• Non-profit workers offered chance to join Ontario public sector pension plan

    As many as one million Ontarians who work for registered charities and non-profit organizations will be eligible to join the provincial government pension plan under an agreement being announced Monday… Everything from non-profit arts and culture organizations, daycares, sports and recreation facilities to health and social service providers will be invited to participate. “Hardly anyone in the sector has benefits or pensions, and our research has found this has become a significant recruitment and retention issue,”

  • Social policy-making still stealthy after all these years

    Governments seem to love the stealth approach because history proves they can get away with it − for a while at least… Social policy by stealth has two main dimensions: indexation and complexity. Understanding these dimensions allows us to better understand and design social policy… Today, indexation stacks up pretty well. Most of Canada’s income programs and taxes are fully indexed… However, other programs are still complex. Employment Insurance… the Canada Pension Plan… Welfare remains a labyrinth that seems impervious to reform. The majority of welfare systems remain un-indexed.

  • Labour force participation, immigration headline OECD’s Canada report

    … the OECD recommended, among other things, that Canada invest more in affordable child care, raise its retirement age and do a better job matching immigration applicants’ qualifications and experience to specific skills needs… “Get people to work longer or retire later, increasing female participation – that kind of thing has a bigger effect than changes in feasible amounts of immigration,”

  • Deferring Receipt of Public Pension Benefits: A Tool for Flexibility

    C/QPP benefits can start at any time between age 60 and 70 and Old Age Security benefits at any time between 65 and 70… “Pushing back the deferral period to age 75 would enhance retirement planning flexibility for many middle-income Canadians,” says Morency. “As we wait for broader enhancements to be completed over the coming decades, this reform would be a good first step.”

  • ‘Unretirement’: Why many Americans try retirement and then change their minds

    A 2010 analysis… found that more than a quarter of retirees later resumed working… in 2017… almost 40 per cent of workers over 65 had previously, at some point, retired… the Bureau of Labor Statistics supports that observation. It reported that the proportion of Americans over age 65 who were employed, full-time or part time, had climbed steadily from 12.8 per cent in 2000 to 18.8 per cent in 2016. More than half were working full time.

  • Later Retirement versus Higher Immigration as Remedies for an Aging Population

    Increasing the age at which Canadians typically cease work and access benefits such as pensions is a far more practical and powerful tool to mitigate the economic and fiscal stresses of aging… Safeguarding our living standards and public programs against the stresses of aging requires other tools – in particular, rewards for people who stay economically active into their 60s and beyond. If we foster longer working life and address other challenges facing our pensions and healthcare, we will handle demographic change much better

  • After the Sears debacle, why is Ontario making it easier to underfund pensions?

    Leaving retirees to scramble in their golden years is cruel, and it is unconscionable to expect an overtaxed middle class to foot the bill for corporate chicanery. If governments won’t stop companies from dodging their pension obligations, it’s just a matter of time before we see the next Sears Canada. And that’s a prospect that should worry us all.

  • Pooled Risk Insurance Can Save Seniors from Cat Food

    Longevity insurance can provide a secure income stream at older ages without many of the criticisms associated with traditional annuities, but Canadian tax environment is unfavourable for private-market longevity risk products. MacDonald proposes a national, completely voluntary program that would give retiring Canadians the option to buy into a pooled fund that provides a stable income stream starting at age 85: Canada’s Living Income For the Elderly (LIFE).

  • The Lion’s Share: Pension deficits and shareholder payments among Canada’s largest companies

    This study examines the status of the defined benefit (DB) pension plans of Canada’s largest publicly-traded companies. Thirty-nine companies on the S&P/TSX 60 maintain DB pension plans, amounting to one-third of all private sector pension plan assets in Canada. However, only nine plans were fully funded in 2016. Together, the 39 companies oversaw a $10.8 billion deficit in their pension plans in 2016, while increasing shareholder payouts from $31.9 billion in 2011 to $46.9 billion last year.

  • The Lion’s Share: Pension deficits and shareholder payments among Canada’s largest companies

    … 39 companies oversaw a $10.8 billion deficit in their pension plans in 2016, while increasing shareholder payouts from $31.9 billion in 2011 to $46.9 billion last year. This paper, co-published by the CCPA and the Canadian Labour Congress, details the extent to which DB pension plans among S&P/TSX 60 companies are underfunded, provides the cost to shareholders that eliminating the pension deficits would pose, and offers a series of recommendations for ensuring the security of retirees’ benefits.