After several years of growth, membership in Canada’s 15,130 active registered pension plans (RPP) remained virtually unchanged in 2005, according to new data from an annual census of these employer-sponsored plans.
Statistics Canada reported today that as of Jan. 1, 2006, active RPPs covered just under 5.7 million members, up only 0.4%, or about 20,000, from the year before. This pace of growth was substantially slower than the annual rates recorded since the turn of the millennium.
Data show that more and more women in the paid workforce are being covered by RPPs. In fact, women accounted for the net increase in the total membership during 2005.
The number of men belonging to an RPP remained unchanged at 2.98 million, while the number of women increased 0.7% to just over 2.71 million.
As of Jan. 1, 2000, men accounted for 55.1% of all members, and women 44.9%. By January 1, 2006, the proportion of men had declined to 52.3%, while the share of women had increased to 47.7%.
As of Jan. 1, 2006, about 4 out of every 10 paid workers were participating in an RPP.
While the overall number of active members of RPPs remained relatively stable, the public sector added 37,000 members in 2005.
As of Jan. 1, 2006, membership in public sector plans amounted to just under 2.7 million, up 1.4% from the previous year. At the same time, private sector plans had just under 3 million members, a 0.5% decline.
Public sector membership accounted for 47.3% of the total membership in RPPs as of Jan. 1, 2006, up from 46.1% as of Jan. 1, 2000.
Since 2001, the public sector has added about 170,000 members, more than three times the 50,000 additional members in the private sector. Growth in female membership accounted for 80% of this increase.
The decline in private sector membership in 2005 was the first since 2001.
The biggest gain in 2005 occurred in the finance, insurance and real estate industries, where membership rose by 12,910. Construction industries followed, adding 13,170 members. However, these increases were more than offset by a loss of 28,000 members in the manufacturing sector.
The manufacturing sector continues to suffer from employment losses in the textile, wood, paper, primary metals and electrical equipment industries.
Since 2000, RPP membership in the manufacturing sector has declined by more than 80,000. However, the construction, finance and community business industries showed substantial increases over the same period.
The proportion of paid workers with a registered pension plan continued to decline in 2005, falling half a percentage point to 38.5%. Despite favourable labour market conditions, RPP membership grew at a slower pace than employment.
Both men and women had lower coverage rates in 2005, but coverage rates among men declined at a faster pace. For the second year in a row, coverage rates for women were higher than men.
Pension membership growth stalls in 2005: StatsCan
- By: IE Staff
- June 21, 2007 October 31, 2019
- 09:10