I have held to the notion for a long time that the only way my peers and I will ever see benefits from CPP is if the retirement age is raised. It is only after reading about BP's situation that I realize this is a necessary fix for all DB plans. Some other side benefits incude:
- allowing defined contribution participants extra years to make up for recent poor performance
- demographically, it keeps more participants in the work force which will reduce the strain we will find ourselves in as baby boomers retire
- for US participants, reduced health care costs as active members of the work force are less likely to complain of ill health
- adjust to the new realities of longer life span
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Part of the key would be to keep people physically and economically active into later life.
ReplyDeleteCanada needs a WELLNESS plan which will address healthcare issues via a public wellness initiative to encourage exercise, healthy eating, giving up smoking and not watching CNN.
This would also serve to (different opinions exist) improve the general wellness of the population reducing healthcare costs. People would generally be able to retire later and work for longer.
Only those economically secure tend to retire early so this would become self-fulfilling.
This WILL be solved when "AGISM" becomes universally considered discriminatory. I am certain this will happen.