Canada: Study Finds that Delayed Retirement Has Become a Trend

A study by Statistics Canada finds that older workers have been increasingly delaying their retirement since the mid-1990s. This is consistent with the increase in the employment rate of older Canadians that began about the same time. Thus, a 50-year-old worker in 2008 could expect to stay in the labour force 3.5 years longer than in the mid-1990.

In an article--"Delayed retirement: A new trend?" by Yves Carrière and Diane Galarneau--published in Perspectives on Labour and Income (Vol. 23, no. 4), the authors conclude that:

Delayed retirement could alleviate some of the economic challenges of population aging. However, hours of work must be considered, since a drop in average weekly hours could partly offset the impact of an increased expected work life on annual hours and economic growth. In fact, the average work week for those 55 and over in 2010 was indeed 1 hour shorter than in 1997.

Source: Statistics Canada The Daily (October 26, 2011)