No law in place to protect Canadian pensioners

As of right now, Canada has no plan in place to protect pensioners in the aftermath of bankruptcy situations, like the one that swallowed Sears Canada whole.

Liberal Innovation Minister Navdeep Bains confirmed the absence of such a strategy on Wednesday last week, saying that the government is “open to discussions.”

Currently, pensioners don’t hold any priority in divvying up assets during bankruptcy proceedings.

A law firm representing the pensioners of Sears Canada has asked the agency overseeing the company’s liquidation to first pay out the owed pension funds.

The pensioners are owed $270 million, though benefits, such as life insurance and dental, were discontinued in September.