HUMA Committee Report

New Democratic Party members of the Standing Committee on Human Resources believe that older workers deserve every opportunity to find fulfilling and gainful employment or to retire in dignity if they so choose.  Although the report includes substantial measures to protect and enhance prospects for older persons in the workforce, it also fails to address important challenges facing Canadian workers as they approach retirement such as financial insecurity, inadequate savings, and discrimination in the workplace due to their age. 

NDP Recommendation 1:

That the federal government work with the provinces to increase Canada and Quebec Pension Plan benefits.

The most recent OECD survey of pensions around the globe highlights that the Conservatives are simply not doing enough to ensure Canadian seniors can retire in dignity.  

Retirement security is one of the most pressing economic issues facing Canadian families today. As many as 5.8 million Canadians - nearly a third of our work force - are facing a steep decline in their standard of living upon retirement. 

New Democrats have long maintained that growing the CPP/QPP is the best and lowest-cost pension reform option currently available – experts and provincial leaders agree.

The provinces have agreed on framework to increase the CPP, and the Finance Minister is now the only obstacle standing in the way. The Conservatives must stop blocking attempts by provinces to increase CPP/QPP benefits and should instead show leadership and work with his provincial counterparts to increase the retirement security of Canadians.

NDP Recommendation 2:

That the federal government act immediately to reverse its reckless and unnecessary decision to increase the age of eligibility for Old Age Security.

By 2030, Conservative cuts to Old Age Security will slash $11 billion in retirement income from seniors by raising the retirement age to 67 – that amounts to $13,000 in retirement savings out of the pocket of every Canadian senior. 

Expert bodies such as the Organization for Economic Cooperation and Development (OECD) as well as the Parliamentary Budget Officer agree that this dramatic change was not necessary, and that the OAS is entirely sustainable.

Furthermore, levels of debt are already rising fastest among those 55 and over. [i] By changing the age of eligibility to access OAS, the federal government is going to push more seniors into poverty.  

NDP Recommendation 3: 

That the federal government increase the GIS to eliminate poverty among seniors.

Witness testimony by Sara Mayo of the Social Planning and Research Council of Hamilton [ii] revealed that one of the main reasons that many older workers do not retire because they cannot afford to do so; they simply don’t have enough saved for retirement.

The stark truth is that the number of seniors, especially women who live in poverty, has been rising in Canada under the Conservatives. This is in contrast to 20 other OECD countries where the numbers of seniors living in poverty is dropping.

Public pension coverage is declining, as are many workplace pension plans and defined-benefit plans. Current trends suggest that today’s youth – earning a lower income than previous generations and surrounded by more precarious work options -- will accumulate minimal savings and at the same time, have less opportunity to accrue full CPP benefits. This means they will be more likely to need OAS and GIS when they retire.[iii]  

NDP Recommendation 4: 

That the federal government cancel planned cuts of $300 million in annual transfers for skills training through the Labour Market Agreements (LMAs) to the provinces.

Despite opposition from the provinces and concern from employers groups such as the Canadian Chamber of Commerce, the government is charging ahead with its bull-headed decision to cut $300 million dollars from transfers to much needed money for skills training.   

New Democrats believe that the federal government shares in the responsibility to ensure older workers who have been displaced from long-held jobs have the tools they require to transition to new employment.

Cuts to the LMAs will have negative effects on lower-skilled and older Canadian workers. To really improve the accessibility and delivery of training to all Canadians who need it, the Conservative government must work with the provinces to work on a real skills strategy that will create jobs for Canadians.

NDP Recommendation 5: 

That the federal government works with the provinces and territories to increase support for informal caregivers in Canada.

There are approximately eight million Canadians caring for older family members, and that number is growing. 

The NDP believes that caregivers deserve recognition and support.  The federal government should consider extending and improving access to the EI Compassionate Care Benefit; offer a Caregiver Tax Benefit modeled on the Child Disability Benefit; and offering financial support to those who wish to renovate their home to accommodate for the care of an older relative. 

NDP Recommendation 6:

That the federal government works with the provinces, territories and employers to highlight the value of older workers in order to address ageism in the labour market.

Fifteen per cent of displaced older workers believe that their largest barrier to employment is their age. While twenty per cent of workers 66 years and older reported experiencing discrimination from an employer.

The federal government’s National Seniors Council has said that “[n]egative stereotypes about older workers, ageism and intergenerational conflict in the workplace and in society at large most often goes unrecognized and unaddressed, however, it can have serious repercussions for seniors and older workers participation in the workforce.”[iv]

New Democrats believe that addressing ageism in the labour market is essential for retaining and employing older workers.