What HR needs to know about the federal budget

Changes to pension legislation makes it easier for Canadians to work longer
By Ian Genno
|Canadian HR Reporter|Last Updated: 04/09/2007

The Honourable Jim Flaherty, Minister of Finance, tabled his second federal budget on March 18, 2007. Among other announcements, the budget includes proposals that begin to address potential workforce shortages and aging population issues faced by employers.

Phased retirement opportunities

The budget includes a proposal to encourage retirement-eligible workers to stay on the job by allowing phased retirement. This proposal — if complementary amendments are enacted to provincial pension legislation — could be a meaningful step in helping address an impending labour and skills shortage faced by employers in many sectors of the economy.