On March 22, 2011, the federal government introduced its 2011 Budget “A Low-Tax Plan for Jobs and Growth”.  Highlights in the Budget of interest to employers include:

• elimination of the mandatory retirement age for federally regulated employees
• volunteer firefighters tax credit
• anti-avoidance rules for RRSPs
• increase in EI premiums limited to 5 cents in 2011 and 10 cents for subsequent years
• restriction of  "loopholes" relating to tax deferrals under individual pension plans
• extension of work-sharing agreements by up to 16 weeks
• enhancement of the Wage Earner Protection Program
• temporary Hiring Credit for Small Business
• enhancement of the Guaranteed Income Supplement
• extension of the Targeted Initiative for Older Workers
• review of existing rules for Employee Profit Sharing Plans
• expansion of Labour Canada’s Preventive Mediation Program.

Our FTR Now contains more detailed information on the Budget. (Note: it is unknown at this point whether the Budget will pass.)