Well maybe if they set the rules that made sense.
You should have had to work 20years in Canada before you can claim OAS and any supplement.
The best option would have been to create an RRSP style pension plan.
Everyone puts their mandated % amount in each year and so does your employer. BUT there is a minimum amount as well. I know the impact to the low wage worker will hit harder, but remember his employer is matching this.....and if it doesn't happen, his pension will be when he really feels the pain. Sooooo.....while he is young and able and working.....pay to provide for your retirement.
The second thought on this is that ALL pension plans should be converted to this format. Why we tolerate defined benefit plans that have so many rules/variables and excuses is beyond me. Indexation, early draw, surviorship, etc, etc, etc,..... And if the fund doesn't do well in investments, the shortfall usually falls back on those still earning and the govt or org to bail it out. And if you choose wrong and die early...too bad. And nothing is left $$. Just a big bag of trouble one way or another. And poorly set up in today's world of options.
The third thought on this is, why do only those luckily enough to get a govt job get a pension plan. In the past lower wages were the trade off. That is now the opposite. And the job security of a govt position is much more a factor. True that big corps have pension plans...but that is slowly going the way of the dinosaur. And nowadays, having a job that stays with one company long enough to collect a pension is like finding a unicorn.
The forth thought on this is that we can't have our seniors starving on the streets if they did not plan for their senior years. Its just too untenable for most people. So in Canada we have so many other social programs for them.....OAS, Supplement, etc. In that case WE ARE PAYING FOR THEIR RETIREMENT.....just not in the tradition sense.
Fifth: All this retirement money in the govt hands has made them greedy and careless.....and they have spent it, versus actually put it aside like they should have.....just too tempting for a sleaseball politician with no morals.
SOOO....where am I leading this all to.
This: We should covert, CPP, RRSP, All Pension Plans into a single system.
That system is based on the RRSP concept.....your money, your retirement, your control (within certain reasonable rules). And this should not be in the gov'ts hands....as that can't be trusted. So that leaves investment accounts with major banks (some risk...but better than with the liberals)
AND make all employers pay into it on a matching basis with minimum amounts for employees and employers. Employers can negotiate or offer to attract skilled ones, better % amounts. But everyone has a pension plan and can see the amount in it. And maybe strive harder to increase it. Much more tangible and retirement seems possible then.
The benefits of this concept are that the social system in our country does not have to bear the burden of these OAS and Supplements programs to any significant degree (yes the lazy and non-earning will always be there). And we don't have to give as much to those that didn't work. And we have no obligation to provide a retirement to the rest of the world that would like to come here for that objective.
Plus if you die early, your accumulated amount is passed on to your children after taxes.....or to your wife's plan with no taxes.
This is a rough outline.....I have much more detailed thoughts
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