Co-chaired by Derek Dobson, CEO and Plan Manager at CAAT Pension Plan, the CPPLC commissioned the Canadian Centre for Economic Analysis (CANCEA) to study the economic contributions of public sector pension plans. This is the first research of its kind to analyze contributions from all Canadian public sector pension plans at a national level.

Key Findings on the Economic Benefits of Canadian Public Sector Pension Plans

Canada’s public sector pension plans are a unique asset for Canada that should be celebrated and extended to more Canadian workplaces. By expanding DB pension coverage to the rest of Canadians in the private and not-for-profit sectors, we have an opportunity to improve the retirement outlook for more workers and maximize the economic benefits for all Canadians. The study found that:

• For every $10 paid in retirement income paid through public sector pensions, $16.70 is generated in economic activity.
  • In Ontario and Manitoba, this return rises to $18.00.
• In 2019, retiree spending supported $82 billion of economic activity across Canada, the equivalent of 3.6% of the economy.
  • Equivalent to slightly higher than the GDP of Saskatchewan, or Nova Scotia and Newfoundland combined.
• Retired public servants spend their retirement income in their local communities, helping both rural and urban regions stay vibrant.
  • This supports almost 900,000 local jobs for people of all ages. 72% of the businesses supported by pension spending and operations employ less than 10 people.

Read the full report. To learn more about the study, visit the CPPLC website.

Watch the November 2021 CPPLC research presentation