Malcolm Hamilton

Information about Malcolm Hamilton

Published on January 25, 2008

Author: Quintilliano

Source: authorstream.com

Content

Has Retirement Outlived Its Usefulness?:  Malcolm Hamilton Toronto Has Retirement Outlived Its Usefulness? June 14, 2007 – CPBI, Winnipeg The papers are filled with stories about the demise of retirement as we know it…:  The papers are filled with stories about the demise of retirement as we know it… BMO Podcasts Fidelity Investments Marty Sims EVP, HSBC Slide3:  “Retirement: it’s a word without meaning… the current group of retirees and soon-to-be-retirees are redefining the way people stop working—if they end their careers at all. Statistics Canada studies show more people are choosing to work longer.” Toronto Star November, 2006 “Nearly half of those in their 40s and 50s expect to continue working for as long as possible” The Globe & Mail May 23, 2007 Those zany boomers – determined to work forever; eager to stay in debt.:  Those zany boomers – determined to work forever; eager to stay in debt. “Canadians told us it was about time to retire the word retirement. Retirement for this generation is different in that it is a more ‘fluid’ transition. And they aren’t going to wait until they pay off the mortgage. About two-thirds of Canadians expect they will still be in debt when they quit working.” Tina Di Vito, Director of Retirement Solutions BMO Financial Group Older workers a drain? Not a chance, study finds…:  Older workers a drain? Not a chance, study finds… “The HSBC survey found that older Canadians perform more than $3.1 billion worth of volunteer work each year” The Globe & Mail May 23, 2007 “According to Statistics Canada’s 1998 General Social Survey on time use, 3.2 million retirees spent about 5 billion hours doing unpaid productive work. The economic value to our communities is thought to be $60.2 billion each year.” Seniors at Work National Advisory Council on Aging, 2005 Worried about population aging?:  Worried about population aging? “In fact, through taxation, volunteer work and the provision of care to family members, HSBC has found that those in their 60s and 70s are the foundations upon which their nations build.” The Globe & Mail May 23, 2007 The secret life of Canada’s senior citizens…:  The secret life of Canada’s senior citizens… Seniors have half the income of working Canadians, yet they appear to be doing quite well…:  Seniors have half the income of working Canadians, yet they appear to be doing quite well… According to recent studies…:  According to recent studies… Poverty rates for Canadian seniors are among the lowest in the world Poverty rates for Canadian seniors are substantially lower than poverty rates for other age groups Canadian seniors are frugal, not poor.:  Canadian seniors are frugal, not poor. They… save prodigiously give more to others than they receive from them spend less and less as they age, even as their gift giving and savings increase spend relatively little time in institutions leave surprisingly large estates Surveys suggest that…:  Surveys suggest that… seniors are relatively satisfied with their financial circumstances they worry more about health and loneliness than money they believe that their quality of life is better than the quality of life enjoyed by their children or grandchildren Surveys also suggest that…:  Surveys also suggest that… the transition into retirement is easier than people expect retired Canadians feel that they have more control over their lives than working adults and value the additional leisure time retired Canadians miss work, and the employment income derived therefrom, less than they thought they would To understand why seniors are satisfied with small incomes while boomers are dissatisfied with large incomes, one must look not at the incomes, but at the demands placed upon them…:  To understand why seniors are satisfied with small incomes while boomers are dissatisfied with large incomes, one must look not at the incomes, but at the demands placed upon them… When you look at both incomes and expenditures, seniors enjoy a standard of living comparable to working families, without having to work…:  When you look at both incomes and expenditures, seniors enjoy a standard of living comparable to working families, without having to work… and seniors exhibit a higher level of satisfaction with their lives than working people…:  and seniors exhibit a higher level of satisfaction with their lives than working people… Aging Well: Time Use Patterns of Older Canadians July, 2006 Percentage of Canadians Reporting High Levels of Satisfaction with Their Lives Finally, despite the HSBC’s protestations, seniors are not large contributors to paid or unpaid work…:  Finally, despite the HSBC’s protestations, seniors are not large contributors to paid or unpaid work… Seniors account for 17% of the adult population 3% of the workforce 2% of employment income the average senior spends about 0.5 hours per day on volunteer work, virtually the same as the average non senior Despite living longer, Canadians are retiring earlier…:  Despite living longer, Canadians are retiring earlier… And the smarter they are, the earlier they retire…:  And the smarter they are, the earlier they retire… Once they stop working, what do elderly Canadians do with their spare time?:  Once they stop working, what do elderly Canadians do with their spare time? Canadian men over the age of 75 did 4.4 hours per day less paid work than Canadian men between the ages of 55 and 64. The extra time was spent as follows…:  Canadian men over the age of 75 did 4.4 hours per day less paid work than Canadian men between the ages of 55 and 64. The extra time was spent as follows… Good health is the characteristic that has the greatest influence on satisfaction. Among healthy older Canadians, those who were highly satisfied spent…:  Good health is the characteristic that has the greatest influence on satisfaction. Among healthy older Canadians, those who were highly satisfied spent… less time working (paid and unpaid) more time watching TV, sleeping and in active leisure The differences, however, were not large But what of the future?:  But what of the future? Will retirement be redefined or will people simply retire earlier or later depending on what they can afford? To change retirement patterns, or the meaning of retirement, several things must happen…:  To change retirement patterns, or the meaning of retirement, several things must happen… people must be capable of working longer, people must want to work longer, and employers must want to attract and/or retain older workers. Are these things about to happen? Slide24:  Aging, Longevity and Retirement Can People Work Longer? “100 Year Olds Bust Ad Myths” Calgary Herald, September 10, 2006:  “100 Year Olds Bust Ad Myths” Calgary Herald, September 10, 2006 Jeanne Calment – the Oldest Known Human:  Jeanne Calment – the Oldest Known Human 1875 – 1997 What is aging?:  What is aging? 20 years of maturation 60 years of senescence(1) (1) the process of gradual physical and mental deterioration as people age What we read...:  What we read... “Thanks to modern medicine and better nutrition, old people are not getting old as quickly as they used to. The idea of settling into a rocking chair the day you turn 65 doesn’t appeal to today’s active senior citizens…” What we learn in the real world…:  What we learn in the real world… “There are no lifestyle changes, surgical procedures, vitamins, antioxidants, hormones or techniques of genetic engineering available today that have been demonstrated to influence the process of aging.” Position Statement On Human Aging Why are people living longer?:  Why are people living longer? Because better nutrition, public health, a reduction in warfare and advances in the treatment of disease have allowed people to live longer. NOT because the aging process has been retarded or reversed. Put another way,:  Put another way, we have prolonged life by more than we have prolonged the onset of old age. The question…:  The question… should retirement be tied to longevity or to senescence? Of course, boomers want to believe that they, unlike earlier generations, are not growing old…:  Of course, boomers want to believe that they, unlike earlier generations, are not growing old… and there is no shortage of people who are prepared to tell them what they want to hear. What we read…:  What we read… “I’ve seen a huge change over the last few years. When I started at this job 25 years ago most of the patients were in their 60s and 70s. Now there are days when I don’t see anyone under 90.” Dr. Barbara Paris What we learn in the real world…:  What we learn in the real world… “The need for better community health care services is increasingly urgent because much of the pressure on emergency rooms is due to the rapidly aging population, the report noted. People age 75 or older have the highest—and fastest growing—rate of emergency room visits. Their problems are complex and in many cases require hospitalization in institutions that are already full to bursting.” National Post October 3, 2006 Aging population putting pressure on ER, study finds What we read…:  What we read… “In terms of how people feel and what they are capable of, we believe that 70 can be said to be the new 50.” The Future of Retirement HSBC What we learn in the real world…:  What we learn in the real world… “You always say you don’t want to be like your parents but this particular generation won’t be much different from the older people 40 years ago.” David Foot Hamilton Spectator March 1, 2006 Changing attitudes – do people really want to work past 65, or do others want them to believe that they do?:  Changing attitudes – do people really want to work past 65, or do others want them to believe that they do? What we read…:  What we read… “Let workers stay on the job past age 65 – Bank of Canada governor.” Canadian Press March, 2007 What we learn in the real world…:  What we learn in the real world… “I turn 65 next year. I’m going to take a bit of a rest after 40 years of working without a break.” Dave Dodge Financial Post April, 2007 What we read…:  What we read… “In the old days, Don Dewees, 65, would have been cleaning out his office and getting ready for retirement. But in today’s world, where 60-somethings are the new 40-somethings, the University of Toronto professor has no plans to slow down”. What we learn in the real world…:  What we learn in the real world… What we read…:  What we read… “The boomers are saying, ‘I’m not going to Florida to sit at the pool and play cards all day’.” What we learn in the real world…:  What we learn in the real world… Increase in Florida property prices: 2000 – 2005 Average price of a single family home in Victoria, B.C.: $520,000 in October 2006 What we read...:  What we read... “The trend toward early retirement, which peaked in the late 1990s, has ended…” What we learn in the real world…:  What we learn in the real world… What we read...:  What we read... “Baby boomers are increasingly redefining retirement, by looking at it as a career change rather than an extended vacation plan, research suggests.” What we learn in the real world…:  What we learn in the real world… And, of course, there are many examples of people who are working for as long as they can…:  And, of course, there are many examples of people who are working for as long as they can… Kirk Kerkorian Warren Buffett Billionaire Billionaire 90 76 Stephen Jarislowsky Benedict XVI Billionaire Pope 80 80 Clint Eastwood Elizabeth II Actor/Director Queen 77 81 Are employers interested in attracting and/or retaining older workers?:  Are employers interested in attracting and/or retaining older workers? According to a recent survey by Manpower Inc.(1):  According to a recent survey by Manpower Inc.(1) “Canadian employers are failing to prepare for the looming loss of older workers that will occur as the Baby Boomers retire during the next 10 years.” 17% have a plan to recruit older workers (50+) 24% have a strategy for retaining older workers (1) The New Agenda for an Older Workforce: April, 2007 According to a recent (American) study by Boston College’s Center for Retirement Research…:  According to a recent (American) study by Boston College’s Center for Retirement Research… Roughly one half of employers might consider steps to retain as many as one half of those who want to keep working past normal retirement age for an extra 3 years. “This is not good news. It suggests the possibility of a messy and uncomfortable mismatch with large numbers of older workers wanting to stay on(1) while employers prefer that they do not.” Employers believed that 25% of their employees would not be prepared for retirement at the normal age What about the “war for talent?”:  What about the “war for talent?” “If employers don’t act soon they will fail to win the war for talent as older adults will be relied upon as one of the most important sources of talent for the future workforce.” National Post April, 2007 “An aging workforce nearing retirement means employers are having to compete for talent as never before.” Globe & Mail March, 2007 The truth about the “war for talent”…:  The truth about the “war for talent”… there has always been, and will always be, a war for talent labour shortages today are largely dictated by industry not demography no shortage of paper or auto workers shortages of health workers and oil workers while the number of children born in Canada each year is about 30% lower than at the 1960 peak, the number of university graduates has been increasing if demography was calling the tune, we would be reading about a glut of highly-qualified managers and business leaders It is difficult to reconcile the prevailing stereotypes of Canadian boomers…:  It is difficult to reconcile the prevailing stereotypes of Canadian boomers… Stereotype #1 Bumbling, irresponsible wastrels incapable of managing any aspect of their personal finances Stereotype #2 Skilled, experienced workers essential to the success of Canadian corporations The boomers’ perception of older workers has been changing:  The boomers’ perception of older workers has been changing When the boomers were young, they viewed older workers as poorly educated, unmotivated, overpaid impediments to the success of the business. Now that they are older, they perceive older workers (themselves) to be well educated, energetic, highly motivated, uniquely talented dynamos whose continuing employment is essential to the success of the business. It is difficult for employers to project their manpower needs ten years into the future…:  It is difficult for employers to project their manpower needs ten years into the future… Will the economy grow quickly or slowly? Will the business falter or flourish? Will there be a shortage of skilled workers, or a glut? Will skilled workers immigrate or emigrate? Will jobs move abroad, or come home? Will employees retire early or late? Will elderly employees maintain their skills, energy and enthusiasm? For all of these reasons…:  For all of these reasons… It is premature to conclude that most corporations will want to attract and retain older workers. It is hazardous to commit to a course of action that locks corporations into retirement incentives or retention incentives for long periods of time. Finally, what about public policy?:  Finally, what about public policy? What if employees want to retire and their employers want them to retire, but the government can’t afford to have them retire? Governments are understandably concerned about the trend toward longer lives, lower fertility and earlier retirement. Who will do the work? Who will pay the taxes?…:  Governments are understandably concerned about the trend toward longer lives, lower fertility and earlier retirement. Who will do the work? Who will pay the taxes?… “Public early retirement schemes should be gradually phased out…” Recent OECD Report Countries must mobilize “all available labour reserves in order to sustain economic growth.” Recent OECD Report The government of Canada is conducting a review “to ensure that pensions don’t serve as a disincentive to older workers remaining in the workforce.” Diane Finley – Minister of Human Resource and Social Development, 2006 Bureaucrats advocate incentives to head off labour crunch. Globe and Mail, December, 2006:  Bureaucrats advocate incentives to head off labour crunch. Globe and Mail, December, 2006 “Canada needs a new strategy to help older workers stay on the job until they are ready to retire, one that includes restructuring the country’s inflexible pension plans, government documents say.” “Optimizing older worker participation is the best means to offset labour market declines.” “The bureaucrats in HRSDC who wrote the policy paper say that the average retirement age within the public sector is 57 (1) and it’s time to get our own house in order.” (1) versus 62 in the private sector Labour shortage spurs Ottawa to ask boomers to work past 65 Toronto Star – January, 2007:  Labour shortage spurs Ottawa to ask boomers to work past 65 Toronto Star – January, 2007 “The federal government is pleading with aging boomers to work past retirement to offset a serious labour shortage in Canada. ‘We need them’, Human Resources Minister Monte Solberg told the Toronto Star yesterday.” “It’s an imperative for the country. We just have to do it. The countries that do it will succeed. And if we don’t do it we won’t. And the truth is, the government can’t do it all.” Monte Solberg Government concerns are now being echoed by others…:  Government concerns are now being echoed by others… “Governments, private-sector corporations and communities in general really need to be mindful of this demographic trend, to make sure policies are being put in place that allow these older Canadians to be as active as they want to be, or are able to be, in terms of contributing to society as a whole.” Marty Sims EVP, HSBC The slippery slope…:  The slippery slope… Allow people to work. Persuade people to work. Encourage people to work. Compel people to work. The federal government appears disinclined to lead by example…:  The federal government appears disinclined to lead by example… 2005 changes to civil service pensions higher contributions higher pensions encourages earlier retirement 2006 changes to pensions of correctional service officers 25 and out (parity with the RCMP) lower member contributions The federal government has a formidable challenge…:  The federal government has a formidable challenge… Encourage other Canadians to retire after 65 while federal civil servants retire in their 50s To this end, Canadians are being encouraged to believe that…:  To this end, Canadians are being encouraged to believe that… unlike earlier generations, they are not growing old, and continuing employment gives meaning to their otherwise meaningless lives Conclusions:  Conclusions As a matter of public policy, Canadians should not be expected to retire later simply because they are living longer and having fewer children. Retirement ages should increase if the age up until which older Canadians can successfully compete for work increases. Predictions…:  Predictions… Low interest rates and increasing life expectancies will make early retirement more expensive and this will naturally lead to later retirement. Future generations will retire later in part because they had their children later. Predictions…:  Predictions… Most Canadians will continue to want a viable option to retire in their early 60s. Of those who are able to retire in their early 60s, most will choose to do so. Retired Canadians will live active and productive lives; many may choose to work part time for social or economic reasons; however, they will prove a poor substitute for young workers. Phased retirement makes sense, but individuals are as likely to use it to retire early as to retire late. Predictions…:  Predictions… Most employers will continue to want older employees to retire at or before age 65. Given their inability to foresee workplace needs 10 years in advance, employers will move to “retirement age neutral” pension plans and use targeted cash incentives to selectively encourage older employees to stay or go as the times demand. Poorly targeted phased retirement programs, as envisioned in the federal budget, will be rejected in the private sector in favour of targeted rehiring. Suggestions…:  Suggestions… As regards the merits of persuading Canadians to stay in the workforce, governments should shut up or lead by example. Taxpayers should not be expected to pay 20% or 30% so public servants can retire in their 50s while the federal government looks for ways to force/encourage those employed in the private sector to retire after 65.

Related presentations


Other presentations created by Quintilliano

Michelangelo
10. 01. 2008
0 views

Michelangelo

CHAP37
07. 05. 2008
0 views

CHAP37

Esercizio donne
02. 05. 2008
0 views

Esercizio donne

Cris Curtis FC Canada 082505
24. 04. 2008
0 views

Cris Curtis FC Canada 082505

Bkby1 1
22. 04. 2008
0 views

Bkby1 1

3 China Flanders Lenovo
22. 04. 2008
0 views

3 China Flanders Lenovo

TVWF
17. 04. 2008
0 views

TVWF

icoia0405
14. 04. 2008
0 views

icoia0405

Understanding MSDS
17. 01. 2008
0 views

Understanding MSDS

outsourcing
03. 04. 2008
0 views

outsourcing

Topic 06 Congress
08. 01. 2008
0 views

Topic 06 Congress

CRM luxury
10. 01. 2008
0 views

CRM luxury

20020311 Holy Communion
11. 01. 2008
0 views

20020311 Holy Communion

Standard less analysis
11. 01. 2008
0 views

Standard less analysis

SSC Class 4
14. 01. 2008
0 views

SSC Class 4

urban fiction powerpoint
14. 01. 2008
0 views

urban fiction powerpoint

classical music in poland
15. 01. 2008
0 views

classical music in poland

AQUALUNG PDR
18. 01. 2008
0 views

AQUALUNG PDR

a8
21. 01. 2008
0 views

a8

Unit2  07
23. 01. 2008
0 views

Unit2 07

CATS Review Jeopardy
14. 01. 2008
0 views

CATS Review Jeopardy

2007f lacan
28. 01. 2008
0 views

2007f lacan

Privacy invasions
06. 02. 2008
0 views

Privacy invasions

womeninthewoods
07. 02. 2008
0 views

womeninthewoods

Romanticism
12. 02. 2008
0 views

Romanticism

cl0 Intro
30. 01. 2008
0 views

cl0 Intro

baddiley 2
29. 02. 2008
0 views

baddiley 2

Eric Mathiesen
05. 03. 2008
0 views

Eric Mathiesen

06safetyand1slides
05. 03. 2008
0 views

06safetyand1slides

SERDP Partners Soil Moisture
22. 01. 2008
0 views

SERDP Partners Soil Moisture

Bus188 Chapter 02 NT
19. 03. 2008
0 views

Bus188 Chapter 02 NT

sncr wet kilns
11. 02. 2008
0 views

sncr wet kilns

20040213 RepICFA HN
03. 04. 2008
0 views

20040213 RepICFA HN

chapter12Shaffer
03. 03. 2008
0 views

chapter12Shaffer

1157464258crs
12. 01. 2008
0 views

1157464258crs

Progress presentation Group1
08. 01. 2008
0 views

Progress presentation Group1

sciencedemocracy
29. 01. 2008
0 views

sciencedemocracy

SInov
10. 01. 2008
0 views

SInov

f v meth 061113 transzmedit
07. 02. 2008
0 views

f v meth 061113 transzmedit

rovelto adv hj symposium
14. 02. 2008
0 views

rovelto adv hj symposium

Inner Nutrition June 2007
16. 01. 2008
0 views

Inner Nutrition June 2007

all messageofthecross
04. 02. 2008
0 views

all messageofthecross

05OutdoorObserve
24. 03. 2008
0 views

05OutdoorObserve

effort flow integration
13. 02. 2008
0 views

effort flow integration

world energy 3
24. 01. 2008
0 views

world energy 3

sc wkda may04
12. 02. 2008
0 views

sc wkda may04

Vyvyan
25. 02. 2008
0 views

Vyvyan

ccrecommend02
24. 01. 2008
0 views

ccrecommend02

ost
08. 02. 2008
0 views

ost