RPP membership upTuesday September 30, 2014 Written by Brandi Cowen
Approximately two in five Canadian workers were covered by a registered pension plan (RPP) in 2012, according to new data released by Statistics Canada.
Membership in RPPs reached 6,185,000 in 2012, up 1.2 per cent from the previous year. Membership in public sector pension plans rose 0.6 per cent to 3,179,300, while the number of members in private sector plans increased 1.7 per cent to 3,005,700.
The public sector accounted for 51.4 per cent of total membership in RPPs.
More than 4,422,800 employees were in defined benefit pension plans, down 1.2 per cent from 2011. They accounted for 71.5 per cent of employees with an RPP, compared to more than 84 per cent a decade earlier.
Membership in defined contribution plans (the other most frequent type of plan) increased 2.7 per cent to 1,030,300. These plans accounted for 16.7 per cent of all RPP membership. Nearly 86 per cent of members in defined contribution plans work in the private sector.
Other plans, such as hybrids or composites, continued their upward trend. In 2012, over 731,800 employees belonged to these plans, up 15.5 per cent from 2011.
In 2012, total employer and employee contributions to RPPs reached a record $62.1 billion. Employer contributions for unfunded liabilities accounted for $12.9 billion of the total in 2012, up from $11.7 billion in 2011. When payments for unfunded liabilities are excluded, employers contributed 62 per cent of the total, while employee contributions accounted for the remaining 38 per cent.
The market value of assets in RPPs totalled $1.4 trillion in 2012, up 8.8 per cent from the previous year.
All data come from the Statistics Canada Pension Plans in Canada Survey as of Jan. 1, 2013.
Membership is defined as active members of the pension plan currently making contributions to the pension plan or for whom contributions are being made.