Canadian Labour Reporter

lAboUr brieFs 2 Canadian HR Reporter, a Thomson Reuters business 2014 Majority of Canadians feel unprepared for retirement OTTAWA — According to a report released this week by the Conference Board of Canada, the majority of Canadians feel they cannot afford to retire. In its report, the independent research group noted, despite the fact that many Canadians said they are putting money aside for retirement, the majority are concerned it will not be enough to sustain them throughout their golden years. Almost 60 per cent of those surveyed felt they were not in a comfortable position to retire — and 60 per cent of those re- spondents were on the cusp of retirement, between ages 55 and 64. A little more than 40 per cent of those 65-years-old and above reported their nest egg was lack- ing. Even less likely to have put money aside were women and those with lower household in- comes. While she called the findings "disturbing," lead research direc- tor at the Conference Board, Ju- dith MacBride-King added there is some good news. "A good number of younger Canadians are beginning to consider their future post paid- work," she explained. "About 34 per cent indicated that planning for retirement is a priority for them — and 24 per cent noted that they have formulated a plan to prepare for their eventual re- tirement." Further, the study showed more than one-third of Cana- dians didn't know when they would be able to retire and more than 40 per cent of employers believed their employees to be overly optimistic in their assess- ment of their retirement date. And while most public sector workers had a defined benefit plan in place, 45 per cent of those in the private sector did not. Group RRSPs are the most com- mon plan (accounting for 63 per cent). "One of the key findings of the employers study is that Cana- dian companies are concerned employees simply don't know enough about their retirement prospects," said William da Sil- va, retirement practice leader at Aon Hewitt, the firm which helped compile the research. "Clearly, there's room for em- ployers to play a bigger role in financial literacy, but many are concerned about the possibility of litigation if they do. Current Canadian law provides no pro- tection from liability to those plan sponsors who provide plan members with appropriate with appropriate choices and advice." The average planned age of retirement was 63.2 years of age. But concern over inadequate savings has already led a num- ber of Canadians to delay their retirement — according to the Conference Board, more than one in five respondents decided to retire later than they pro- jected five years prior. Almost half said they would continue to work part-time or on a contract basis after retirement. As for those currently in re- tirement, more than half rely exclusively or in large part on public pension plans. Woodgreen workers ratify collective agreement TORONTO — Employees from WoodGreen Community Ser- vices recently ratified a new col- lective agreement, ending a two- week strike in Toronto. Workers voted 81 per cent in favour of the new three year deal. The new agreement will see a 4.5 per cent wage increase over the next three years. Addition- ally, the number of hours before personal support workers be- come eligible for benefits will be reduced. fORMeRLY CLV RePORtS Serving labour relations professionals since 1956 www.labour-reporter.com Published weekly by omson Reuters Canada Ltd. 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If legal or other expert assistanceis required, the services of a competent professional should be sought. e analysis contained herein represents the opinion of the authors and should in no way be construed as being either offi cial or unoffi cial policy of any governmental body. ISSN 0045-5113 Publications Registration 2089 Canadian Labour Reporter is part of the Canadian HR Reporter group of publications. Visit www.hrreporter.com for more information. Labour Reporter Canadian www.labourreporter.com Marcelo Del Pozo (Reuters) lAboUr lens Firefi ghters simulate a crucifi xion as part of a protest against job cuts by the Andalusian regional govern- ment in Seville, Spain.

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