancements to the Canada Pension Plan (CPP). As a result, ORPP enrolment will now begin in 2017 (one year later than the original start date) and the first stage of contributions to the ORPP will not start until 2018 (rather than 2017).

This means that, unless the provinces reach an agreement on expansion of the CPP over the next year or so, the ORPP will now be phased in for Ontario employers over a period of four years beginning in 2018. Once it has fully come into effect, the ORPP will require eligible Ontario employees without a comparable workplace pension plan to be covered by the ORPP. The ORPP is modelled on the Canada Pension Plan and is designed to strengthen retirement income security by extending workplace pension coverage to Ontario

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