Statistics Canada research finds that with a few changes, delaying retirement is preferred
The idea that working Canadians are dreaming of the days they can finally retire, may be wide of the mark according to official data.
Most people who are planning their retirement would actually like to carry on working if they could make a few changes to their roles such as cutting hours to part time, being less stressed, or being better paid.
Statistics Canada’s Labour Force Survey conducted in June found that 55% of those over 55 who were planning to retire would rather continue working if they cut work fewer hours without it affecting their pension (49%), do something less stressful or physically demanding (43%), do more interesting work (38%), be paid more (34%), or if their health improved (29%).
The stats showed that 22% of Canadians aged 55-59 were retired or partially retired in June, along with 45% of those aged 60-64, 81% of 65-69s, and 90% of over 70s.
Updated data for the July Labour Force Survey found that there was little change in the employment level for women and men aged 55 and older, and their employment rate held steady both in the month and on a year-over-year basis (40.3% for men and 30.7% for women in July).
Finances determine timing
Statistics Canada’s research confirms that financial reasons are the main factor in the timing of retirement for 35% of men and 28% of women.
Within this, the most important factors were being financially ready and qualifying for a pension or having deferred their Old Age Security pension in exchange for a larger amount.
Health reasons are another major determinant of retirement age. Almost one-quarter of men (22.8%) and women (22.9%) who were completely retired cited issues related to health or disability, either their own or their spouse's, as the main factor.
Learn how raising the retirement age would benefit Canadians in this article.
