delete Retirement Compensation Arrangements Regulations, No. 1
Establishes a mandatory retirement compensation arrangement (pension) for federal public servants, RCMP, and Canadian Forces members. Sets contribution rates (typically double the Public Service Superannuation Act rates), defines eligibility criteria including election mechanisms for deputy heads, and calculates benefits based on pensionable service and salary. Includes provisions for transfers, death benefits, and repayment of overpayments.
It forces mandatory participation in a government-run defined benefit scheme that distorts labor markets by making public sector jobs artificially attractive relative to private sector entrepreneurship. This misallocation of talent contributes to brain drain and reduces economic dynamism. The guaranteed nature creates unsustainable liabilities for taxpayers while restricting individual liberty to choose private retirement arrangements that better align personal responsibility with market discipline.