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Flaherty in Talks to Extend Air Canada Pension Rules Easing

Canadian Finance Minister Jim Flaherty said he is in discussions with Air Canada and its unions about the possibility of extending a moratorium on reduced funding payments for its pension plans.

Flaherty said all parties, including the company’s retired workers, need to be part of an agreement before any additional changes are made. Flaherty agreed in 2009 on a 21-month moratorium on payments covering past service.

“This is not easy because the pension obligations are quite large so I anticipate it will be a difficult road but I hope all the parties will be able to agree,” Flaherty said in a conference call with reporters from Ireland.

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