Canada’s retirement system, traditionally viewed as a three-legged stool with government pensions, individual RRSPs, and workplace plans, has seen the third leg falter. Workplace pension assets surpassed $2.1 trillion in 2024, but distribution is highly uneven. Public-sector workers receive $294,000 per person in pension assets, compared to $19,900 for private-sector workers. This gap stems from higher employer contributions in the public sector and the financial challenges private employers face in funding generous defined-benefit plans. Critics argue private-sector companies cannot match public-sector pension generosity due to thin profit margins and increased contribution rates from CPP/QPP. While RRSPs hold more assets than workplace pensions, the debate continues over whether workplace plans are necessary or if a more equitable system, like a super-RRSP, should replace them. The article underscores systemic inequities in Canada’s pension framework and calls for reform.

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