A new business partnership has introduced a ‘turnkey’ pension product to the market for small and medium-sized employers.
A new pension product that will help small and medium-sized employers implement RRSP or a VRSP is on the market.
Standard Life and the Canadian Federation of Independent Business (CFIB) are teaming up to offer PrimaPension – a new retirement savings solution designed specifically to meet the requirements of small and mid-sized enterprises (SMEs) and their employees.
"In Quebec, under the new VRSP Act, SMEs with five or more employees are required to offer a retirement savings solution to their employees," stated Martine Hébert, Senior Vice President and National French Spokesperson at CFIB.
"Although employers' obligations will become effective as of 2016 and on different dates based on their business size, we are pleased to be able to make immediately available to CFIB business members a product specifically designed for them. PrimaPension is a unique, 'turnkey,' simple and affordable solution that meets SMEs' specific requirements."
Employees enrolling in PrimaPension will also benefit from life insurance policy coverage based on age and assets held in their accounts.
"More than half of SMEs in Canada do not provide their employees with a retirement savings solution, as they are often put off by the complex administration of such a program," explained Philippe Toupin, Vice-President, Group Solutions, Standard Life. "The solution we have developed can be easily set up by employers and will help more workers access an attractive retirement savings program."
PrimaPension will be available in other Canadian provinces where retirement plan regulations will permit.
