The new model is intended to make pensions more sustainable and avoid large unfunded liabilities. Susan Rowland, who was a member of the task force that developed the model, says it would mean slightly higher premiums.
She says for employees the increase premiums will range from 1.2 and 2.8 per cent. She calls them modest increases and a good tradeoff for the kind of security this model with deliver.
Premier David Alward says the new model will also be used for members of the legislature.
