By 2047, the costs of OAS and GIS will increase by an estimated 47 per cent.
Statistics Canada looked at the impact of aging on labour market participation rates.
As Canada's finance ministers meet to discuss the Canada Pension Plan, the debate has thus far been insulated from international pension models and limited to whether or not we should expand the CPP.
In 2012, the federal government shocked many Canadians by announcing an important change in the cherished Old Age Security (OAS) program, one of three key income programs for seniors. The reform, which was implemented in the 2013 budget, increases the age of eligibility for OAS to 67 from 65 beginning in 2023 with full implementation achieved in 2029. While the reform is a positive first step given the aging of Canadians, more is needed.
When Alberta Premier Alison Redford took to the television screen the other night, she paid much attention to the revenue side of the governments books. On Albertas massive budget deficit, the premier blamed the below-world price that Alberta-based companies receive for oil.
Like many of the other proposals floated by a variety of groups, the IRPP study suggests expanding mandatory savings by expanding the Canada Pension Plan (CPP). Similar to all the other proposals, this latest one is overkill for a policy issue that has seriously been overblown, and comes with a number of adverse consequences.