Focusing on OAS won’t solve pension crisis (Guest commentary)

Ottawa should turn its attention to CPP’s early retirement provisions instead
By Thomas Klassen
|Canadian HR Reporter|Last Updated: 03/13/2012

A rumoured proposal by the federal government to increase the age of eligibility for Old Age Security (OAS) from age 65 fails to address the problem facing Canadians.

The trouble is not that increases in expenditures for OAS are unsustainable as the baby boomers begin to reach retirement age. Rather, Canadians are starting their working lives later than ever, living longer than ever and wish to retire — with lots of money — while in their late 50s or early 60s.

Making it clear this is the predicament shifts the debate from OAS to the Canada Pension Plan (CPP). After all, it is CPP that provides workers with a significant amount of retirement income.