GOV'T ADVISORY COUNCIL SUGGESTS OTTAWA RECONSIDER RAISING AGE OF RETIREMENT ELIGIBILITY
Feb 06, 2017
By Bob Komsic
Increasing the age of retirement eligibility and a possible national child-care program are two of the recommendations from a Trudeau government picked council of economic advisers.
The 14-member Advisory Council on Economic Growth has released a report that suggests helping workers upgrade their skills for the rapidly evolving job market.
It says Canadians need to be encouraged to put off retirement by raising the eligibility age for Old Age Security and the Canada Pension Plan.
The council recommends the government reconsider its move to keep the age of eligibility at 65, saying it should be ”recalibrated and increased to meet the Canadian reality of an aging society and a considerably longer life expectancy.”
The report also suggests that would be voluntary, such as allowing an individual to put off collecting Canadian Pension Plan benefits beyond the current age limit of 70, in return for more generous benefits in the future.
The council points out the workforce participation rate of older workers is 62-percent in the top performing OECD countries, but only 54-percent in Canada.
Closing that gap it estimates could add $56-billion to Canada’s Gross Domestic Product.