Nova Scotia

Province to contribute extra $21 million to NSTU pension plan

Taxpayers will be on the hook for an additional $21 million over three years to help fix the Nova Scotia Teachers Union's (NSTU) underfunded pension plan. The increased contributions will be matched by those of working teachers.

Plan is currently 75 per cent funded

Taxpayers will be on the hook for an additional $21 million over three years to help fix the Nova Scotia Teachers Union's (NSTU) underfunded pension plan. The increased contributions will be matched by those of working teachers.

"We expect the long-term health of the plan to gradually improve with these changes," said Finance Minister Diana Whalen in a statement.

The plan is 75 per cent funded.

Most retired teachers receive indexed pensions and taxpayers have been paying between $6 and $12 million annually towards indexation for those who will retire in the future.

The plan has over 30,000 members and covers public school teachers and members at the Nova Scotia Community College.