Tuesday, March 20, 2007

Conservatives Want You To Work Longer

In the U.S. they talk about increasing the age to obtain Social Security and they plan to privatize it. It is classic neo-conservatism

In Canada we have bleeding heart Conservatives, who adopt a social democratic approach, by upping some Old Age funding, allowing for income splitting, increasing the age limit for RRSP's , all the social spending in the current budget.

And while Paul Martin mused about changing the age limits for CPP and OAS, the Conservatives have actually changed the nature of the senior workforce demographic without doing that.

Pensions: Moves aimed at letting employees work longer

In one of the new measures, the government said it will begin allowing employers to pay a partial pension to an employee while that same worker is also contributing to the pension plan. This will make it easier for retired individuals to return to the work force part time. "Many older Canadians want to continue working and saving," the budget document states. "As Canada's population ages, it will be important to allow them to do so."

Of course it pays off since the major change here is to allow retired workers to work part time and pay into a supplemental joint pension RRSP with their employer. Which means more taxes for the state. And more workers for Macdonald's.

Keeping older employees in the workforce longer is a critical challenge for businesses as they struggle with a growing labour shortage, Canada's top central banker said Thursday.

Bank of Canada Governor David Dodge said companies need to become more flexible to keep staff past the standard retirement age of 65.

"The real challenge for us is to find ways that we can use people more flexibly -- whether that's numbers of hours per week, number of weeks per year -- as they get older," Dodge said following a speech to Calgary's Chamber of Commerce.

Keeping older employers in the workforce also requires removing "any barriers to their continued participation," such as more flexible work schedules.

And he said conventional pension schemes should be redesigned to meet the needs of those who stay on past 65.


Find blog posts, photos, events and more off-site about:
, , , , , , , , ,

No comments: