The following notes were taken at Forum 2017, the annual convention of CPBI (Canadian Pension and Benefits Institute) held June 5-7 at the Delta Hotel in Winnipeg with the theme: “Thriving In a Climate of Change”.
Presenter: Zaheed Jiwani, Senior Consultant, Eckler
What are the key success factors of an organization?
- Attract good people.
- Manage their careers.
- Keep them productive.
A pension plan is obviously important to helping attract and retain good people. But even with a pension plan, a problem arises if the pension is insufficient for retirement or if the members don’t full understand how much pension they need to retire.
In both scenarios, workers typically stay around longer than they need to, which blocks the career growth of younger workers. Or they waste time and productivity worrying about money.
Everyone assumes that 70-percent of your final income is needed for retirement. In fact, academic studies show this is not correct, as many factors affect retirement living standards.
The LSRR (Living Standard Replacement Rate) is an individualized metric. Every worker needs counseling to help them make the best choices for their unique situation.