As Canada’s population continues to age, recent research conducted by Statistics Canada has shed light on the preferences of workers nearing retirement. The study, based on the Labour Force Survey, explored retirement trends among different age groups, revealing that many workers would opt to delay their retirement if certain conditions were met.
Among respondents who had not yet fully retired but planned to do so, a significant majority (55.1%) expressed a desire to extend their working lives if they could transition to part-time employment. Similarly, nearly half (48.9%) stated that they would continue working if they had the option to reduce their working hours without affecting their pension.
Work-related factors also played a role in workers’ retirement decisions. Approximately 43% of employees said they would be willing to prolong their careers if they could have a less stressful or physically demanding job. Moreover, 37.6% indicated that they would consider staying in the workforce if they were offered more interesting work.
When asked about motivations, 34.2% of respondents cited a pay raise as an incentive to remain in the workforce. Additionally, 29.3% expressed that an improvement in their health would be a compelling reason to continue working.
The survey revealed that 21.8% of Canadians aged 55 to 59 years old are fully or partially retired. This proportion increases to 44.9% for individuals aged 60 to 64. For those between the ages of 65 and 69, more than 80% have already retired. Among those aged 70 and older, an overwhelming 90% reported that they are completely or partially retired.
Participants who had already retired attributed their decision to various factors. Finances and health emerged as the primary considerations affecting the timing of retirement. The report indicated that individuals facing health-related challenges or disabilities were more likely to exit the workforce at a younger age. On the other hand, those who retired primarily due to financial reasons tended to do so at a relatively older age.
For men who retired mainly because of financial concerns, the average retirement age was 61.7 years, which is nearly four years older than those who cited health or disability reasons as the main factor for retirement. Similarly, for women, the average retirement age for those driven by financial considerations was 60.1 years, compared to 56.9 years for those who retired primarily due to health reasons.