By the Numbers – Seniors, Pensions and Income Security

By the Numbers – Seniors, Pensions and Income SecurityToronto – September 15, 2018 – Decent workplace pensions not only provide income security for seniors, but also for the communities they live in. Last year, retirees with a Defined Benefit Pension plan provided the economy $63 billion dollars in spending (a Defined Plan is where the pension payout is guaranteed to the dollar based on employer and employee contributions, and the worker’s years of service; unlike a Defined Contribution plan which offers no guarantee of what the actual retirement benefit will be). It is another good reason that today, and in the future, the creation and preservation of good union jobs and benefits are vital to the security and well-being of workers, families and seniors.

The number of Canadians over 65 is expected to double by 2036, according to Statistics Canada. In fact, the fastest-growing segment of the Canadian population is made up of people over 85.

Canadians are living on average 80.2 years. The average for women is 82.6 years, and for men, 77.8 years.

Average yearly income of a single retired person without a workplace or private pension. This includes Canada Pension, Old Age Pension, and the Guaranteed Income Supplement.

The percentage of seniors living in poverty. In 1995, that percentage was 3.9%.

Percentage of workers with a defined benefits pension plan who are confident they can retire securely.

Percentage of workers with Defined Contribution plan who are confident they can retire securely.

$63 billion
Annual spending by Defined Benefits retirees. This group also contributes over $9 billion in income taxes.

From 2006 to 2013, over 300,000 more seniors joined the labour force – a 96% increase. The employment rate for men over 55 rose from 37.6% to 44.9% and for women it increased from 22.3% to 36.6%

Median retirement savings of Canadian families 55-64 without an employer pension plan.

SOURCES: Statistics Canada, CARP, HOOPP